Do You Need Credit Card Insurance?

There are several types of insurance in this world, and finding the right insurance policy for you that will cover you in all the risks you entail by living your everyday life is a difficult feat to accomplish. Still, having the right knowledge about the many different kinds of insurance policies out there will help you to decide which is best for you.

Having credit cards automatically subscribes you for a certain amount of risk. The biggest risks you take involve your money… how much you will be able to keep, how much you will lose, and how much you will not have when the world is demanding it of you and demanding to have it now. So what kind of protection can you receive for these kind of risks, that will allow you to stay within a reasonable debt range and keep a good credit score if your ability to pay your credit card bills suddenly goes down the drain? Credit card insurance is one option, and depending on who you are and what kind of insurance protection you need, it may be just the thing for you.

Types of Credit Card Insurance

Credit Property Insurance

This type of insurance applies when you have bought something with a credit card that you are still paying for, and suddenly one day that thing gets destroyed. Because you have credit property insurance, your debt on that object is cancelled and you no longer owe anymore money on that object. This is great for people who buy expensive things with credit cards that do not have a warranty.

Unemployment Credit Insurance

This is applicable when the card holder is laid off, or unexpectedly removed from employment. It only applies until the card holder finds other employment, and it does not include incidences when the unemployment was voluntary. Because you are unwillingly unemployed, the credit card company will pay the amount you owe on your minimum monthly payment until you can find another job.


This type of insurance is also only active for a short period of time. It is applicable only when you are medically disabled, and will no longer be active when your disability is over. This will also pay the monthly payment on your credit card, and applies only to existing debt, not to purchases made after the disability occurs.

Credit Life Insurance

This is the kind of insurance that is most helpful to credit card users. It makes sure that whatever you owe after you die is paid in full. That way, whoever you leave behind is not responsible for your credit card debt.

Disadvantages of Credit Card Insurance

Many times, other kinds of insurance will probably cover you in more cases and with more money than credit card insurance. Also, credit card insurance applies only to the specific credit card. If you have more than one card, you have to apply for all the different insurance policies for all your different credit cards, which may not end up saving you money anyway.

Who is Responsible for Your Credit Card Debt After Your Death?


During a devastating time like this, the last thing you want to think about is money. Your spouse just died, but credit card companies do not necessarily consider how you feel at the time. All they have to worry about is whether or not your spouses credit card debt will continue to be paid, even after their death. So are you the one responsible for his debt, even at a difficult time like this?

Credit card debt is something that is sometimes necessary. We need it to buy some of the necessities in life. But what happens when you buy things on credit that you are paying for not only for years, but for a lifetime? What if yours or your spouse’s life does not last long enough for you to pay off the debt that extends beyond it? Who ends up paying the bills?

It depends on who you are, what kind of debt you have, and whose names were joined on the credit card account of the diseased. If yours or someone else’s name is on the contract along with the original card holder, you or that person are responsible for the debt they leave behind. That is why it is important to consider all the factors when you go to cosign on someone’s credit card agreement. When you agree to have a joint credit card account, you are agreeing to pay the debt that the card holder cannot pay, and the same goes for them.

If the credit card debt was in the diseased’s name alone, with no one else that agreed to take on the debt that was incurred by that specific card, then no one pays for it. The credit card company is required to just eat the debt that is owed, whether or not there is existing family to pay the debt or not.

Sometimes, if you are the only one living in your home or you are not married, or even if you are married, credit card companies will try to make up the money you owe by taking your assets. This type of payment is only applicable under certain circumstances, but it is one way that your credit card debt could be paid off after your debt.

If you are in debt and you are concerned about your family, knowing the facts about how much debt you will be leaving behind when you die and who will be paying for it will help put your mind at rest. Being able to know the ins and outs of the debt world and how it is paid when you can’t make the cut is important when it comes to you and your family. Knowing what will happen to your loved ones after you die will give you more comfort in life.

What Will Happen if You Don’t Pay Your Credit Cards?


Your credit card has helped you buy things you never would have been able to have proper to you receiving it. It has gotten you through some rough times and has allowed you to get things that are essential but expensive. So you faithfully make your payments each month, no questions asked.

So you bought something pretty expensive on your credit card with a good feeling that you could pay for it. To your dismay, the credit card bills come and you discover that you not only owe money immediately if not sooner, but that you do not have the means right now to pay it on time. So what do you do now? How are you ever going to pay for this credit card bill if you can’t help but just get deeper and deeper into debt?

