Saturday, November 11, 2006
Things That A Credit Card Cannot Do For You
Credit cards are one of the best financial tools you can have, but they can also be dangerous and leave you with lots of debt. If you are thinking about getting a credit card, then it important that you know the downsides as well as the benefits. This will help you to use your credit card more wisely and avoid getting into debt. Here is some advice what a credit card cannot do for you.
It cannot make you richer
Although having a credit card will improve your cash flow and financial independence, it does not make you richer. Many people who get into credit card debt do so because they see their credit limit as their own money. In fact, that credit limit is simply the amount that you can borrow from your card issuer. Instead of making you richer, every time you spend on your card you are pushing yourself into debt. The only way to stay out of this debt is to make sure you can afford to pay back what you spend.
It cannot stop your debt problems
Many people get hold of credit cards because they think a credit card will help them solve their current debt problems. If you are spending more than your income then using a credit card is not a good idea. Credit cards are an expensive form of borrowing, and charging things to a card will delay your problems and put you further into debt. If you are having problems with debt then consult a debt counsellor who can help you find the best way to manage your problems.
It cannot save you money
Although credit cards are a great convenience and can help you to buy purchases beyond your immediate means, credit cards don’t usually save you money. For example, if you decide to buy something on credit in the sale and pay for it over time, the interest payments will usually cost you more than the saving you made on the item. Credit cards usually cost you money rather than save you money. Also, the interest that you pay and the fees that you are subject to outweigh the rewards that you are usually offered on credit cards.
So why get credit cards?
Although credit cards can put you into debt and can be dangerous, if you are sensible and know about the risks they can be of great use. Credit cards are much more secure than using cash or cheques, and allow you to shop online where you really can save money. Also, carrying around a card is a lot more convenient than carrying around large sums of money, especially if you are travelling abroad. Furthermore, a credit card allows you to buy items that you can afford, just not all in one go. Although saving up for expensive items is more sensible, this is not always possible and credit cards allow you more freedom to spend. If you can try and pay the balance off in full each month, then you will get the most out of your credit card and avoid the things that credit cards cannot help you with.
Get More Fun From Your Money With Sports Credit Cards
If you enjoy sport, did you know you could get a credit card that will help you get the most from your favorite pastime?
Sports credit cards work just like any other credit card, but every time you use them you collect reward points. These can be exchanged for sporting merchandise, tickets, and even VIP passes to events in your chosen sport.
There are credit cards available for a wide range of sports and pastimes. They include NFL, NASCAR, Major League Baseball, World Series of Poker (WSOP), and even fishing. A typical example is the Major League Baseball "Extra Bases" credit card. Card holders earn one point for every net retail dollar spent, which is redeemable for MLB autographed memorabilia, once-in-a-lifetime MLB experiences, cash rewards and travel with no blackout dates. New holders get an official MLB licensed jersey after their first qualifying transaction. The card also offers a 0% introductory Annual Percentage Rate (APR) on balance transfers and cash advance checks for your first 12 billing cycles.
Of course, before applying for any credit card, you should study the terms and conditions carefully and ensure it is suitable for your needs. Reward cards are great for people who pay off their entire balance every month. If you will not be doing this, however, it is more important to look for a card with a low APR. Otherwise there is a risk that the value of any rewards you receive will be outweighed by the extra interest you are paying.
Naturally, I do not recommend that you spend more than you normally would on your credit card just to get your mitts on the rewards. If you're a sports fan, however, you may as well put your normal spending on your sports credit card, to enjoy the free benefits in your favorite sport.
Friday, November 10, 2006
Credit Repair Service Scams – How They Are Robbing Consumers Blind
If you are thinking about hiring a credit repair service to clean up your bad credit report, you better take notes on the following special report:
Credit Repair Services are robbing unsuspecting consumers blind with their shifty scams, false hopes and broken promises. The director of the Federal Trade Commission's Bureau of Consumer Protection warns citizens in need of credit repair to be advised of numerous credit repair service scams and schemes. He states that while "There are legitimate, credit repair options available, the FTC has never seen a legitimate credit repair company."
Don’t be fooled by credit repair services that contact you with hard-sell tactics, unbelievable promises and outlandish fees. There are several big-time scams underway in the United States fooling consumers into paying big bucks to have their credit report cleared.
