| Credit cards have moved on to become almost a | | | | Similarly, transactions in other currencies |
| necessity today. It's rare to find people | | | | end up being a bit expensive too (not too |
| having no credit card. In fact most of the | | | | much though). |
| people have more than one credit card. | | | | |
| However, possessing a credit card is not | | | | Develop good spending habits by refraining |
| enough. You also need to understand how to | | | | from using your credit card all the time. Use |
| use it properly. Sometimes credit cards can | | | | cash if you seem to be approaching your |
| become a pain e.g. when you get into a debt | | | | credit limit on the card. In fact try not to |
| trap. | | | | breach 70% mark on the credit limit. This |
| | | | should act as a warning against credit card |
| The first thing to understand is the fact | | | | debt trap. |
| that credit card is not free money or a | | | | |
| goldmine that you just discovered. It's | | | | Also, it's imperative that you understand the |
| simply a loan that you are taking from a bank | | | | importance of credit ratings. This is the |
| or a financial institution and you need to | | | | rating which keeps developing in the |
| pay it back soon. You must understand that if | | | | background as you use your credit card. If |
| you don't pay this amount back in time you | | | | you don't pay on time you get negative points |
| will have to pay an interest on the amount. | | | | for it and if you pay regularly and do not |
| This interest is calculated using APR (annual | | | | overspend, you get positive points. This |
| percentage rate) i.e. the interest rate | | | | rating is developed by various credit bureaus |
| charged on the outstanding balance on your | | | | on the basis of information received from |
| credit card account. This is calculated and | | | | credit card companies and is available to all |
| applied on a monthly basis. APR is one of the | | | | other financial institutions and banks on |
| key features one considers when choosing a | | | | request. So, when you apply for a mortgage or |
| credit card. | | | | a car loan or for that matter a new credit |
| | | | card, the bank/institution gets your credit |
| As soon as you receive your credit card, read | | | | rating from the credit bureau as the first |
| through all the instructions provided on it. | | | | thing. If you have a good rating, the things |
| Thing like protection against fraud, | | | | will go smoothly for you and if you have a |
| reporting loss of credit card, reporting | | | | bad rating then you might be denied that |
| incorrect charges, fees & other charges, | | | | mortgage that you were eagerly looking |
| contact information, change of address | | | | forward to. Thus this rating is used to |
| instructions etc are all on there. You might | | | | ascertain your credibility and you must try |
| like to keep a note of contact numbers | | | | and maintain a good credit rating always. In |
| separate from your credit card especially the | | | | fact, credit cards are a good way of |
| one for reporting lost credit card. Do not | | | | developing a good credit rating. |
| leave important things like signing on the | | | | |
| back of credit card for later. | | | | A proper understanding of credit cards will |
| | | | thus help you in using them properly and to |
| Take note of various types of fee/charges etc | | | | the best of your interests. |
| that you can incur. You will find that the | | | | |
| fee/commission on using some of the features | | | | is a free online credit cards reviewand |
| is very restrictive e.g. withdrawing cash | | | | application website. We offer credit cards |
| using credit cards is a sure no-no unless you | | | | selection from visa,master cards, discover, |
| are in a very difficult situation and that is | | | | american express and many others. We have |
| the only option left before you. There is | | | | quite some categories and hundreds of credit |
| hefty charge/fee on cash withdrawals. | | | | cards selection to fit your need. |