bharatbhasha.com
Free Articles  >>  Business And Finance >>  Page 2353  >> 

Most Common Credit Cards Myths





Copyright (c) 2010 Tara Tiemann

There are lots of false beliefs about credit cards circulating amongst consumers and if you are a credit cardholder, believing such myths can be damaging to your personal credit standing. In this post, let us take a look at these common credit card myths and get to know the reality behind them:

Myth No. 1: It's okay to apply for a credit card; you can always back out by not calling the activation number.

Some people may send an application to get the freebie, thinking that he/she can always back out by not activating the card. However, it's important to understand that the moment you send a credit card application, an inquiry will be made on your credit report.

Once approved, the account will automatically show up as active in your file whether you choose to active your account or not. However, in order to use the credit card for a transaction, you will need to call the activation number. The point is, you should never apply for a credit card if you are uncertain about it and do not have any plans of keeping it.

Myth No. 2: You can't avoid unsolicited credit card offers.

To reduce the number of unsolicited offers from various credit card companies, you can call 1-888-5-OPT-OUT. By calling this 1-888 number, your contact details will be removed from marketing lists sold to credit card issuers.

Ethical companies should give consumers the option to say no to marketing offers by Opting Out. Take every chance you can get to "Opt Out" whenever you sign up for a service.

Myth No. 3: You can buy anything you want if you get a card with "no preset spending limits."

Some Issuers advertise having "no preset spending limits" but what does it really mean? The fact is that all credit cards have a borrowing limit except that some cards allow their customers to exceed their limit but approval is determined based on the cardholder's income and payment history.

Myth No. 4: Paying your full balance on time is all that matters.

Paying your balances in full and submitting payments on time are essential steps to avoid bad debt and protect your credit score. But is that all you need to worry about? If you want to avoid further and bigger credit problems, keep in mind to make use of your credit card wisely and avoid going beyond your limit. Financial experts recommend not using more than 50% of your available credit even if your credit card has a low interest rate.

Myth No. 5: All reward credit cards are rewarding.

At first, rewards credit cards may seem to be the perfect card ever. But upon taking a closer look, you may find that this is far from truth. In reality, the best way to be sure whether the reward program is worth it is by studying the Terms and Conditions. Furthermore, what is ideal for one person may not be ideal for others. To really get rewarded, you should choose a reward credit card that fits well with your spending and lifestyle.


About Author Tara Tiemann :

For people who want to live debt free, Tara Tiemann, a credit analyst of <a href="http://go-prepaid.com" target="_blank">http://go-prepaid.com</a> , is your resource for sites that will help you on your finances and save big money using prepaid credit cards and prepaid debit card.


Article Source: https://www.bharatbhasha.com
Article Url: https://www.bharatbhasha.com/finance-and-business.php/255575


Article Added on Sunday, August 22, 2010
LD
Other Articles by Tara Tiemann

Why Is It Important to Get Credit Cards for No Credit History
Copyright (c) 2010 Tara Tiemann The basic importance of having credit cards is a common knowledge for most of us. Due to the demands of the commercial world, more and more people realize what vital roles these cards play. Some people own one or two cards while others apply for more than four credit cards. But despite this growing recognition, a lot of people remain hesitant to get their own cards. If you are one of them, what stops you from getting a credit card? Is it your lack of credit...

Tips on How to Use Secured Credit Cards Wisely
Copyright (c) 2010 Tara Tiemann What is the best card you can take to re-establish your credit history? Most finance experts would agree that the answer to this question is a secured credit card. After all, by managing this card properly, consumers can have the chance to rebuild their credit profiles and soon receive better financial prospects. Still these questions remain unanswered: what exactly is a secured credit card? How does it work? Why is it considered a type of card for bad credit?...

Which Is Best Student Credit Card Or Debit Card
? Copyright (c) 2009 Tara Tiemann The prepaid debit cards and the student credit cards are types of cards which a student may choose to help them regarding there schooling. But the question is, which among the two cards should a student choose? How does prepaid debit card differ to a student credit card? Having knowledge about this two options may actually help you decide and come up with a sound decision. Read more to find out. The Unsecured Student Credit Card An unsecured student credit...

What are Prepaid Cards
? Copyright (c) 2010 Tara Tiemann Prepaid cards are more preferred by more and more consumers nowadays. What could be the reason for this switch? Do prepaid cards have better benefits than regular credit cards? The following paragraphs will give the answers to these questions: What are Prepaid Credit and Debit Cards? Prepaid card programs are able to change the way people spend. Through prepaid debit cards and prepaid credit cards, consumers are able to achieve their goal of spending only...