Be wary of credit repair services claiming that they are “in” with the credit bureaus, have some sort of special arrangement or know a secret tactic to make credit reporting agencies delete bad credit reports from your file.
There is no such thing as an ‘in” with the credit bureaus, they have rules and regulations that they follow to the letter, no matter what credit repair service you represent. The credit bureau may temporarily remove the debt in question from your file and place it on the disputed list, but when the bogus credit repair service doesn’t follow up with the proper procedures, the debt will return onto your credit report. This temporary deletion from your file is the so-called ‘clean credit report’ the credit repair service is promising.
Another bogus line some Credit Repair Services use to hook you is; “we can convince the creditor you don’t really owe this debt.” They come with a scheme to have you challenge the debt and then attack the debt holder with procedural requests that will allegedly make them drop the bad claim off of your credit report. Although there are legitimate ways to compel a debt holder to prove disputed debts, this is not an effective method and consumers rarely see any long term results from using this type of credit repair service scheme.
The third scam to look out for is for a price, the credit repair service promises to get you a whole new, clean credit file. The credit service tells you to apply for a new taxpayer id or Employer Identification Number, also known as a EIN, to build a new credit report. This is a felony and could land you and the credit repair service into serious trouble.
The reason unsuspecting consumers get taken by this scam is because the credit repair service does not fully explain what they are being asked to do. In most cases they don’t even realize that this is not a legal solution to their credit repair problems. Be leery if any credit repair service promises you a new credit file or fresh credit history.
Be wary of too good to be true promises and fast fixes, there are reputable counseling agencies that offer credit repair programs, just make sure you do a little reference checking before you sign on the dotted line.
The best credit repair advice I can give you is don’t waste your precious time and hard earned money on a questionable credit repair service. Do a little research and find out how easy it is to repair your own credit. A bad credit report can easily be challenged and resolved by ordinary people like you and I by simply following easy paperwork procedures.
Choosing the Credit Card Reward for Your Personal Needs
Reward programs are being utilized by credit card companies to attract many clients. Who wouldn't want to receive a certain amount of cash back by making frequent purchases? Free money is valued by almost individual, especially during hard times. But it can be quite costly in the long run, why?
Companies promise their customers some kind of reward or points every time they make purchases or simply spend money on a particular thing. That is why you tend to purchase or spend more than you should just to earn points in order to get a reward. And once the bill arrives, you will be shocked by the huge amount of payments that you need to settle.
However, rewards are not that bad. In fact, you do get some benefits with it.
When you secure an application form for a credit card, make sure that you're not just there because of the rewards that you are looking forward to earn. You have to know all the terms, the conditions, the rates, the rewards, and other important matters.
Reward programs are not the same all throughout. Most of these programs change over time, to suit the different needs of the people in different times or situations. Take time to read everything about your credit card application, including those in fine print. Familiarize yourself with the type of agreement there is. There are also companies which expressly state that they frequently change their reward programs if badly needed.
Rewards provided by your credit cards are usually based on how much money was spent over a specified period. Every time you make a purchase, your points are accumulated. The value and points vary, based on the card that you're using. You can redeem your rewards in the form of airline miles, gas rebates, store gift cards, cash back, discounts on merchandise, and many more.
Consider the following tips in choosing the right reward credit card:
- Your habits and needs should be considered, and not just the rewards that you're expecting to get out of the card. If you always carry a monthly balance, choose a card with low APR or interest rate.
- The reward should suit you best. As mentioned earlier, cards carry different rewards. So you need to gather as much information about the different rewards offered by different credit cards.
- The 'fine print' is just as important as the other prints in the document, so you need to read that carefully. Reward points accumulate over time, and it has an expiration. You should also know the different fees being charged by the card issuer which include APR, late fees, and limit fees.
- Before choosing a card, compare several credit cards first. Since you already know what type of reward you like, check if the cards offer such reward.
- Check a number of sources of valuable information. The internet is probably the best site to obtain credit card comparisons; another is the Federal Reserve.
If you want to enhance your daily life, then its time to get a credit card; but just make sure that you use it in a responsible manner. You can buy anything even when you're on a tight budget, and when the bill arrives, pay your dues to avoid a bad debt.
With a credit card comes responsibility. So have self discipline and continue to enjoy the rewards of your card.
