Kamis, 19 Juni 2008

4 Tips before you're making Balance Transfer

The offer from your credit card balances sounds like a pretty good business, is not it? And it is until your magnifying glass and start reading the small print to the offer. What many people do not realize is that the creditors who have such an incredible deal would not do if there is no other way to benefit financially. These lenders actually feel safe in the assumption that most people with the transfer of the balance is not respected, which may provide valuable data held by the offer.
The transfer of balances from a high interest rate on a credit card with no or a lower interest rate can save you a lot of money if you do not fall victim to these common errors.
1. Levy order
Rare is the balance transfer offer, not with a kind of balance. It is perhaps a lump-sum $ 50 or $ 75, but it is usually a percentage of the total amount of any balance. Maybe 3% does not sound like much, but if you several thousand dollars, that the charge may be hundreds of dollars!
Although you may know now on the lookout for such fees, it is something else you should look at: whether there is a limit to how much the balance transfer can go. Avoid people without caps. Before making an offer, which is always count. If the balance eventually transfer more than you have paid would be in the form of interest you did not have the transfer is made, it is not over!
2 Other interest
Even if little or no importance perhaps imbalance transfers, is still a new card that you have used to make purchases. Purchases, however, normally not part of the no or little interest. In fact, you can expect that the interest for the purchase or cash withdrawals are just as high or higher than the credit cards that are already used to shopping. If you seriously chipping away at your debt, which is really the best reason to take advantage of the transfer balance, you should really stop revenue credit card debt!
3. The payment allocation
If you have balances on the new account and you make purchases on this new credit account, you will be surprised that your payments are not assigned to your way of thinking (supposed). Suppose you $ 1000 and during the last month, new purchases in the amount of $ 200. They make a payment of $ 300 can clear away from the new taxes and chipping away at the transfer amount.
Next accounting period you will receive your statement and find that the $ 200 in new purchases is still there - and the number of new burdens that you since then. And all those purchases are compounding interest at the rate of 16, 19, 22% or more! What happened? Now, as the small, credit card your full payment on the balance zero interest, because - and it is not making money on that amount. But it is certainly in this new purchases!
4. Interest rate is set to intro
The low or no interest will not last forever and what you need to know how much they will increase when the deadline expired. Any remaining balance is likely to post whacked with a much higher rate. To ensure that this is the case - the savings negate the advantages that you collected so far - make sure you have a plan for paying off your balance before the rate increases. Also, make sure that you do not miss payments or too late. If you believe you can find - without warning - zero percent, no longer apply and you pay more interest than you were.

Rabu, 18 Juni 2008

Prepaid Credit Cards

Many marketing campaigns for prepaid cards are in the under 18 crowd. In fact, all over 16 may be money in a prepaid credit card and then use it as a credit card if you are buying or online. Children over the age of 12 or 13 can often a prepaid card that good, as long as Mom or Dad to sign up for him.

Some lawyers argue to young people is a prepaid credit card offers a good opportunity to give them money management, while critics argue that we just have to show them how tempting a genuine credit cards and put them up for disaster.

As for financial companies, it is difficult to do a lot of money for a prepaid credit card, because they can not demand interest on the unpaid amount. They usually require a registration and then pay taxes, if a deposit is made on the account, but the amount they earn is minimal compared to a conventional credit card.

Prepaid credit cards are beginning to make their mark in the world, however. The companies are branding cards with their logos, and use them as employee incentives, because they are cheaper than the controls or trade incentives, and sometimes a prepaid card that is used instead of a paycheck. The workers paid directly to a pre-paid cards for each pay period, and the employee can then the money as they normally would. (Prepaid credit cards work in the ATM for cash too).