There are several options, none of which are extremely pretty. But depending on your circumstances, you may be able to lessen the consequences, put them off, or even perhaps avoid them altogether if you decide on the right option for you and your credit card company.

Consult the Company

Your creditors, if you call them and explain your circumstances, may be willing to make a special arrangement for you that will allow you to get your bills paid. If you tell them why you cannot pay them on time, and explain to them that you still intend to pay the bill, they may be willing to give you a different payment plan that will allow you to pay it in smaller increments over a longer period of time. That way, your income may be sufficient enough to get you through, but it will take you longer to pay the money owed.

Ignore it Completely

The thing about creditors is that they cannot threaten to put you in jail just because you will not make your payment. You could ignore the creditors completely, but that would only buy you time and get you into more trouble. Eventually, the credit card company could take you to court, and if you have no good argument to go on, they will win a lawsuit against you and gain permission from the court to take the money you owe out of your assets. This option is not only a bad idea because it just prolongs the grief, but it ends up costing you more in the end.

File for Bankruptcy

One way out of debt is bankruptcy. This is when all of your assets are liquidated and given to your creditors to satisfy your debt. You could lose several things like extra cars, furniture, and perhaps even things you bought with the very credit card that got you into this mess. The important thing is to just manage your credit wisely in the first place. You just have to make sure you can pay your debt in full and on time, and spend nowhere beyond those boundaries.

What is the Fair Credit Report Act?


The Fair Credit Report Act is a law that protects and prohibits the distribution and use of your credit information. It protects you from the possibility of your credit history and other credit information getting into the wrong hands. It also prevents the wrong people from changing or manipulating your credit information.

There are several factors that allow your credit information to stay safe, but there are a few people who have access to it when it is necessary. Most of the time it is used to evaluate whether or not you are worthy of getting a loan or a contract similar to that. Here are a few examples:

1. Companies where you have credit can access your credit report so that they can monitor your credit. This way, they know whether or not you are capable of paying back what you owe on credit and how well you can make your payments on time. However, no one is allowed to give out your credit information in these situations except you.

2. Insurance companies are allowed to check your credit report for generally the same purpose. They need to know if you will be able to pay your insurance bills on time. By checking your credit report they can see your payment history and evaluate whether or not you can make the correct payments punctually.

3. Anyone who is allowing you to get credit from them. Whether you get credit by applying for a credit card or for a loan, those who will be your lenders are allowed access to your credit information. The very factor of your credit score and the details on your credit report determine whether or not you get credit in the first place. This allows credit lenders to find out how faithfully you will pay them back.

4. Your employer has the opportunity to look at your credit information, but in this case, it is only your consent that can grant them access to it. The previously mentioned cases may check your credit score whether you want them to or not, but possible employers, when considering you for a position, must have your permission before they see any of your credit information.

The Fair Credit Report Act also protects you from identity theft. Your credit information entails a lot of information about you, including important details like your social security number, date of birth, phone number, etc. Because it protects these details so intensely from getting into the wrong hands, it protects you from other dangers like identity theft.

The Fair Credit Report Act also gives you the right to take action on part of your credit information and request information about it. If you have a problem with your credit report, you have the right to dispute the mistake that you feel was made. If you want to know what your credit score is, you have the opportunity to request a free credit report once a year.

If I File Bankruptcy, Can I Keep My Credit Cards?


Several years ago, my sister and her husband had to file for bankruptcy. I did not really know what all that meant back then, so I asked my mom. She told me that it was what happened when you can’t pay back the money you owe on credit cards or loans, and that they take away things that you have to pay for them. She also told me that it is very difficult to get a credit card after you file bankruptcy, but was it really true that you could not have any credit cards at all?

Now that I am older, I know a little bit more about the subject. When a person file for bankruptcy with existing credit cards that have an existing balance on them, you have to list it as a debt. After all, that’s what it is, because you owe money to the credit card companies. Because of this you cannot keep your credit cards.

However, if you have a credit card that does not have a current balance, you are allowed to keep it. Because you do not owe that company any money on the credit card, it does not have to be listed as a debt, therefore allowing you to retain your card for further use. But if the credit card company in which you are borrowing this money from find out that you have filed for bankruptcy, they may want to change the terms and conditions that the card comes with, like your credit limit on that card and the interest rate you are paying each month.