Credit Card Options for Parents to Facilitate College Student
Going to college can be fun and at the same time difficult for many people, especially for the parents, but as said, having a degree is important for their child to have because with it, the child will acquire jobs that will help get them through life. If you're a parent, consider applying your son or daughter a student credit card.
As a parent, you are responsible for your daughters and sons going to school and providing them the education they want and need. Student credit cards can help parents with the expenses during their children's college years. But applying for student credit cards must be taken into a lot of consideration because some children often take advantage of the fact that they have a credit card.
Student credit cards are highly recommended for students that are away in college or distant from home. If you're planning on getting your child a credit card, consider applying for lower limits that is most ideal for your student child allowing them to learn about responsibility and teach them how to use their credit cards responsibly. High limits however are tempting especially for young adults because it can cause certain troubles like over rates and payment delay due to shortage of funds.
There are different kinds of credit cards available for students, however credit cards with the best interest rates are best advisable for your young adult. You will be able to save money and even apply for other cards that have no interest rates offered in the first month, therefore giving advantages to buying available and needed school materials for the college terms. There are also rewards promos when you avail a student card for your student that earns a point every time the credit cards are used. This is a point system that accumulates while making purchases using the card and is converted into different brands of items. Try to get a credit card for your young adult having reward promos so to enhance their experience in having a credit card during their years in college.
Vital information you should consider is the quality and special security features that student credit cards include if ever lost or stolen. There are policies for every student credit card that can protect lost or stolen cards. Students have the tendency in misplacing their valuables or either result in theft but having protection for their cards will surely prevent others from using the student credit cards. There are also cards available online most convenient for your student to access and keep track of their accounts. Online access can save time for college students and allow make transactions to credit card companies without even visiting the company itself. Because time is very important for a student, online access is great and extremely convenient for students that allow them to also accommodate other activities.
In mind, parents with high expectations in their young adults like finishing a degree in college can assist their young adults by having student credit cards. These credit cards can help assist your young adult during their college years and with it expand their experiences with a trusty and secure credit cards.
Parents that have already applied their student child a credit card should always remind their young adults the purpose of having the credit card and therefore prioritize only on the school necessities that will earn them a degree. In conclusion, a student credit card is an option for parents responsible for their young adults to assist while in their college years.
Thursday, November 09, 2006
How to Stop Credit Card Offers
It is in fact very annoying when you just can't stop receiving mails about a new credit card offer. If you are a new credit card holder and is paying your bills on time, you will likely get credit card offers frequently.
You have to know that four major credit bureaus have the right to sell your information to credit card companies. This is how this credit card offers always ends up in your mailbox with your name on it.
You may receive one or two credit card offers in the first month and can easily ignore them. But, after a few months, you will notice that almost two thirds of your mail will be credit card offers and can be very annoying.
You will encounter different offers such as low balance transfer rates, low interest rates and even no annual fee for credit cards. Although you may find the offers to be very attractive, you are likely not interested in the offers. If you are, you would rather go to the bank or the issuer yourself and apply for what they are offering and not receive some anonymous mail that you aren't even interested in.
However, there is a way to get rid of these credit card offers that you are frequently receiving in your mails. In order for you to do this, you just need to read the fine print of every single credit card offer that have been mailed to you. You will see that there is a paragraph that will state on how you can stop the credit bureaus from including you in their list.
Follow the procedures stated in the paragraph and notify the four major credit agencies for your request to be opted out from the offers.
You can also write to the four major credit bureaus and inform then that you don't want to be included in their pre-screened lists. With this, you should include some of your personal information, such as your name, phone number, Social Security Number, your Zip code, and also your mailing address. If you have moved in the past six months, you should also inform them about your old address as well.
By following the procedures above, you can easily get rid of those pesky credit card offer mails. You can easily get rid of these offers and live your life peacefully by just writing to the four major credit bureaus about your request.
You should also remember that some of these offers could be fraudulent. You can easily become a victim of identity theft by answering the offer. If you are interested in the offer, make sure that it's legitimate and there is such a company that issues these credit cards.
These are some of the things you should remember in order to stop credit card offers. By doing some of the steps that were mentioned, you will no longer get that junk mail you have always been receiving. Save yourself the trouble of throwing away those credit card offers every month.
