November 12,2008
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Credit Card Tips: 201, Pt.2
– Protect CC info. And never exceed limit.Tip No. 4: Internet security.
Internet shopping with credit cards is the new wave. Not only is it convenient but, goods are nearly always cheaper. The same goes with online credit card management. It's not only much easier, but more secure, if done right. To do it right, be very careful about allowing your computer to store credit card or password information.
When managing online, it's typical to receive email as a reminder of convenience to select a hyperlink to your credit card account from the body of the letter. You are discouraged from accessing your accounts this way. It's too easy for a hacker to spoof email to compromise your secure information. Instead, establish a connection you know you can trust (like when creating the online account in the first place). The best time is when making up the original login name and password for the first. At that time, take a moment and save this connection as a favorite in your browser. After that point, use only the ‘favorite' connection to access the credit card account in the future. Don't use the convenient email links.
Tip No. 5: Track your credit limit.
Always keep a margin away from your credit card's top limit. Many issuing banks offer email notification when charges on an account pass a margin threshold that you can establish. They can be a godsend, even for careful people. Some people don't realize that credit lenders lower credit limits from time to time. This usually is covered in fine print but, it's just not worth the gamble of missing it. Penalties are very steep and shock most people with what they perceive as the ‘unfairness of it all'. Most every good thing like 0% interest, goes away immediately and the new interest rate can jump through the roof.
Only rarely do ‘good intentions' prevail in these cases. It's never any fun and can spawn grief and remorse that don't soon go away. Many lenders have a ‘Mulligan-policy' where you can be forgiven one time, but they won't advertise this. A persistent phone call to a higher-level manager may be the only way to find out. Sometimes you can get all penalty charges dropped, good credit restored and even get your credit card's very favorable APR bask as well.