CREDIT CARD RATES

TIPS FOR PAYING OFF CREDIT CARD BALANCE

2009-10-16T15:09:00.000-07:00

Everyone in one way or the other want to be debt free. We all want to pay off our credit card debt, but as easy as it sounds, it is never easy to pay off credit card balance in this economy. People are struggling to pay their minimum payment let alone paying off the whole balance. It is not easy but with a plan and a good strategy to follow you can pay off your credit card debt and be finally free from the iron hands of the credit card companies. Below are some if the few tips that will help you pay off your credit card balance when followed.

Stop charging on your credit card. You will not be able to pay off your balance unless you at one point in time decide not to add more debt to the outstanding balance. First of all STOP CHARGING.
Secondly, Pay off the credit card with the lowest balance. This will boost you up and encourage to keep on paying off the balance. It is muck more easier to pay off the credit with $600.00 than $6000.00. Put in more effort to paying off the lowest balance and keep on paying paying the minimum payments on the one with the high balance.
In an effort to make life simple, consolidate your credit cards to enable you make one big payment instead of many little payments. In trying to consolidate try to consolidate onto a credit card with a lower interest rate. This will go a long way to help in paying off the balance.

Above all stick to your plan and make consistent payments all the time till the balance is paid off. REMEMBER DON'T CHARGE ON YOUR CARD DURING THIS PERIOD.

HOW TO USE 0% INTEREST RATE AT YOUR ADVANTAGE

2009-10-12T16:41:00.000-07:00

Every now and then credit card companies offers 0% interest rate to consumers. They use this to recruit new costumers if not lure credit card users into their company. However, when well plan you can use this 0% interest free rate at your advantage.
Sometime these companies give you between 6 months to 18 month of 0% interest free rate.
These are some few things you should do when you get one of these offers.

Transfer your high interest rate credit card on the new account. This will allow you to put all your payments into reducing the principal instead of paying interest.
Try as much as possible to use this chance to pay off the balance if you can.
Try not to charge onto your freed card; this will put you in a big hole than the one before.
In searching for the card, avoid the one that has a high transfer fee rate. This will not help since the fee will be put on your balance.

Always know that the credit card companies are in for the money, be smart and know how to get the most out the 0% interest rate.

TIPS FOR INCREASING YOUR INTEREST RATE

2009-10-11T16:51:00.000-07:00

In these credit card market, getting a lower credit card interest rate is not easy. Credit card companies are boosting interest rate as never before, one may ask how can I get a lower interest rate. Even though it's not easy getting lower rates there are few tips that can get you a lower interest rate.

The first thing you should do is to call your credit card company and ask if you can get a lower interest rate. You will have to be very lucky for them to agree and reduce your rate in this market, but it's worth the try.
If your company have raised your rate to an unaffordable rate, ask if they have any hardship program. Most credit card companies have hardship programs to help consumers who are finding it difficult to make payments. With a hardship, you may get your interest rate cut in half or even get 0% rate for six to one year. The only setback is that mostly they suspend the card during the program. Don't forget to make them know that you are finding it difficult to make payments and if they don't help you you make be able to pay. Bet you this will work.
If the above fails look around if you can another credit card that will offer you very low rate (some may even be 0% intro rate) to transfer your balance. Then try to pay off the balance during the period. Watch out for those short 0% intro rate and make sure you know the regular rate.

Remember the credit card companies are in for profit. Know how to play the game.

Credit Card Companies Increasing Rates!!!

2009-10-10T20:23:00.000-07:00

If you have recently received a note from your credit card company that they are about to raise your credit card rate, you are not alone. Credit card companies are intentionally increasing consumers ahead of the reform bill from congress.

Across the board Interest rates are going up. Credit card holders are seeing their rate rising and as if that is not bad enough credit line limits are also bieng reduced by this same companies.
They don't seem to care about the pain of the card holders: They only care about their gain.
The big question is what do you do when you are faced with these rate increase?
In my case I called my card issuer and to my surprise they said there is nothing they can do about because it is a decision from corporate. They suggested I can close the account if I don't won't the new rate or agree with the new high rate.
It might be your first instinct to close the account, but if your are concern about your credit score this is not a good option. Closing your credit card account (an old one) can drop your credit score about 100 point if not more. You do not have to worry if you pay off your credit card off every month, but if not you might want to try as much as possible to pay the balance off and then hide the card from use. Only use it if and only if you have to use them. They are in for your money be a smart user; use and pay if off every month they can eat their own high interest rate.