If you want to get rid of the credit card offers, you should follow the simple steps that are included in the letter. You will see that the steps are located in the small print. It will usually state on how you can remove your name from the pre-approved offer. If you do this, you will be able to stop credit card offers from piling up in your mailbox.
Fix Your Bad Credit-Do It Yourself
If you would like to Repair Your Bad Credit, Fix Your Credit, or even try a Do It Yourself Fix for your Credit then read on. Has a credit repair company made you promises they have not kept? Yeah… thought so!
Frankly speaking though, this is a situation that you have gotten yourself into. And it may take you to get yourself out of it. If it is going to happen, you need a plan. And you need to be consistent in applying your plan.
• Educate yourself. Learn who the main players are. Also the players who say they are players, but they aren’t. The scam artists. The ones who take your money and disappear.
• The common practice of getting money before service is rendered is unlawful. Many don’t realize that. However, it is a violation of the Credit Repair Organizations Act.
• Some ask you to frivolously dispute each and every bad mark on your credit report. That’s unwise. Especially if you don’t have a leg to stand on.
• These Credit Agencies handle volumes of disputes. They have it down to a fine art. When they have checked and verified information on you that’s it. You can dispute until the cows come home.
• Don’t waste everybody’s time disputing. Do something positive and begin to turn your credit issues around.
Finally, do not allow a Credit Repair company to hoodwink you into grand schemes to repair your credit. If it sounds too good to be true, then maybe it is!
Plan your work, and work your plan. You can do this. You got yourself in-you can get yourself out. It would also give you a sense of accomplishment knowing that you navigated through the treacherous credit waters.
One thing is for sure. Once you dig yourself out from under, you’ll have a newfound respect for your credit.
Credit Find Fix It Rating-Whats Wrong, Let’s Begin Now
I find that if you try and fix your credit rating you can do it better than anyone else. Fighting your way out of the credit jungle ensures at least one thing. You won’t do it again.
All of us make mistakes. We shouldn’t have to suffer for the rest of our lives just because of a bad patch. One thing is for certain. If you are going to dig yourself out from under, you’ll have to take planned action. Take some of these baby steps first.
• When you have your credit report, check any negatives in the report. Talk to the creditor. Don’t run and hide. Do you owe something? Okay…offer them a payment and see if they would oblige and remove the negative information.
• Go to your local department store and get a charge account. Use it, and repay the bills on a timely basis. Remember, you didn’t get into this pickle overnight. It will take some time and a whole lot of patience. But you can do it!
• Do you have a best friend with good credit? Ask them to cosign a small loan with you. On your payback, do not deviate one inch from the terms. That is vitally important!
• Gather some money together. Deposit it into the bank and leave it there. Use it to get yourself a credit card. Purchase goods with it. Make sure you repay on that credit card on a timely basis without fail.
Work with these few tips. Don’t let bad credit hurt you any longer. You take control now. Rebuild your credit. Take the advice in the Lexus car commercial. Rebuild your credit from the ground up.
Wednesday, November 08, 2006
You Fix It Credit-Straighten Up And Fly Right
Are you overwhelmed with debt, have bad credit, and have been told that you now have You Fix It Credit? That is, credit so bad that the only one who can fix it is you?
In order to fix it you have to know what is in your report. Don’t make any assumptions. Always check and positively know what is in your credit report.
Your credit report may contain information that is hampering you from getting that all important loan. However, you don’t even know that certain information is in your report.
You have a credit history. It tells the story of how you managed your accounts in the past. Did you pay on time? Always late? Didn’t bother to pay at all? This is the type of information in you credit history.
Don’t be discouraged if your credit is bad. Something can be done. First things first. You need your credit report front and center! Know what is in it.
Does the report contain errors? How about outdated information? Any negative items? Do you dispute anything? If so, then send the disputed items and explanations to the credit bureau by certified mail.
The bureau will investigate your claims. If your claims are substantiated, your report will be updated and sent to you. If you still disagree after their investigation, the law allows you to add a written statement to your file on your own behalf. The statement should be 100 words or less.
Be careful what you write. You may do yourself more harm than good. If you’re unsure what to write, get help. That statement will become a part of your credit report. That’s why it’s imperative that you write to help yourself and not to hinder yourself.