Still, the credit card company that gave you that card does have the right to cut off your credit line through that card if they ever find out that you filed for bankruptcy. It all depends on whether or not they are willing to keep you, but most credit card companies still want your business, even afterwards. Some credit card companies, however, will see you as irresponsible and take away the credit line you have through them, despite the fact that you do not have a current balance, just because of bankruptcy.

Getting new credit cards after bankruptcy is not really hard at all. One thing about bankrupt victims of debt is that they continue to get credit card offers, and perhaps even in more quantity than they were given to them before. Of course, the interest rates may very likely be higher than they normally are, and the offered limits might be lower, all because of your high risk of not paying off your debt.

To me, the whole point of getting out of debt by taking the path we call bankruptcy is to learn from our mistakes. We should not file bankruptcy with the goal in mind to just get more credit cards and get deep into debt again. The whole idea of it is to learn from our mistakes and trying not to repeat those mistakes.

How Soon After Chapter 7 Bankruptcy Can You Get a Credit Card?


Chapter seven bankruptcy is the most common form of bankruptcy that is used in the world today. It is the type of bankruptcy that liquidates your business or assets to allow them to be used to pay the people that you owe money to that you cannot pay back yourself. This liquidation happens all too often in our atmosphere of misused credit today.

There are several small steps you can take to get back on your feet after bankruptcy. However, most of these methods take time, because it is impossible to be instantly qualified for credit and back on track right after you have claimed that you cannot pay off your debt. Having credit card companies, banks, and other lenders trust you with credit again is going to take some time.

Build Your Credit Score

The best thing you can do to qualify yourself for good credit, better interest rates, and descent credit limits again is to build your credit score. Unfortunately, the only way you can really do this is to use some form of credit, like credit cards. So at first it may be difficult to pay those high interest rates and have such low credit limits, but you must face the consequences of filing for chapter seven bankruptcy and pay the price until you are back on your feet. Once you have again established a good credit rating, you will have lower interest rates and higher limits because you have rebuilt your trust and lowered your risk of another bankruptcy.

Manage Your Credit Wisely

The fact that you had to file for chapter seven bankruptcy alone should be a lifelong lesson that will get you to be more careful about your spending habits and your payment abilities. Now that you are trying to move on, you should create a budget for yourself so that you know just how much you can spend on credit, how easily you will be able to make the monthly payments on that amount, and how many things you could go without so that you can gain a better credit score.

Getting Another Credit Card

Getting a credit card after you have filed for bankruptcy will not be difficult. You will still receive offers and qualify for several different kinds of cards. In fact, if it is used more wisely than it was prior to your bankruptcy, a credit card may be the very thing that gets you out of your slump.

Having a credit card and using it sparingly after bankruptcy will help to build your credit score and get you back to where you were. The way in which you could do this is by getting a card, only spending a small amount of money on it, and paying it off each month. Keeping your credit card account open and paying it off frequently will build your credit score more rapidly than it would if you just let your credit card debt stay at a plateau or continually increase.

How Do I Write a Credit Dispute Letter?


You have discovered a mistake on your credit report that you are absolutely sure that you had nothing to do with. You want to get it fixed, because it is doing damage to your credit score. But how exactly do you go about getting that repaired?

Writing a credit dispute letter should not have to be so difficult that you would rather have the mistake on your credit report rather than go through the hassle of having it fixed, but sometimes it may feel that way. A credit dispute letter, if done correctly and professionally the first time, will get you the change that you need on your report to gain well deserved points on your credit score. But is there anything that would possibly improve the format and the content of your credit dispute letter, therefore giving you greater chances of having the errors corrected, and having it done quickly?

In fact, there is hope. You deserve to have your credit report reflect the good credit spender you are. Here are a few tips on what kind of things you can do to draft and improve a credit dispute letter:

1. Get right to the point.

Being up front about your complaint is a factor that will get the correction made faster. Being blunt and completely clear will allow them to recognize the problem, find it, and fix it in a more timely manner than they would be able to if you give them only a vague description of your problem.

2. Use proof of the error.

Get as many files as you can from outside sources that prove to the creditors that there has been a mistake made, such as court files or documentation of your payments. Having a sort of map or proof of what the problem is and where things went wrong will speed the process up and give you a better chance of getting the problem fixed with few questions asked.

3. State how it should be.

Do not just show them where the problem is and expect them to know how you want them to change it. Make sure that you tell them why it is an error, and how you know it should be instead.

4. Communicate clearly.

You need to be able to make your letter completely black and white, with no gray areas that creditors may not understand. State that there is a problem, state the problem, state a possible solution, provide documentation, and end it. Simplicity and clarity will allow for the letter to be easily read and more quickly responded to.

