Credit Card : Use and Misuse
Credit cards are the new age plastic money. Like debit cards these can be used to obtain instant cash. However, unlike debit cards, the issuing bank lends the amount withdrawn to the customer. The lending body approves an amount which can be withdrawn using a particular credit card, known as the credit limit. Some popular banks which approve credit cards in UK are Barclaycard, MNBA credit card, Morgan Stanley Credit card, Natwest Credit Card etc. You could choose from a variety of offers and interest schemes to compare credit card rates and to find the cheapest and the best deal for credit cards.
People with a poor credit history have an an option of secured credit cards where the card holder is required to submit some amount as security. This amount can be equivalent, more than or even less than the credit limit depending on the lending authority. Like the normal credit card the card holder is still required to make regular payment though in case of default payment the lending authority may have use the deposit. Usually a deposit is used only in case of a long delay like 150 to 180 days or when the account is closed.
Credit card security is a major concern for lenders and customers alike. High cost of surveillance have forced banks to adopt means which control credit card fraud to manageable extent. Credit card fraud is easy if credit card information is stolen or lost due to carelessness. It is crucial to secure card information to be encrypted in non readable format by humans, things like simply emailing card information by some website using SSL may lead to the customer being cheated.
Credit card industry has been reaping huge profits since the business relies a lot on unsecured loans. Ease in transaction and instant cash has made credit cards a boon for a lot of people. Though credit card fraud does not pose a major threat to the industry still there is a need to control theft to make the transactions reliable and secure.
Credit Repair Secrets
Credit repair secrets exist only because the credit repair companies don’t want you to know how easy it really is to correct your own credit yourself. As long as you believe it is difficult, they can charge you hundreds if not thousands of dollars and gladly do it for you.
Did you know that just using a credit repair company can severely damage your credit score for years? In fact, credit counseling or even debt consolidation can also hurt you in credit scoring and all you are trying to do is be more responsible about your credit. It doesn’t seem fair does it? Unfortunately that is how the credit system is designed.
Many consumers who have gone to credit repair companies have bad experiences because the company didn’t even work on the file themselves but outsourced it to someone else. The whole reason they can get away with this is hardly anyone educates themselves before handing all of their credit information over to someone they have never met.
Identity theft is another major problem in the World today and sadly it is growing so fast that no one can see an end in sight. Think about who you are giving your personal documents to and think about who is getting all of your very sensitive information. Here is another little secret, in as little as an hour you can easily protect yourself by placing a shield around all of your sensitive information that locks it in place so no one can see it without your permission.
So if you can learn how to take off things like charge offs and late payments from your credit report, is it possible to raise your credit score? Actually that’s exactly what happens when you begin removing some of the negative items from your credit report. The more of those items you can get removed the higher your score goes.
Anyone who has a low credit score knows that every single thing they buy on credit costs them a lot more than someone who has a higher credit score. So you can start saving money quickly by raising your score and soon your score can even go higher if you continue to work on removing the negative items.
Knowing other things like how married people should apply on any credit application and what works quickly to raise your credit score and what not to waste your time on can not only save you countless hours of time but offer you a blueprint as to how to apply for any credit in the future.
But is this something you can learn how to do yourself or should this be left to the professionals? If you can you use a phone and can write a few letters then you have the qualifications to correct errors and remove negative items from your credit report. You can not only clean up your credit report, but you can save yourself a lot of money in the process.
The biggest reason most people do not correct information on their credit report is because they have no credit repair knowledge. But nothing about it is hard, and once you learn how to do it, you’ll be surprised at your results. Just knowing a few credit repair secrets can not only impact your life quickly but can save you thousands of dollars in interest.
Debt Relief – Credit Card Management
First of all, stop taking out more accounts. That only gives another credit card company access to your money.
They can charge you membership fees and try to lure you with credit insurance. If you have three or more credit resources already, that’s plenty.
Hector Milla Editor of the “Credit Card Debt Free” website — http://www.CreditCardDebtFree.org — pointed out;
“…Second, use short term offers wisely. If one of your existing accounts offers you a zero percent deal for a few months, take it but transfer a small amount to that account. Then you can focus on paying off that transferred amount and see 100% of your payment go against principle which is the fastest way out of debt…”
Third, pick a card and pay it off. It might be the card with the lowest balance which is one you might give the least to so you can respond to the higher level debts. But if you pay that card off, that is one less bill coming in each month and it gives you a great feeling to know you are slowly killing off the monster of credit card debt one card at time.
That brings us to the cornerstone of the inside out method. Instead of paying on the card with the highest interest rate, pay them the minimum payment and put your excess funds against the cards with the lowest rate. In this way you are getting the most bang for your buck with the small amount of extra funds you may have to pay on the debt.
“…That debt will go down more quickly and then you can attack the bigger accounts and begin to whittle away at them too. And by using a smart approach to the credit card debt you have, you take control of the problem and put it on a program to go away. And that will be the greatest feeling of them all…” added H. Milla.
Further information about trusted and reputable companies for credit card debt settlement by visiting; http://www.CreditCardDebtFree.org