What to Look for in Balance Transfer Credit Cards
Balance transfer credit cards can be quite tempting. They offer a person the opportunity to ditch those nasty high interest rate credit cards, while usually throwing in some nice incentives to sweeten the deal. However, a person should be fully aware that there is nothing magic about about balance transfers. It's not like your debts just go away.
A very common reason that an individual considers a balance transfer credit card is that they want to consolidate all their credit card debt onto one card. This certainly is a convenience and cuts down on the number of bills they they have to pay. But be careful, when people do this they may actually end up paying more. The reason for this is that even though these cards often offer no or low interest initially, the free ride does not last forever. The rates will go up. So when the introductory period is over, the rates could be even higher than what they were paying before.
The best way to handle this problem is to pay down as much of the debt as possible before the rates go up. It is also vitally important that a person makes their payments on time. And do everything in your power not to add to that balance. Staying on top of payments and setting a plan to pay off the debt is the best way to ensure that a balance transfer credit card does the person good rather than harm. Balance transfer credit cards are a wonderful asset for those that have fiscal discipline.
Instead of dealing with multiple credit cards, with multiple interest rates, payment dates and fees, a person is dealing with one company. In the beginning they will usually get a low interest rate, many times no interest rate. This gives them a nice grace period to pay down their balance without the added fees. By budgeting out a plan that will get the debt balance paid down before a new, higher interest rate kicks in a person will have freed themselves from a large amount of debt.
Balance transfer credit cards can most certainly be a blessing, if a person knows how to use them responsibly and to their advantage. A balance transfer credit card is a powerful ally in eliminating credit card debt. By all means put it to work for you, not against you.
The Power of Balance Transfer Credit Cards
Have you given in to the temptation of balance transfer credit cards? You will be able to transfer the balance off other credit cards to balance transfer credit cards. You will then benefit from bonuses like low interest rates, and incentives for transferring a balance. But it would still be sensible to do your home work before deciding to go with this type of credit card. You see, these cards can worsen your financial situation.
Balance transfer credit cards will enable you to consolidate all your credit card debt into one. As a result, it will be easier to pay your balance and it can also reduce the amount of your monthly payments. However, you can actually end up paying more. Even though these credit cards offer no or low initial interest rate, the interest will eventually increase. When you choose to combine all your debt into a single large sum, you can pay a lot more once the interest rates increase.
You can pay a significant amount of the balance before the interest rates go back up to avoid this problem. You should also pay your monthly payments on time, so that you will not increase your balance. Staying on top of payments and setting a plan to pay off the debt is the best way to ensure that balance transfer credit cards help rather than harm. These cards are ideal if you have an effective plan to pay off your debt. Balance transfer credit cards enable you to deal with a single company, instead of dealing with multiple credit cards that have multiple interest rates, payment dates, and other fees.
These cards can offer you a low initial interest rate or no interest rate. Balance transfer credit cards will also give you a nice grace period to pay down your balance without any added fee. You can be free from a large amount of debt by budgeting out a plan that will lessen the debt balance before a new higher interest becomes active. If you are smart enough to maximize their benefits, balance transfer credit cards will become a blessing.
Tuesday, November 07, 2006
Avoid the Pitfalls of Balance Transfer Credit Cards
Balance transfer credit cards can be quite a temptation for a lot of people. People can now transfer the entire balance from other credit cards to balance transfer credit cards. These credit cards attract people by offering perks like low interest rates, and reward incentives for transferring a balance. However, people who are interested in these cards should do some research before deciding to go with this type of credit card. This is because this credit card can put people in a worse situation than they were.
People want to take advantage of balance transfer credit cards because these cards offer a low interest rate or no interest rate for a period of time. People can have a nice grace period to pay down their balance without any added fee. They can be free from a large amount of debt by budgeting out a plan that will lessen the debt balance before a new higher interest becomes active. Balance transfer credit cards can be a blessing to people who are smart enough to maximize these cards’ advantages.
Many people use this type of card to consolidate all their credit card debts into one. These cards can make it easier to pay the balance and can also reduce the amount of monthly payments. However, people who do this can actually end up paying more. The reason for this is that even though balance transfer credit cards offer no or low initial interest rate, the interest will eventually increase. People should realize that when they choose to combine all their debt into a single large sum, they can pay a lot more once the interest rates increases.