Nobody wants their credit score to suffer for some mistake that they didn’t even make. Having a good credit score is something worth fighting for. You should not be cheated out of the credit score you have, and writing a clear credit dispute letter can allow you to get the needed changes made to uphold that right.

Can Your Spouse’s Bad Behavior With Credit Cards Affect Your Credit Score?


Before the Marriage

So you have fallen in love, and you believe that you have finally found the one that you were always meant to be with. The have all the qualities that you could ever possibly want in a spouse, and you can’t believe you have actually found them. But wait… are there certain things about this love of your life that you should know about before taking the plunge?
Probably the last quality you are going to search for in a companion is their money management skills. Perhaps you do not even know how well he or she can manage their credit until after you are married. But getting to know this side of your fiance will be of more benefit than you think.

If the love of your life has a horrible credit score and a bad credit history, you should probably talk it over. Getting into a marriage that will cause you financial heartache will be a burden that may not be necessary to bear. No, you don’t have to cancel the wedding just because your fiance has money management problems.

Having a spouse will not affect your own personal credit score. However, when people get married, usually they eventually get their credit cards, loans, and other forms of credit merged to make it less of a his and her’s sort of thing. It is important to know what your future spouses credit card behavior is like so that you can determine whether or not this type of merger is a good choice.

During the Marriage

If your spouse has a horrible habit of not paying his credit card bills on time, perhaps a combination of your two accounts may not be such a bad idea, for the reason that you could help build his or her credit score. If you take on the entire responsibility of paying the credit card bills and you are the most responsible out of the two, both your credit scores will thrive. However, there are a few risks you take on when you join your credit card accounts into one.

If You Get Divorced

Despite the idea you had of a lifelong love when you first got married, perhaps the relationship did not work. The last thing you need is another burden like being concerned about your credit score. However, the damage that can be done to your credit score because of their credit card spending habits is an uncontrollable factor that will create problems and even more heartache down the road.

All of the things that are done on your joint account show up on each spouse’s credit report. Because of this, after a divorce, one person’s bad habits will be reflected on another’s credit score, even if that person has good habits. You should get all of your joint accounts dissolved by either paying them off and closing them, or taking one person’s name off of the account, leaving the other solely responsible for that account.

The Best Credit Card Offers

Good credit cards are hard to come by. Even half descent credit cards are not easily found. You can get one that looks great when you apply, but down the road you learn that you could have had it better. Sometimes looking at the credit card advertisements alone will make it difficult for you to know just how good the card actually is. Here are some things to look for when you are searching for a credit card that will be of benefit to you when you use it to buy items on credit.

Interest Rates

Any credit card can offer you a great interest rate to start out with, but will that rate change after a certain period of time, and what will that rate change to once that time is up? Knowing what your interest rates are at the beginning, what they will be if they change, and what they could be if you make late payments is important. If you have a good idea about just how much you will be paying on interest, it is easier to shop for the best card and figure out what card will save you the most money because of their rates.

Credit Limits

What the credit card limit should be depends on what you want to buy, how punctually you will be able to make the monthly payment, and how long it will take you to pay it off. Many credit card companies will offer you sky high maximum credit limits, but the best thing is to determine yourself how high you can allow your limits can be. The credit limit will differ for each person according to their credit rating, but credit cards should give you a fair range of money in which you can spend.

The Companies

The credit card you get is only as good as the company it belongs to and the people that run it. They decide what the terms are when you apply for their credit card. You have to know what you’re getting into and who you are dealing with so that you can not only compare credit cards, but you can also compare the companies that make them.

You need to be able to take advantages of certain services offered by credit card companies. You need to be able to do things such as cancel your credit card and cut it off from your account if it ever gets stolen. You need to be able to talk to someone who is willing to listen if you feel that there has been a mistake made by that company.


Any kind of credit card you get should have some sort of rewards program. Not getting rewards on your credit card is like buying something at one place when you could have gotten the exact same thing somewhere else on sale. It’s a really good way to save money, and any credit card that saves you money should definitely be considered.

The Best Credit Card Ever


You shop around for weeks, perhaps even months before you apply for a credit card. You have looked around in what feels like all the possible places for a good credit card company, good interest rates, a descent rewards program, and good possibilities for credit limits. You finally decide on one, but you’re still not sure you’ve found the right one. Well, my friend, you need to take advantage of the best credit card ever. We call it the credit card from heaven, which where you have to go to apply for it. Here are a few of the benefits of a credit card you can only get after you die.

