Important tips to consider when getting a credit card

 When you are ready to take a new credit card there are lots of factors you need to consider.  Among these factors is a credit card term. You need to choose the plan terms that best fit and suit your financial needs. You need to consider plan terms like free period or grace period, annual percentage rate (APR), annual membership or participation fee, transaction fee among others.

It’s very important that you understand each of the credit card plan terms before you accept the card to avoid putting yourself in financial bondage. For example if your issuing company did not give free period and you are unable to pay on time your account will be charged and it will ends up adding to your debt.

There are several cases of card theft in recent days so it’s advisable that you keep your card very well to avoid unauthorized use. Also don’t give away your card information where you aren’t feeling secure. Another way to avoid lost or unauthorized use of your card is to only carry the card you think you will use. And in case of lost of your card you need to call issuer and inform them of the lost quickly. So keeping separate records of each of your account number, expiration date and issuer contact information is very important as well.

It’s very important that you reconciliate your account when you get statement of account from your card issuer. In other to reconcile your account successfully you need to keep record of receipts where possible and personal note where you don’t have receipt. Most likely you will discover errors which could have been added to your statement without you noticing it.

Keeping the above tips in mind will help you while shopping for new card and using it as well.

How to get credit card of your choice

It’s very easy to get a new major credit card of your choice these days. The most important thing has always been the state of your credit rating. Since your credit will be rated on your relationship with lending companies and banks, it’s very possible for you to improve or even build up your credit ratings with banks.

If you make sure that once you get loan you always make payments by the agreed time, sooner, you can move to another credit procurement program like getting Visa or Master card from all major banks you’ve borrowed from. These will be possible for you because they already know more about your credit rating.

As a matter of fact they have record of your transactions with them. Once you are able to get card from these banks you’ve been dealing with before, it will be easy for you to get credit card from any other banks that provides same service.

What most people that are dying to get new credit cards don’t know is that most of these banks are also looking for new customers. They are always ready to do everything legitimate to get you because they know they will profit from you. That is why most of them offer preferential interest rate. Providing that you have kept to your repayment agreements on all loans and cards, there is no reason why you should be refused any cards for which you apply.

Once you’ve achieve good credit rating, credit card companies, banks, and other lending companies will see you as a good risk. Thus, you will find it easy to get card from them anytime. Also you will be surprise at series of offers you will be getting from several other credit card companies that will also want you to have card from them.

They will trust you because they must have got every detail of your credit rating from your former bank. That exactly is the main reason why building your credit rating from scratch is very important.