Fortunately, people can avoid this problem by paying a significant amount of the balance before the interest rates go back up. It would also help if they can pay their monthly payments on time. Doing this means that they will not add to their balance. Staying on top of payments and setting a plan to pay off the debt is the best way to ensure that balance transfer credit cards help rather than harm. These cards are ideal for people who have an effective plan to pay off their debt. Balance transfer credit cards can enable people to deal with a single company, instead of dealing with multiple credit cards that have multiple interest rates, payment dates, and other fees.
Underlying Truths about No Annual Fee Credit Card
Credit card companies are becoming more competitive each day; this is why the number of no annual fee credit cards being offered is rapidly growing. No annual fee credit cards are coupled with a lower or even zero percent APRs on the introductory period which is now the set standard in the credit card industry. It is considered by most credit card clients as a great advantage and benefit for them.
Recently, no annual fee credit cards became the most popular instruments used by most credit card companies in marketing their credit cards in the market. Before, it was not the trend because every credit card user was charged to pay their annual fees. However, the credit card issuers realized how their clients have resented because they are obliged to pay the annual fees in order for them to utilize their credit cards.
The credit card issuers slowly eliminated annual fees to advance on their marketing incentives. But clients should never think that there would be no payments at all. Make sure that you carefully study all the credit card offers and features as well as understand all the written statements in your application forms before signing the contract.
It is true that the credit card issuers might offer you a credit card without an annual fee within a period of one year but when it expires, it will overly charge you with a higher percentage on interest rates. Don't be fooled by some fraudulent credit card offers. Keep in mind that you could face your greatest challenge especially when you are being bombarded by lots of good credit card offers.
There are always terms and conditions upon every agreement. Take for instance, you are not able to pay your full monthly balance, still, you are required to pay the service charge for any unpaid balances. Likewise if you exceed the limits of your credit card, still, additional fees as high as 35 dollars are needed to be paid. Also avoid paying your fees late because besides the service charge and the excess limit charge, you are also obliged to pay late fees. So, it will turn out to be the client's loss even if they are not charged any annual fees. It would be a great lesson for people who want to apply for a new credit card.
Credit card holders should have a definite plan regarding proper credit card handling, spending, and paying their bills responsibly. Any wrong move in using your credit card will cost you a lot giving you financial burden instead of helping you out. All the transactions and the mistakes that you have done will be recorded in the reports about your credit cards. Soon, these unfavorable marks will significantly affect other aspects such as home loans, job applications, new car purchase, insurance application, and interest charges when applying for another credit card.
You can apply for no annual fee credit cards from a number of financial institutions and banks. Once you have found the credit card that will not charge you any annual fee, immediately make an assessment regarding the other features that it offers. It can include 0 % interest rate during the introductory period, and reward programs such as air miles, cash back, and others.
In every financial situation and needs, you can always find no annual fee credit card offers that will meet your needs. Just be always cautious and keep important reminders in mind.
Warning: Credit Cards Can Seriously Damage Your Wealth
Jim Spowart, the ex-chief of Halifax who also helped launch Standard Life Bank and the online mortgage bank Intelligent Finance, has recently announced that credit cards should carry warnings similar to those on cigarette labels to alert shoppers of the potentially high repayment costs. He is even reported as having written to the Chancellor, Gordon Brown, regarding "excessive" charges, and demanding that legislation is put into place. Jim Spowart believes that consumers deserve to receive better protection and that an official body like the Office of Fair Trading should be tasked with looking into the financial practices of the credit card companies.
The fact that many credit card charges are excessive will probably not come as much of a surprise to most credit card owners in the UK; however, with the nation's continually increasing problem of personal debt, there is a mounting need to implement changes that could help to educate and protect UK consumers from getting into further financial trouble.
The most recent reports show that credit card interest rates are now typically around the 16% APR mark, which makes them, on average, over 11% above the current Bank of England base rate of 4.75%. In the letter which he also intends to send to the shadow chancellor, George Osborne Spowart states that the warnings should be explicit in their wording, with statements such as, "This credit card is charging you a rate of interest 200% above the Bank of England base rate."
