Rebuild and maintain good credit scores by understanding your credit cards

Rebuild and maintain good credit scores by understanding your credit cards

Rebuild and maintain good credit scores by understanding your credit cards

A secured credit card is similar to a prepaid credit card in that the funds you use are actually yours, not the credit card issuer’s. Usually, people who apply for a secured credit card or prepaid credit card are people with bad credit or unemployed. The spending limit on a prepaid credit card is the amount of money you’ve loaded onto the card. There are no interest or finance charges on a prepaid card. With a secured credit card, your line of credit can be anywhere from 50% to 100% of your deposit, depending on the institution that provides you with the secured loan. Therefore, the company providing you with the secured credit card has zero risk.

A secured credit card can be very useful because it gives you the opportunity to rebuild your credit history and you can make purchases just like you would if you had an unsecured credit card. Many companies require you to have a credit card to make purchases such as car rentals, plane tickets, etc. Make sure that the company issuing the secured credit regularly reports the customer’s payment history to one of the three major credit bureaus, namely Experian, Equifax and Trans Union. This reporting to the credit bureaus will rebuild your credit history over time.

Closing unnecessary accounts and consolidating your accounts to make payments more manageable can be a financial advantage. Not applying for too many loans in a short period of time is another factor that will help you rebuild your credit score. Also, although secured credit is like prepaid cards, they have certain fees.
Benefits are similar to an unsecured credit card, usually paying interest on your bank balance, using automated teller machines (ATMs) to make deposits, withdrawals and purchases at participating merchants. By following the steps above, you will improve your credit score.

Unsecured credit cards are issued to individuals with a good to excellent credit rating. Credit ratings depend on certain criteria, such as a person’s ability to repay loans. These criteria include payment history, employment history and financial stability. Individuals with excellent credit will most likely get a lower interest rate. A key factor in maintaining excellent credit is making your loan payments on time, thereby avoiding late fee penalties.

Customers should read the loan agreement to make sure they understand their obligation to the lender. Making payments on time will improve your credit score. Unsecured credit cards have many benefits such as low interest rates, high credit limits, business name options, no annual fees and low APRs on balance transfers for up to 12 months. Closing unnecessary accounts and consolidating your accounts to make payments more manageable can be a financial advantage. By not applying for too many loans within a short period of time, this is another factor that will help maintain a good credit score.

Rebuilding your credit takes time, patience and consistency. If you consistently pay your bills on time, you will see an improvement in your credit score over time. There are no quick fixes to improving your credit report, other than errors or inaccuracies that can be corrected, hopefully to your benefit. Your credit information is maintained by the credit bureaus, namely Experience, Equifax and Trans Union for seven years. Therefore, bad credit information will remain on your report for seven years. The good thing is that since the negative information disappears with the positive, it will definitely restore your credit score.

Applying for a secured credit card can be very beneficial because it gives you the opportunity to rebuild your credit history and you can make purchases as if you had an unsecured credit card. Many companies require you to have a credit card to make purchases such as car rentals, plane tickets, etc. Make sure that the company issuing the secured credit regularly reports the customer’s payment history to one of the three major credit bureaus, namely Experience, Equifax and Trans Union. This reporting to the credit bureaus will rebuild your credit history over time.

Business credit card
Business credit cards are very popular with small business owners because of the many benefits they offer. Benefits include 0% introductory APR on balance transfers, no annual fees, high credit limit, low interest rates, cash rewards, bonus miles, free online account management to choose a card design, etc. At iCreditOnline.com we have some of the best business credit cards from American Express, Advantage, Chase, Bank One, Bank of America, Discover, Citibank, Household Bank and more, with online credit card approval. Why waste time going to the bank when you can get a decision in less than 60 seconds with a secure online credit card application. Getting approved for a credit card online with an online credit card application is quick and easy!

Student credit card

Having a student credit card while still living at home or attending school away from home can be an advantage. This allows the student to establish credit at an early age and begin to assert their independence. It’s useful in case of emergency, less hassle and safer to carry a student credit card than carrying cash. Parents find student credit cards very convenient. They can make deposits into their children’s account while they are away from home. Students should be careful with their credit card receipts to avoid identity theft.

If you consistently pay your bills on time, getting student credit cards is a good way to establish an established credit score and start building good credit while you’re in school. Establishing and maintaining a good credit score will make it easier to buy a car, home or get a personal loan in the future. For students who are not committed to their financial obligations, getting a student credit card is not a good idea. Accumulating balances, finding yourself in debt, unable to make monthly payments will destroy your credit score.

Student credit cards tend to have high interest rates. At iCreditOnline.com, we offer some of the best student credit cards from Chase and Discover with an introductory rate of 0% APR for 6 months, no annual fees and online account access. Getting a credit card approved online with Online Credit Card Application is fast and easy!

An explanation of some of the credit cards we offer:

A 0% APR credit card or balance transfer credit card gives you the benefit of using that credit card without making interest payments on the principal for a certain period of time. This credit card is marketed to individuals with good credit who want to transfer a balance from a high-interest credit card to a 0% intro APR credit card.

Cash Rewards or Cash Back Credit Card earns a percentage of purchases made. This reward or cashback is credited to your account.

A debit card replaces carrying a checkbook or cash. This card is used as a credit card with certain restrictions, such as not being able to rent a car. Purchase transactions are subject to sufficient funds in your checking or savings account to cover the purchase. Funds verification requires entering your personal identification number (PIN) at a point-of-sale terminal.

A low interest credit card saves you money. Having a good credit score entitles you to some of the best deals on low APR credit cards.

The spending limit on a prepaid credit card is the amount of money you’ve loaded onto the card. There are no interest or finance charges on a prepaid card. Therefore, the company that provides you with the prepaid credit card has zero risk. Usually, people who apply for a prepaid credit card are people with bad credit or unemployed.

A secured credit card is protected by the amount of funds you have in your account. Your line of credit can be from 50% to 100% of your deposit depending on the institution that provides you with the secured loan.

An unsecured credit card is issued to individuals with a good to excellent credit rating. Credit ratings depend on certain criteria, such as a person’s ability to repay loans. These criteria include payment history, employment history and financial stability. Individuals with excellent credit will most likely get a lower interest rate and can get instant credit card approval online. A key factor in maintaining excellent credit is making your loan payments on time, thereby avoiding late fee penalties.

Travel Rewards Credit Card benefits may include travel accident insurance, free collision damage/loss insurance for a rental car, discount on gas purchases, frequent flyer points or bonus miles on airline flights, free quarterly and annual summaries of accounts.

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