Category Archives: Credit Cards

Secured Or Unsecured Credit Cards Are Options For Bankruptcy Reports

Secured Or Unsecured Credit Cards Are Options For Bankruptcy Reports

If you are considering applying for a credit card after having gone through bankruptcy, the best advice is to apply for secured credit cards that initiate collateral usage for the credit card application other than applying for unsecured credit cards.

Have you ever wondered how secured and unsecured credit cards differ from one another? By the word itself, you know that the secure credit cards are secured while the unsecured credit cards are unsecured. The secure credit cards uses your saving accounts as collateral, usually starting from five hundred dollars or more that the credit card issuer use to determine credit limits for you, and as mentioned used for collateral purposes if there is a default in payments. For instance, in your savings accounts you have the amount of 0 dollars that can be used as collateral used for possible problems that are most likely to occur that can result in default payments. When you default, the card issuer automatically deducts the payments in your savings account to pay for the credit card.

Unsecured credit cards are also an option for those in need of a credit card but application for these credit cards may be difficult due to related bankruptcy problems. In applying for unsecured credit cards you are required to fill in an application form that is based on your income, credit report, and other necessary information stated on the application form that credit card issuers need to grant approval to your credit card application. These credit cards are approved with credit limits based on your income and credibility. Although applying for unsecured credit limit does not entirely mean that you are qualified for the unsecured credit card, instead applications are also based depending on the credit card issuer’s guidelines too.

In cases like bankruptcy, applying for secured credit cards are best. Besides, unsecured credit cards depend on the history of your credit, lessening your chances for unsecured credit cards. The moment the credit card issuers learn you have a record of bankruptcy in file, the issuer will definitely be questionable and may not grant you a credit card. On the other hand applying for secured credit cards have higher chances in getting a secured credit card whereas unsecured credit cards are difficult to apply for due to credit report such as bankruptcy.

Many companies offer secured credit cards that you may consider great, but the truth is all secured credit cards can be strenuous and could make troubles for you. Secured credit cards are not all the same therefore consider researching the different types of secured credit cards in limiting your choice by applying for the best credit cards. There are some criteria mostly important before applying for secured credit cards.

The following criteria you should consider are low interest rates, application fees if any, and be sure that a secured card issuer informs all three credit bureaus about the application. You should consider searching for secured credit cards that has low interest rates and no application fees included. Also, the important thing to remember is all secured credit cards should be reported at all credit bureaus for approval.

Applying for the right credit cards need time and effort for researching different types of credit cards offered by companies. If you feel that you are still not satisfied with secured credit card, you can also try unsecured credit cards. However, because of a bankruptcy background, the best to apply for credit cards are secured credit cards.

Credit Cards For Poor Credit – Secured Bad Credit Credit Cards

Credit Cards For Poor Credit – Secured Bad Credit Credit Cards

Getting approved for a credit card with poor credit is difficult. Because of your low credit score, or no credit history, many credit card companies consider you a bad risk. Fortunately, there are ways around this problem. Obtaining a credit card with poor credit is doable. However, it’s going to require a little effort and research. Here are a few tips for getting easily approved for a credit card with bad credit.

Apply for a Retail or Gas Credit Card

If no credit history is standing in the way of you getting a major credit card, consider applying with small retail stores or obtaining a gas card. Unless you are a student, most credit card companies do not willing approve those with no credit history. However, store accounts are easier to qualify for. After approval, use the card responsibly. This will help build or improve your credit score, which makes getting approved for a major credit card effortless.

Get a Credit Card through Your Bank or Credit Union

The majority of banking institutions offer major credit cards. If you are a customer, the credit approval department may be willing to issue you a credit card with a small limit. With this said, it is important to maintain a good relationship with your bank. For example, avoid bouncing checks or incurring overdraft fees. If poor money management skills are displayed, the bank is less willing to assist you. Furthermore, attempt to build a cash reserve. This could possibly improve your odds of approval.

Apply for a Secured Bad Credit Credit Card

Many credit card companies advertise bad credit credit cards. To get approved, this usually entails opening a savings account with the company. In this case, the credit card is secured. Although secured credit cards require upfront cash, and usually involve several start-up fees, this is the easiest method for quickly improving or building a solid credit history.

The credit limit on secured credit cards varies. For the most part, the limit is equivalent to the amount placed into the savings account. As credit score improves, the company may gradually increase your limit.