"[There is] no justification for such rates other than pure banking greed," Spowart told the Scotland on Sunday newspaper. He added, "What we need is legislation in the UK which would insist that lenders highlight the fact that they are charging 200% about the Bank of England's base rate. The cost of these excessive interest rates is certainly contributing to the customers' inability to pay bills."
This situation is especially unfortunate for younger consumers who generally have not had sufficient time to build up a particularly good credit rating, and who are therefore usually offered credit rates towards the upper end of the scale; these younger consumers are also the least informed to make intricate financial decisions. However, these decisions are not easy for older consumers either. Recent changes within the finance industry have made it increasingly difficult for all consumers to compare credit card rates.
Over the past year, the press has been awash with tales of the many different methods by which banks calculate interest rates - which means that some deals may not be as good as they originally seem. The recent legally enforced reduction of late payment charges is likely to lead to an increase of various other fees to compensate for losses from this highly lucrative source. To counteract the additional losses experienced by credit card companies due to people taking up the introductory 0% offers has, over the past 16 month, lead to an implementation of fees for transferring debts from one card to another, as well as a bewildering array of different interest rates assigned for new purchases, currency conversions, credit card cheques, and so on.
The introduction of reduced late fees, personal summary boxes, minimum payment boxes, and improved transparency by part of banks is a big improvement; but as the constant financial reports show, larger financial institutions are liable to claw back any reduction in profits from one area by increasing rates or introducing new fees in other areas - making it is unlikely that any real long term financial benefit will be gained by the average consumer.
Good Rental History: Why this is Critical in Repairing Your Credit
We talked previously about establishing a good rental history. You must have two (2) years of on time payments. No exceptions. Some of you reading this may think this is the simplest part of the "repair effort", but many times there's a situation where the apartment manager has a bone to pick with a tenant and causes a lot of grief. We've seen everything from illegal eviction notices to bogus damage claims. What can you do to make sure you are protected? You can go to any library and obtain a copy of your states statutes regarding tenant rights. I suggest you become familiar with them in order to protect your rights.
The best way to avoid any drama is to establish a good realtionship with your apartment manager now. One suggestion is ask if there's anything you can do around the complex to help out. Something as simple as picking up loose trash can make a huge impression. If there is an issue the key to resolving it is to address it immediately.
Most apartment owners or managers want to know your future plans. If you tell them you are renting for a year or two with the intention of buying a home, they will probably work with you. After all, you are letting them know that your apartment will be coming available for rental in the future without them having to go through any hassles such as evictions.
You are going to have to put forth the effort if you are serious about getting a broker to eventually find you a mortgage loan. Good rental practices work in any state, so no matter if you live in Florida or South Dakota it important to get off on the right foot.
Monday, November 06, 2006
Free Online Credit Report and Score
We all need to obtain a Free Credit Report at a minimum of once every year. Reviewing your Free Credit Report and knowing your Credit Score helps you to be in charge of your credit situation as well as find any errors or signs possible identity theft as soon as possible. You are able, by law, to obtain one Free Credit Report each year.
Looking on the Internet, you will find many sites offering you a Free Credit Report and Score Online. There are many things to take into consideration before signing up with any of these services. Some so called Free Credit Report sites found Online are scams! Other Free Credit Report Agencies while not scams, will require you to sign up for some type of free trial program or offer that you need to remember to cancel or end up paying a fee for the continued service. Still other Free Credit Report and Score web sites will end up selling your e-mail address and home address to others who will send you spam e-mails and junk mail to your home. As you can see, in many cases, that Free Credit Report isn't really free at all!
If you really want to get your Credit Report "Online", you may want to try to find a service that charges a small fee. There are many legitimate sites to obtain your Credit Report safely. Do a little checking and find the one that suits your requirements.
If you are not in a real rush to get your Free Credit Report and don't necessarily need to get it Online, the best thing to do is to order it via regular mail. Starting in September of 2005, Americans are able to request from Experian, Equifax, and Trans Union, a Free Credit Report once every year. To do this, you will need to go to www.ftc.gov/credit and print the Annual Credit Report Request Form, fill one out and mail it to Annual Credit Report Request Service PO Box 105281 Atlanta, GA 30348-5281. Once received, you can expect to get your Free Credit Report back in the mail within 15 business days. While this way takes a while longer, you can rest assured that all of your personal information remains personal!
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