Credit Cards Article, Choosing a credit Card Now!
Have you been searching for the right credit card to fit your current situation?
Do you know which credit cards are best for you, and which ones you actually qualify for?
Finding the right credit card can be a daunting and confusing task.
The good news is that help is not far away.
There are several factors one must consider before choosing which credit card to apply for.
First of all, you must understand that everyone’s financial health is different. In order to choose correctly, you must be willing to honestly and truthfully face your financial strengths and weaknesses, as they will help determine how much credit, if any, you can handle. Contrary to popular belief, a credit card is not something to be used haphazardly or on a whim.
Credit cards have to be used with wisdom and responsibility.
If you know that you do not have the discipline it takes to be responsible and fugal with a credit card, you are probably not ready to get one. It doesn’t take much for credit card use to get out of hand and quickly put you in deeper debt.
Choosing the wrong credit card can, and will cause huge problems as well.
A credit card that carries an extremely high interest rate is something you should avoid at all costs.
If you don’t already know it, high interest rates have ruined more people financially than you could imagine. As soon as you miss a payment or are late on a payment due, the interest rate on that card will rear its ugly head and easily suck you into a swirling typhoon of late fees and extra charges that will grow like crazy.
There are different credit cards that one can apply for, and hundreds of different companies and banks offering credit cards. But just because you apply for a card does not mean that your application will be accepted.
Unless you have impeccable credit, expect to be turned down by some of the more well know credit card providers with higher credit limits and low interest rates. You should recognize that your creditworthiness will determine which cards you qualify to apply for, and then it’s up to the bank to decide whether or not you are deemed worthy.
Sometimes it is necessary to apply for a secured credit card instead of
an unsecured card. An unsecured card is one that basically says the bank trusts you to behave responsibly and therefore requires no type of security to grant you a line of credit. A secured card is one that requires you to deposit money into the account as security, which you can then use to build your creditworthiness over time.
This is similar to a prepaid card, but some prepaid cards do not actually help build your credit,
so it’s important to know the difference.