Rebuild Bad Credit Using Prepaid Debit Cards
Copyright (c) 2009 Tara Tiemann Applying and getting approved for a credit card is difficult for a person with poor or bad credit score. Credit card issuers are a bit hesitant because they think it would be risky to approve your application since you have a bad credit history. Is there another way to improve your credit rating? One way is by applying for a prepaid debit card. Prepaid card issuers do not conduct credit check so anyone can get approved easily. Since prepaid debit cardholders...

Why Prepaid Debit Cards Are Meant For Young People
Copyright (c) 2009 Tara Tiemann Having a bad credit due to uncontrolled spending is one of the reason why parents are skeptical in giving their children credit cards. But we know that credit cards is important in building a credit history. You won't have to worry about your teenagers having a bad credit. How? Let them use a prepaid debit card instead of a credit card. Yes, a prepaid debit card gives young people the chance to establish an early credit history while minimizing the risk of bad...

Are Prepaid Credit Cards the One For Me
? Copyright (c) 2010 Tara Tiemann Prepaid credit cards are growing in popularity today since they are technically much easier to avail than regular credit cards. However, unlike a regular credit card, a prepaid card does not give its holder the privilege to make advanced purchases that are payable at a later time. And since the cardholder is not provided with a credit line, issuers of prepaid cards are more lenient in approving applicants. In fact, anyone can easily get a prepaid one without...

Prepaid Credit Cards And Its Advantages
Copyright (c) 2010 Tara Tiemann Credit cards, also known as plastic money, is becoming more popular as the years go by. Most people consider credit cards much safer to carry around and more convenient to use when paying bills or making purchases. However, it is also known that not everyone are qualified to own one. Many issuers require good or excellent credit history before granting approval. For people who have no credit or bad credit history, does this mean that cash and check are the...

Advantages of Prepaid Debit Cards for Day to day Living
Copyright (c) 2009 Tara Tiemann Most people prefer to use credit cards than debit cards. In fact, cards often have a bad reputation because of their upfront charges and fees. But are there certain advantages that only prepaid debit cards provide? In this article, let's consider advantages that prepaid cards bring: 1. Spend only the money that you have. When you make a purchase and charge it to your credit card, technically, you borrow the purchase you made and pay it back at a later...

Prepaid Debit Card Why Choose It
? Copyright (c) 2009 Tara Tiemann Preferring a prepaid debit card than your own credit card? Find out how it can be more beneficial to you. What are Prepaid Debit Cards? As the name implies, this card are prepaid or paid in advance. Unlike a credit card - which gives you the option to charge purchases in your account and pay for them at a later time, this card doesn't provide a credit line. Instead, it requires its holder to submit cash in his/her account. This cash savings will then be...

Click here to see More Articles by Tara Tiemann
Publishers / Webmasters
Article ID: 255575
DELINK URL from Authors Bio
REMOVE Article
Tell A Friend
Leave A Comment!
Download this article in PDF
Report Article!
Search through all the articles:


234 Users Online!!
Related Articles:
Latest Articles:
 
Business And Finance >> Top 50 Articles on Business And Finance
Category - >
Advertising Advice Affiliate Programs Automobiles
Be Your Own Mentor Careers Communication Consumers
CopyWriting Crime Domain Names DoT com Entrepreneur Corner
Ebooks Ecommerce Education Email
Entertainment Environment Family Finance And Business
Food & Drink Gardening Health & Fitness Hobbies
Home Business Home Improvement Humour House Holds
Internet And Computers Kiddos and Teens Legal Matters Mail Order
Management Marketing Marriage MetaPhysical
Motivational MultiMedia Multi Level Marketing NewsLetters
Pets Psychology Religion Parenting
Politics Sales Science Search Engine Optimization
Site Promotion Sports Technology Travel
Web Development Web Hosting WeightLoss Women's Corner
Writing Miscellaneous Articles Real Estate Arts And Crafts
Aging


Disclaimer: The information presented and opinions expressed in the articles are those of the authors
and do not necessarily represent the views of bharatbhasha.com and/or its owners.


Copyright AwareINDIA. All rights reserved || Privacy Policy || Terms Of Use || Author Guidelines || Free Articles
FAQs Link To Us || Submit An Article || Free Downloads|| Contact Us || Site Map  || Advertise with Us ||
Click here for Special webhosting packages for visitors of this website only!
Vastu Shastra

cPanel Hosting Provided By AwareIndia







Company IDS