Presentation on theme: "Credit cards have become so much a part of today's lifestyle that most people will have At least one card in their possession Much as credit cards are."— Presentation transcript:
Credit cards have become so much a part of today's lifestyle that most people will have At least one card in their possession Much as credit cards are convenient payment tool, it is important to know how to manage them through proper financial planning.
1.know the types of fees and charges you may be subjected to 2.Pay attention to the fees for cash advance, balance transfer and the interest-free period offered by the card issuer 3.Always remember that using a credit card to buy carries an obligation to pay 4.Ensure that all transactions charged are within your capacity to repay when due. If not, finance charges are imposed.
Apply for and open new credit accounts only as needed. Don't open accounts just to have a better credit mix – it probably won't raise your credit score. Have credit cards – but manage them responsibly. In general, having credit cards and installment loans (and paying timely payments) will rebuild your credit score. Someone with no credit cards, for example, tends to be higher risk than someone who has managed credit cards responsibly. Note that closing an account doesn't make it go away. A closed account will still show up on your credit report, and may be considered by the score.
As soon as your receive your new card, sign it. Treat your card like cash. Safeguard it at all times. Keep a vigilant eye on the card, wherever the card is, whether in your bag, pocket, drawer or at the cashier, especially when it is out of your sight. Ensure the card is not left unattended. Check that it is your own card (name and account number) that is returned to you after any transaction....
Any card loss must be reported to the card issuer and police immediately. Check amount on sales draft before signing. Do not sign blank, incomplete or altered sales draft. Destroy any altered or mutilated sales draft before throwing them away. Do not lend your card to anyone.
Lend your card to anyone. Leave your card or receipts lying about. Sign a blank receipt. Give out your account number over the phone unless youve initiated the call and are certain youre dealing with a reputable company.
In most states, credit card companies can change the terms of your credit card agreement with 15 days notice. To avoid any surprises in your credit card terms, always read the fine print in the flyer inserts accompanying your credit card statements. It's important to note that repairing bad credit is a bit like losing weight: It takes time and there is no quick way to fix a credit score. In fact, out of all of the ways to improve a credit score, quick-fix efforts are the most likely to backfire, so beware of any advice that claims to improve your credit score fast. The best advice for rebuilding credit is to manage it responsibly over time. If you haven't done that, then you need to repair your credit history before you see credit score improvement.
Use your credit crad wisely to avoid any misuse. Misuse of credit card can cause a lot of trouble in financial. Some people experience bankruptcy due to too much amount are unpaid, and they not able to pay as well. It all go to the hand of the user itself, if they able to pay and manage their credit card debt efficiently, the bonus goes to them. Make credit card is the easiest alternative for you, not a burden for you to carry for the rest of your life.