Getting Approved

There are billions of people who would have received a letter from the credit card company saying you have been approved, but many others have received application rejected letters which is the reason we are writing this article. We would like to improve your chances of being approved in the first place so that you do not damage your credit score when you are forced to apply to several different creditors.

Credit card pre approval letters are very common this days as soon as you hold down a job for three months your letterbox will quickly fill up with offers from creditors but are these pre-approval credit card letters really pre-approved ? the answer is no as all credit card companies are not able to verify this information without you consent.

Getting back to helping you get approved there are several things you can do to improve your chances of getting the green light, firstly you should ensure that you have no outstanding debts to any financial organizations, utility bills, mobile phone debts, even small debts that have gone unpaid can contribute to you being knocked back however if you are looking to apply for a credit card loan to repay another outstanding debt that i suggest you look into a secured credit card loan.

Most people who get rejected after applying for a credit card are generally refused credit cards due to outstanding debts or are not able to prove that they in fact are capable of repaying then loans and interest rates, so please make sure that your credit score is above average before filling our any application forms this will prevent further damage to your credit rating. I can only advise you to apply for only what you need and not go overboard for instance if your applying for a fifty thousand dollar loan and only earn fifteen thousand dollars per year then your application is likely to get rejected very quickly.

Zero Interest Credit Card Myths

Do they or don’t they exist ? Zero interest rate credit cards are highly sort after by many a people however we would like to share the truth with you. You would of heard of the old saying you get what you pay for well indeed this is the case with credit cards offering zero interest.

A few years ago i came across a credit card offering zero interest, what i missed was the fine print that stated this would only last for 6 months and amongst that fine print also made reference to sharing my personal details with just about anyone that would be interested, a few weeks after receiving my credit card my letter box became flooded with credit card offers, credit card discounts, credit card promotions and many other financial offers. So that you don’t end up in the same boat as me i would suggest that when seeing anything offering zero repayments or zero interest that you pay close attention to the fine print & read the terms and conditions very carefully.

I have seen many people take out credit card after credit card to pay off previous credit cards and while at the time it would seem very clever to keep using services offering 12 months interest free this does indeed damage your life long credit score so please keep this in mind when looking to refinance credit card debts

Credit Card Options

As most of you will be aware there are many different types of credit cards on the market each of these have their advantages and disadvantages depending on your needs, today we will explain what types of credit cards are available to you.

• Reward Credit Card

This type of credit card is the most common and most widely available credit card option, this credit card system was introduced several years ago and has caught on with just about every company offering credit cards this system works on a rewards system that encourages you to do most of your spending using your credit card and in return for doing so these credit card lenders offer you rewards for your spending. You must have financial discipline in order for you to manage the repayments each month.

Some Advantages of  credit card rewards include: travel discounts, cash back options or you can earn points in which you can spend / use on merchandise from the credit card companies website and or referred to as their rewards store. There are however some disadvantages to these cards and again it really depends on your spending habits and needs some disadvantages include very high interest rates and not to mention they make it quite difficult to redeem these rewards in some cases you would need to spend $5,000+ using your credit card to earn a reward that only has a $50 value to it.

• No Interest Credit Card

No interest rate credit card / low interest rate credit cards are indeed available all tho they often come with their down sides and or catches, some of these offers are usually set in place to either drum up extra business or offer to pay off your outstanding debts so long as you use their credit card for future purchases and again they will offer you a low/no interest rate for a certain amount of time and before you know it that period is over and you are then locked into a high interest rate. Personally i would avoid credit cards like this or at the very least study the terms and conditions very carefully.

• Secured Credit Card

Should you have a good credit report and or a good track record for paying of credit card debts in the past than you really shouldn’t need to go down this path, if you have had issues paying credit debts in the past than this option will suit you. This option is mainly aimed at those of you who are looking to rebuild you credit score you could look at this option as a second chance or possible a credit card option for a younger person who has no credit history at all.

The general idea behind a secured credit card is that you will need to leave a cash deposit often between say $100-$500 before applying for a secured credit card also in addition to the cash deposit the repayments are quite high as you are a potential financial risk to the creditors, some but not all secured credit cards follow up with annual fees which can exceed 5% of your total spending. Contact your local bank to find out more information before you apply for a secured credit card.

Again i would like to stress to you the importance of shopping around before delving into the first credit card application you receive or view online somewhere, you can really save thousands by doing 30 minutes research in the first place. Our website is full of helpful articles and links that will better prepare you.

Credit Card Tips

In this day and age it is quite difficult to get by without owning a credit card or even a debt card, whether your trying to make some travel arrangements, purchasing goods online, making dining reservations over the phone or even making a simple purchase at the shopping center, just about everyone needs a credit card so today we would like to offer you some tips and some advice you should consider before accepting a credit card.

• 2 credit cards is 1 too many

Having a wallet or purse full of credit cards is not a good thing, some people have several credit cards and this is usually because people apply for another credit card to pay of their existing credit card debt using this method will prolong your repayments and increase interest rates. Try and avoid multiple credit cards as you should be able to get by with one.

• Selecting the best credit card

Different credit cards offer different interest rates and other credit card reward systems, you should make a note of your spending habits first so that you can choice the best credit card for your situation, some credit card rewards offer incentives for you to repay your outstanding debts quickly, while other reward systems will of your frequent flyer points and others will offer you mobile phones for signing up with their credit card companies. Just have a look around before signing the dotted line and make your credit card beneficial for your needs.

• Beware of promotional rates

Thousands of people have been sucked in by these promotional credit card interest rates, you only need to turn on the TV or browse the internet for a few minutes to see some credit card advert offering a “SPECIAL LOW INTEREST RATE” these are conditional offers and these rates usually only last for upto three months, once this period expires you are then stuck paying they full amount which can be in excess of 25 percent. Read the small print and fine lines would be the best tip i can offer.

• Billing cycles

Make sure you examine the credit card billing cycles before taking the plunge and make sure that the repayment offers suit your financial situation, should you be relying on your next payday to pay off these debts than you should pay close attention to the billing cycle in which the credit card company requires you to make payments. The date you make the application is usually the date that the billing cycle starts, many people fall victim to this as they apply for credit cards while waiting for their next payday which effectively is how people get stuck in this cycle.

In closing i would just like to advise you to do your research before applying for just any old credit card, it seems so simple to get a credit card just fill out the paper word and your done, but what these companies won’t tell you is all the possible negative outcomes that may follow. Best of luck finding your new credit card, please have a good look around our website as we have many useful articles and links that are the to help you. Learn more finance management techniques.

Welcome

Welcome to our website, we are here to provide you with upto the minute news on credit cards, many people often ask the same question “What is the best credit card ?” this question has no straight forward answer as each of our needs vary very differently.

Over the coming weeks and months we will be adding many informative credit card articles that will help you choose your new credit card wisely, we will teach you methods and techniques so that you don’t fall into the traps set by many large corporations. Please bookmark our website and check back shortly as our website is quite new that said we have some of the leading industry experts contributing to this website so we should only be a few weeks away from being a authority website.