July 24, 2009

• Finding a Good Credit Card Deal, Pt.4
    Good Credit/Special Rewards.

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  For those of you who are first time credit card users or are suffering with a low credit score, here are some suggestions:

  • Get a secured credit card otherwise known as a prepaid card. A secured card requires a cash deposit and the user can only spend up to that amount until they deposit more money into the account. Proper management of such an account is vital to securing additional credit in the future. Banks will reward you for becoming more financially responsible. Most lenders offer a prepaid card. When shopping for a secured or prepaid card, don't apply for one that charges an application fee. Click on "Prepaid" or "Bad Credit" credit cards above to compare the various offers.
  
   • If you are a student, new credit card reform laws regulate what lenders can and cannot offer you. Many require a parent's signature and some companies offer special cards for students where mom and dad can monitor their spending. Again, it is vital to your healthy financial future that you always pay your bill on time and keep your spending to a minimum. Click on "Student" credit cards to compare the best deals for you.
  
   • Most lenders charge an annual fee for a secured credit card, compare the fees.
  
   • New legislation requires credit card companies write contract terms and conditions with greater transparency and clarity. This does not alleviate the need for you to carefully read the small print. Don't get stuck paying excessive fees that will only eat up the majority of your deposit or limit.
  
   • Do Not accept a credit card that mandates you pay a monthly fee for insurance. These card companies are unscrupulous. They'll take advantage of your situation and extort an additional $50 plus dollars for insurance that only benefits them not the consumer.
  
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