Credit Cards: Non reward Type vs Reward Type

Credit Cards: Non reward Type vs Reward Type

You’ve finally come to that stage in life when you can afford to own a credit card, not as a supplementary cardholder but as the principal cardholder. Finally, you’ve earned the right to have a credit card in your own name and to be able to purchase whatever you want without having to ask anybody else’s permission. But now that that time has come, you find yourself in a quandary – what type of credit card should you apply for?

There are just two basic choices for you – do you want a credit card that offers rewards and one that doesn’t?

The Non Reward Type of Credit Card

These credit cards do not offer you any reward points or bonuses no matter how many times you use their credit cards or how prompt you are when it comes to credit card payments. Instead, this type of credit cards allow you to waive interest charges for a certain period of time or avail of lower interest rates than those offered by reward types of credit cards.

Basically, there are two choices that you’re given when it comes to the non reward type of credit card. The first one would be a credit card that offers 0% APR intro rates. When you get yourself this kind of credit card, you’ll be able to purchase anything without having to worry about contending with high interest rates. But the 0% APR is only applicable for a certain period of time because it’s an introductory offer. Once it’s over, the APR will revert to normal.

The second type of non reward credit card is the low interest ongoing APR credit card. Although it’s not 0%, the interest rate may be lower than what the new APR would be for a credit card with 0% APR intro rates.

The Reward Type of Credit Card

If you don’t find yourself excited with all those low interest rates being offered by non-reward types of credit cards then perhaps you’ll find your heart racing with credit cards offering rewards.

With this type of credit card, the interest charge is usually higher but you really don’t care about that, do you, if it means being able to win a iPod Mini later on, does it? With reward types of credit cards, frequency of use and promptness of payment matter a great deal. There are also a whole variety of rewards being offered so you’re surely be able to choose one that you truly desire.

Business Credit Cards for Those With Bad Credit

Business Credit Cards for Those With Bad Credit

Corporate executives and successful business owners, who have exemplary credit records, usually have no problem in obtaining business credit cards. The card companies that issue business credit cards are in a constant race against one another – competing to achieve poll position in a race aimed at securing the custom of these ‘elite’ business credit card holders.

But then, what about those people whose credit records have suffered a few incapacitating knocks, leaving them in the bad debt category? The truth is that they will definitely have a much harder time when trying to gain approval of a business credit card application than those with good and excellent credit histories. This does not mean to say that those with bad credit records don’t need business credit cards!

On the contrary! Every small business – in one way or another – is benefited by having small business credit cards. These benefits are fairly well established by now: the ability to get the business expenses on track with the business credit card, the rewards and cash backs, and the ever ready credit line should the small business face a temporary cash crunch.

The question is: Can they get it?

Here’s the rub. Those with bad credit will have to work harder to get a business credit card secured. They will have to find a way to rebuild their credit standing. Contrary to popular belief, personal bad credit cannot be hidden behind the veil of a business. The business credit card issuers will inevitably draw your personal credit report in the process of evaluating your application for a business credit card.

That does not mean to say that all is lost. It is possible to get yourself approved for a business credit card even if you have less than sterling credit. Most of the business credit card issuers have specially designed business credit cards for people with bad credit or no credit history. The only requirement will be that your recent credit activities must be squeaky clean. That goes to say: no recent late payments and no filings for bankruptcies.

In addition to these business credit card issuers, there are also companies that are willing to help build or rebuild your business credit. This eventually leads to business credit cards. These companies have access to a pool of vendors who agreed to provide credit to people with bad credit. By continuing to transact with them – and being religious in your payments – they can report consistently good credit behavior to the business credit rating agencies, thereby gradually establishing the improvement in your business credit standing

They may have a business credit card issuer participating in the program, who then approves a business credit card for you. The benefits package under this business credit card product can be quite attractive. They can establish an immediate line of credit for you starting at amounts between ,000 and ,000 and eventually approve a credit limit of three times that initial amount.

What’s more, the business credit card will be issued with minimal credit or employment checks; in some cases, it is waived altogether. You will not even need to have a checking account. If your business needs some fresh capital, you will also be able to arrange for a secured loan.

If you can link up with groups like these, make sure that you use the opportunity well. Business credit cards are an especially good way to jumpstart the process of preparing your business to qualify for future commercial loans. Good credit histories involving your business credit cards will really lend credence to your business credit report.

Credit Cards – Why Are They So Popular?

Credit Cards – Why Are They So Popular?

Credit cards have ballooned in popularity over the last decade. While once the preserve of the very rich, or very indebted, they are now available to practically everyone who wants them. They have become far easier to get a hold of. There is also a huge variety of choice out there for anyone who wants a credit card.

