CREDIT CARDS AND PERSONAL FINANCE: TIPS FOR FINDING BALANCE

1. CREDIT CARDS AND PERSONAL FINANCE: TIPS FOR FINDING BALANCE Many people have used charge cards ever since they can remember. Like many other aspects of life, it can be hard to deal with credit cards when you are not properly educated. The following article has tips for those looking to become better informed about credit cards. Watch your credit balance cautiously. Also be aware of the credit limit that applies to your account. If you exceed your limit, then the fees are going to add up making your balance a lot harder to pay off. When you continue to exceed the limit, it is going to take much longer to pay it off. Many bank cards offer loyalty programs. If you utilize a credit card on a regular basis, you should locate a beneficial loyalty program that suits your needs. This can provide you with additional money, if you use the card wisely. When you purchase items on the Internet using your credit card, ensure you retain a copy of all the transaction records relating to it. Keep this receipt until you receive your bill to ensure the company that you bought from is charging you the right amount. If any charges are incorrect, you should immediately file a dispute. Doing so helps to prevent overcharges on purchases.

2. Never write your pin number or your password down under any circumstances. It is important that you remember your password, so that you are the only one that has access to it. If you write it down and keep it near the card, it will be like giving someone an invitation to commit fraud. CREDIT CARD Everyone has had this experience. “You have been pre-approved for a credit card!” Often times you won’t be interested in getting a new credit card right them. When you throw the mail away, rip it up. Simply tossing it away leaves you at the risk of identity theft. Contact your credit card provider and ask if they are willing to lower your interest rate. There are some companies that will reduce the amount of interest that they charge their customers if they have a long-standing, positive relationship with them. It never hurts to ask, and you could possibly save a bundle! Do not open and close bank cards frequently. Frequent switches to new companies is not wise unless you find it absolutely necessary. The length of your history with a creditor is one factor in your credit score. Another element to establishing credit is to maintain and keep you credit accounts open and active at all times. Never give your credit card number out, over the phone or online, without knowing and trusting the company you are dealing with. Be extra cautious if the offer requiring your information was unsolicited. There are a lot of shady people out there and they often try to get credit information over the phone. Be smart and protect yourself against them. INTEREST RATE Remember that your interest rate is negotiable. You are always free to ask your credit card company for a better interest rate. You can request an APR that is a bit lower if you are a good consumer. Once you’ve closed your account associated with your credit card, remember to destroy the card completely. If you do not destroy your

3. card, someone could find it, reopen your account, and build up a huge amount of debt using your name. Make sure you are only using cards that you want to keep. Many creditors close accounts that are inactive for a certain period of time. The only way to guarantee that your card account is not closed is to use your most wanted charge cards regularly. Remember to pay the bill promptly and in full when it comes so that you do not pile up the debt. CREDIT CARDS In conclusion, it can be frustrating and confusing to deal with credit cards. Proper use of a credit card can increase your buying power, improve your credit rating and help you stay in control of your financial health. Use the advice in the article to help you deal with credit cards more effectively. This article originally published on Merchant Lynx