Rabu, 04 Juni 2008

5 Tips Choosing the Credit Solution

You know the type of credit card or loan, you must apply depending on your credit score. But all possibilities for credit for people with poor, fair, good or excellent credit rating, which is perfect for you? Here are some tips to help you solve the problem will be most effective for you:
1. Determine what you need.
Would you pay your entire balance each month and earn rewards or cash back on what you use? Rewards cards are great, but you can be a balance that had been set up on your card, and you're willing to pay as little interest as possible while you handle. In this case, 0% interest card can save you more money than you would with a map of reward.
2. Rewards vs APR
Awards offer something for nothing, but they tend to come with a high RPA. So if ever there is a chance, you do not pay your balance off, or your circumstances change and you do not change the cards, it is easy to spend a lot more taxes than you do ever rewards. In these cases, the TAP is the key.
3. To get out of debt
Some cards offer 0% balance transfer fees and 0% for the first few months. If you pay interest on a debt earlier balance transfer to a credit card with these options can help you get out of debt faster. Another method is debt consolidation; Americans saved more than $ 20 million last year using debt consolidation companies.
4. Buying a Car
If you make a big purchase, like a car, make sure that the APR on your credit card or loan is low. Try also with a 0% card balance transfers, and change your purchase a card without interest. If your purchase is a great car, you can not have high enough credit limit on your credit card. But there are many large loans that exists for cars that are guaranteed approval and help build your credit score.
5. Home Purchase
The solution to the home purchase will be easy. There are so many companies competing for your business, interest rates are low and you can find a loan quickly and inexpensively. GMAC is one of the largest mortgage lenders in the USA. Apply for a loan, compare loan programs and rates to refinance your current mortgage, and are considering a home loan or line of credit.

Selasa, 03 Juni 2008

Choose the best International Credit Card

For you that often goes to across country, I have some information how to deal with payment that support all over the world. Bringing cash money when you go to other country is not a bad choices and I think it is important when you need to pay something that we can't pay by credit cards.
There two kind of credit card, Mastercard and Visa that already famous in all around the world and accepted by million merchants.
Here's I give you a list when you will go to other country safely and enjoy the trip or vacation :
  1. Always bring cash, just in case to pay some small activities.
  2. Choose credit card with huge limit and lowest APR for foreign exchanges and if you're lucky you get some cash back.
  3. Don't bring all your credit card in one place, just in case if your wallet is gone and always create a pin to all your credit cards.
  4. Better if you have a travel checks in some case you need for an government policy.
Well, I think it is enough right now and have a nice vacation.

Minggu, 01 Juni 2008

10 Credit Card Tips

Now I want to give you 10 Credit Card tips for you. Pay attention with this tips because if not you may get really problems with your credit cards.
  1. Choose the lowest APR. It's good for you even it's just one season period promo or something. Please carefully with choosing the lowest APR, you need to find out another version of those credit card and if it's safe and no hidden fee you may continue applying it.
  2. Find out all the hidden cost. I believe almost all the credit cards company has an annual fee and maybe they like to catch the customer with no annual fee by applying credit card to them. So, find out all the hidden cost like annual fee, insurance, penalties, and more.
  3. Never use your credit card for loans. If you need a short or medium terms of loans, I suggested you take a personal loans. It is because you will get a high APR and it's continue until you paid all the credits.
  4. Pay your bills as soon as you can. If you're really needed this loan fast, you may use this credit card but you need to pay the bill as soon as you can.
  5. Pay your credit card bills on time. This is for sure, you need to paid all your bills on time, if not you will get a penalties and it's usually huge :)
  6. Choose a card that covered all your needed at a time. It is just to make you easier to manage your bills, especially if you have several credit cards.
  7. Try to split or reduce the interest rate. Some credit cards company has a policy that customer can split their bills into several terms of payment with low interest rate.
  8. Setup an automatic paid bills for your credit cards. It will make you easier, just in case you forgot to pay the credit cards bill and of course you must have a saving on your bank account.
  9. Get free loan pending credit card bills. It's also credit cards company has a policy to get attract customer you use their credit cards.
  10. Always saving your money. Finally, start to save your money and create a budget for the next 3 month and always manage your expense.

Never get a trap by a Credit Card Company

One of the objectives for this blog is to help people protect themselves from predatory behavior of companies. I love capitalism and love to be able to benefit from the innovations offered by the market. I want companies trying to do and by providing financial value to the customer.

Yet there are many who try to deceive and take advantage of gullible customers. This applies particularly to financial companies. If a company tries to trick you by selling you on a less than truthful description of supply (such as $ 1 for the first month, or 1% interest rate for the first 6 months) my experience leads me to believe, they have no confidence that they have a real value. They do not believe people would buy what they offer for the real price, so instead they try and trick the people with misleading information. And there are plenty of people who are financially illiterate fall for these bad deals - Do not be one of them.

Credit card companies seem particularly bad in this kind of behavior. Most often they just take advantage of people who are not hard to understand what the real costs and interest. The consumer must obviously accept some of the debt. But tricking people who are not financially literate is not an honorable way to make money. But there are many who do not seem to forget to use those that do not educate themselves.

Put your financial literacy education by visiting these sites and reading and watching (you can look at the whole show online PBS) and learning. If you are not worth doing to your financial literacy it will cost you as others take advantage of you.