Different Types of Credit Cards

There are exclusive cards that offer their holders a huge array of benefits in exchange for a fee. But there are also cards that carry no subscription fee, give zero per cent on balance transfers and sometimes on purchases to for a certain period and offer quite competitive rates after that.

Increasing Demand

The credit card industry has experienced a massive amount of competition in recent years. Not only have a huge number of new players entered the market, but with the growth of store cards and debit cards, the traditional credit card providers have had to vastly improve the terms on which they do business with customers. This means that customers have more choice and better offers than ever before and this is also fuelling the demand for more credit cards.

Foreign Travel

Credit cards are becoming increasingly popular for people who frequently travel abroad. Rather than carry traveller’s cheques or a host of currencies around with them, they simply take a credit card. This can be used to pay almost anywhere in the world, and even when this becomes difficult, you can still use your credit card in a local bank machine to take out cash in whatever currency you need. Of course credit cards will charge a fee for all of this, but increasingly, as these fees become more competitive, customers are deciding that the fees are well worth the convenience and reliability that they offer while abroad. They are also very secure and if lost or stolen, can be cancelled quickly and easily.

Shopping Online

Online shopping has been another reason for the growth in popularity of credit cards and one of the main advantages to younger shoppers who are buying more and more goods and services online. From flights, to car rental bookings, to books and cds, shoppers would find it increasingly difficult to make such purposes if they did not have a credit card.

Consumer Debt

All of these benefits are what is leading to the phenomenal growth in the popularity of credit cards, but this is also leading to a serious problem of debt. The economy is in dire straits mainly due to consumer debt and with the lure of credit within everyone’s easy reach the problem looks set to increase. Only a massive swing in consumer attitude could change this problem without the intervention of the government. The Bank of England in fact is, at the time of writing, contemplating another increase in the base interest rate in an attempt to curb further spending.

Therefore, anyone considering taking out a new credit card should check the terms and conditions carefully and find out if they can afford it or not.

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Selecting The Right Visa Credit Card

Selecting The Right Visa Credit Card

The Visa Credit Card Company

Visa credit cards are a accepted all over the world, and their card services are available to a wide range of customers as well. Visa offers a variety of cards, and it is likely you will be able to find the right card for your needs.

The Visa Credit Card Company offers an online survey that helps prospective cardholders to choose the right card for them. The survey asks a few questions about the users needs and circumstances and the ‘online advisor’ will pick out the right card and direct the user to the visa credit card application form for the card that suits them.

First Time Applicants and Rebuilding Credit

The Classic Visa credit card is a simple card with a low spending limit; the card covers complimentary rental car insurance, will secure a lodging reservation, and can be used for everyday purchases.

The Student Visa Credit Cards will give students great money saving opportunities such as no annual fee, low annual percentage rates, reward or rebate points for purchases of school related items, and some cards will even give extra reward points for making good grades and using their credit wisely.

Visa even offer a pre-paid credit card for those who do not wish to be at risk of running up debt. The Buxx Visa credit card works just like a gift card, except that it can be re-loaded, and works anywhere that Visa is accepted. It is ideal as a ‘first card’ for children, since the parents select how much the child can spend, and there is no risk of a huge bill landing on the doorstep. It also makes a nice alternative to carrying cash around while you are travelling.

The Secured Visa Credit Card is another pre-paid credit card, except this credit card has all the power and responsibility of a real credit card; it is subject to annual percentage rates, finance charges, annual fees, and Visa will report the credit bureaus to help someone with no credit or credit problems establish new credit.

Gold and Premium Cards

Visa credit cards are available in a wide range of service levels; the premium cards include the gold, platinum and signature cards. Each of these cards is available from a variety of financial institutions; many people will find their local bank or credit union will carry the premium card of their choice.

The Gold Visa credit card will have a higher credit spending limit and higher credit standards to qualify for the card; the gold card will also offer the same services associated with a Classic Visa credit card.

The Platinum Visa credit card will have an even higher credit spending limit and require a very high credit rating to qualify for the card; the Visa Platinum card will have the same auto rental collision damage waver insurance as the Visa Classic card, as well as Visa’s Standard services.

The Signature Visa credit card is the most premier of all Visa credit card offerings; with super premier features such as travel insurance, rewards programs and many other high end services.

There are Visa cards for all types of customer, and Visa have made it easy for people to choose the right card for you. All you need to do is head over to their web site and let the survey guide you to the right card for your needs. You can even apply on the web site, and it only takes a few minutes – no paper forms, no hassle.

Credit Cards Terminology

Credit Cards Terminology

Credit card terminology these days has become rather complicated and credit card users should understand some of the key terms that are used, and exactly how they influence the charges associated with the cards use. Incentive programs, interest rates, compounding methods all combine to make the use of a credit card a potentially costly experience.

The first term that is very important when it comes to credit cards is “Annual Fee”. Some credit card companies charge more then just interest. Some card companies charge a fee, paid annually to the card holder just for the privilege of having the card. This charge is applied to the card, even if the card is not used. This fee may rage any where from .00 to 0.00 and is usually only found on credit cards that are tailored to the very high end market.

Another common term used by the credit card companies is “Introductory rate” or “Intro rate”. This term will be found on credit cards that are offering discounted interest rates as an incentive to the buyer to accept on of these cards. Usually this rate is substantially below the regular interest rate charged by the credit card company. Often this rate is valid for a limited time period and once it expires the regular rate applies. Those considering this type of credit card should be very sure that they are aware of what the actual rate on the credit card will be after the offer’s expiry date. It is quite common for people to get trapped by running up a credit card on a large purchase thinking they will pay it off in a short period of time, and then get quite a surprise once the interest rate jumps back to the normally charged rate.

Many credit card companies encourage users to transfer the charges off their existing credit cards onto those of the new card. Usually this is offered or encouraged when the credit card has a low introductory interest rate. The credit card holder should be very careful and read the fine print to make sure they are not going to be charged a fee for this privilege. Often credit card companies have a “Balance transfer fee” that they charge to their customers when ever they consolidate the balances of all their other cards. This fee is often more money then would be saved by taking advantage of the lower interest rate.

Credit cards are a wonderful and convenient financial tool when they are used wisely. Making sure that the card holder has a complete understanding of the card, will guarantee this financial tool is used properly and the risk of financial hardship will be reduced.

Rewards Credit Card – How to Find the Best One for You

Rewards Credit Card – How to Find the Best One for You

Of all the credit card options available to you today, rewards credit cards are wonderful way to get something back for everything you spend. A rewards credit card comes in many different forms, from a variety of financial institutions, and with a number of reward offer options. In order to find the best one for you, you will need to do a bit of research and put some thought into what will pay off the most for you and your family. The best rewards credit cards will give you back something you really want without doing anything more than spending as you normally do every day.

How Rewards Credit Cards Work

You will find a wide assortment of rewards credit cards. Each one offers a different type of reward, but most of them work in a similar fashion. As you spend money with your credit card, you earn a specific number of points or rewards points per dollar amount. Most companies offer a basic one point per one dollar system.

However, you can also get some bonus points for various transactions. Perhaps your financial institution is affiliated with some large chain stores. You could get bonus points, such as five points per dollar spent, when you do business with these selected merchants.

For another rewards credit card, you might earn mileage toward a vacation. Some airline affiliated cards offer you a certain number of miles per dollar spent. When you accumulate a specific number of miles, you can apply them toward the purchase of a ticket with that airline.

Types of Rewards Cards

Again, the best rewards credit cards are those that suit your lifestyle. If you travel a lot, then an airline rewards credit card would be great for you. You can charge all of your regular purchases and get the airline miles you need to travel any time of year. But be careful that you read the fine print well. Some credit cards give you reward miles that are only good during a certain period of time or to specific destinations.

There are other travel cards that take advantage of Disney packages. You charge your purchases to one of these credit cards and you can earn reward points toward a Disney vacation of your dreams.

Of course, the most common type of rewards credit cards is the one that allows you to use your rewards points in any number of ways. The company that issues your card makes a deal with other merchants, and you can use your points as you would use cash at these merchants. Most of these rewards categories are gift certificates or other set amount items. For example, if you have four hundred reward points, you might be able to get a ten dollar gift certificate at your favorite restaurant, electronics store, or department store.

Still other cards allow you to earn points that transfer into money donated to a charitable cause of your choice. This is a great way to give back to your community or to the world without missing anything in your pocket.

Overall, the best rewards credit cards are those that have a low interest rate and give you back something you can really use.

Select The Right Credit Card Before The Holiday Spending Season Begins

Select The Right Credit Card Before The Holiday Spending Season Begins

With the holiday spending season just around the corner, it’s time to start thinking about strategies for not overspending. Ideally, you’d like to be able to get through to the end of the year buying as little as possible on credit. The average family ends the holiday season having spent between ,000 to ,500. Since most people don’t plan on the expense of their giving, those holiday costs are typically racked up on credit cards, making your new year miserable with money concerns and busted budgets.

If you begin saving a small amount monthly in January, you won’t be tempted to dip into your credit cards. Contributing 0 a month to a Holiday Spending Account will help you save 00 annually (not including accrued interest). Even though we’re months away from the holiday season, setting aside 0 to 0 for the next few months will give you a bit of relief from your credit cards come December.

So start your Holiday Spending Account today. If you don’t end up using it this year, at least it will be in place for the following holiday season.

If you are tempted to buy on credit in addition to starting a Holiday Spending Account you should find the credit card that’s right for you. With the large number of credit cards available today, finding the best credit card can be overwhelming.

Below is a four step process to guide you in selecting the right cards for you.

STEP ONE: Define your objectives. Do you want to lower an interest rate on an existing card? Do you need to keep your business expenses separate from your personal expenses? Clearly define your objectives before moving on to step two.

STEP TWO: Know the different types of cards. While Credit cards are separated into seven different categories, we’ll focus on the following:

• Regular Credit Cards: These are the traditional credit cards. They give you a specific credit limit based on your financial history and then charge you an annual percentage rate on your outstanding balance.

• Rewards Cards: A Regular Card with “bells and whistles”. As an incentive to use the card, you are provided certain rewards depending on how much you charge. These rewards can range from a cash rebate to air travel rewards or benefits at particular retailers. There are many variations and combinations available.

• Business Cards: For business owners and sometimes employees. These are good if you need to separate business from personal expenses. They are basically a Regular card but may also have Rewards features.

STEP THREE: Know the terms of your current cards. If you’ve owned the same card for a while, you’d probably be surprised at how many of the details you’ve forgotten about your card. If you already own credit cards, take a look at the details to see if you can improve in any of the following areas.

- Annual Percentage Rate (APR) on purchases and cash advances
- annual fee
- balance method used for calculating the finance charge
- are there rewards?

Get all the details, then start comparing your existing cards to the alternatives.

STEP FOUR: Choose a card. Now that you know what your objectives are and are familiar with the terms of your current credit as well as the different types of, you are ready to find the best credit card. As a general rule, how often you pay your bills will have a major influence on the type of card you may want to choose. In short, if you carry a balance, consider a credit card with a low APR. If you’re a business owner, you should consider a business card to keep business transactions separate from personal transactions.

Take time this week to review your current credit cards and last year’s holiday spending habits. A little time can save you money and help you begin the New Year in style.

Understanding Credit Card Apr

Understanding Credit Card Apr

If you have a credit card or are looking to get one, it is important that you understand the ins and outs of credit card APR. Credit card APR is the biggest factor in determining how much you pay for your credit card, and so to get the best deal you need to know what it is and how it works. Here is some advice regarding the ins and out of credit card APR.

What is APR?

APR stands for Annual Percentage Rate, and is a measure of the cost of the credit you borrow. The APR is the amount that you pay yearly in interest on the money that you borrow on your credit card.

How much is credit card APR?

Credit card APR can vary massively depending on your financial situation, the type of card you want and the deals on offer. Generally, credit card APR ranges from 10-18%. If you shop around then you will find the best deal for your needs.

How do I find out the APR?

Credit card APR is very easy to find out, and all lenders are required to tell you the APR of a card before you sign up for it. Also, credit cards are generally advertised by the cost of their APR.

Comparing APR

If you are trying to find the best credit card deal, then there are many places online where you can compare the various APR rates of credit cards from different lenders. Although there are other costs involved with credit cards, generally a lower APR is better.

O% APR deals

If you are looking for a credit card, then you might see 0% APR credit card deals advertised. Although many of these deals are not what they seem to be, there really are some great introductory offers to be had. Some cards do offer 3 or 6 months with 0% APR, meaning that you can use your credit without paying any interest during this period. This gives you basically free credit, providing that you pay it back in this time.

Drawbacks of 0% APR

The drawbacks of these deals are that there are often hidden costs involved, such as high fees if you miss payments or go over your credit limit. Also, once the 0% period ends the credit card is generally has a higher APR rate than other cards. To use 0% APR cards to your advantage, you should look for one that has a fairly low rate after the initial period, or swap cards once the 0% period ends. If you invest a little time and effort you can skip from 0% APR to 0% APR on various cards. Of course, this can make you look financially unstable so you should be careful when swapping cards frequently. However, if you understand APR rates then you will be able to find a great credit card deal.