Interest Rates

None whatsoever. Other companies offer you zero percent interest for a certain period of time, then rack it up after that time expires. With us, we’ll let you keep the zero percent interest… forever. You never pay a dime of interest. With us, the only interest you pay is taking interest in our company and signing with us. Having a customer like you is a privilege, and we want to keep you, no matter what it takes.

No Monthly Payments Until The End Of Time

Not only are you free of interest for the entire time you have this card, you don’t even have to pay back what you spend. The greatest pay we could ever receive from you is your beautiful smile every time you run that card through the machine and pack home that new $9,000 hand bag that’s too small to hold your cash anyway. Spending thousands of dollars is monthly payment enough, just knowing you are holding our card between your tightly clenched fingers.

Rewards Rewards Rewards

You may want to get bigger pockets and more vacation time. For every dollar that you spend, you get ten points back. You can trade those points in for just about anything you want. Cash, gasoline, skymiles, lottery tickets, peanut butter… whatever you want. Just spend the money, and we’ll give you the rewards, just because we love you.

Always Qualify

No matter who you are, where you come from, or how bad your credit is, you will never be turned down at our company. Getting this credit card is as easy as getting free samples at Costco. All you have to do is come to us and ask for it. Even if your credit score is in the negatives, which is impossible, by the way, you will still qualify to have our credit card. It’s our way of helping out the little guys, and helping out people who are otherwise rejected.

So whatever kind of credit card you have now, it’s probably not as good as ours. Come in and get one now. We hand them out like dinner mints at a cheap restaurant, and we want you to partake of the advantages that are in store for you.
This advertisement for the credit card from heaven is brought to you buy BS Inc. We’d like to thank the Over My Dead Body Association for making this credit card offer possible.

Pros And Cons Of Department Store Credit Cards

Credit cards come in several different forms. There are charge cards, credit cards, rewards cards, and etc. One of the most used kinds of credit cards are department store credit cards. They make it easy and convenient to buy things on credit from your favorite clothing, jewelry, hardware stores, and from several other places which things you would otherwise not have been able to buy. Still, are you really getting a good deal by using a department store card, or would you be better off using a regular card? Here are a few advantages and disadvantages of buying things using department store credit cards.



Buying things from a department store using the card specifically designed to use at those particular stores can sometimes save you money. Depending on the department store, you may be able to get a certain percentage, or a certain amount of money back for a certain amount that you spend on a purchase. In this aspect, it is much like a rewards card, though it is only limited to purchases and savings within that particular department store.

Other rewards

Some department stores allow you to receive free amenities when you use your card to buy things online or from a magazine. Services such as shipping and handling and/or free gifts sometimes come with your purchases when you buy an item from a store with its credit card. This can be bought on the internet, over the phone, and through magazines, all being delivered by mail to your home.


High Credit limits

Having several department store cards with limits that you think are not very high can actually add up to be quite a bit. Having even small amounts on your department store credit limits becomes one large limit, which can make it difficult to get a major credit card. Having such a high credit limit because of your combined department store cards ties up your credit line and only allows you a small amount in which you can add another credit card.

High interest rates

Some department store cards have high interest rates that end up costing you more than you bargained for. Sometimes even the rewards do not make up for the money you spend on interest just to get these cards. Making late payments on these will also allow department stores to shoot your rates sky high, so you have to pay on time, or the card will be more of a burden than an advantage.

No rewards

Department store credit cards are more dangerous than they are useful when they do not give you something back for what you buy. Just being able to buy it on credit is not worth it, and can get you into financial trouble that you do not need. Get a card that allows you to save money on the products that you buy, and keep only those cards. Once you pay them off, don’t keep them. Having these cards will tie up your credit line and make other cards difficult to acquire.

Lowering Your Credit Card Interest Rates: All You Have To Do Is Ask


The greatest thing about credit card interest rates is that you can call the company and ask them to lower your interest rate. It’s as simple as that. But there are a few conditions. Allowing just anyone to call up and lower their interest rates would be just ridiculous, and it would probably cost the companies quite a bit of money, considering all the irresponsible spenders out there. But this attribute can act as a reward for those who are disciplined in their use of credit cards. Here are a few of the conditions that must be met before your credit card company will lower your interest rates.

1. Have a good credit rating

Maintaining a good credit score will increase your chances of getting an interest rate reduction. Your credit score is what will determine the company’s trust in you, and it will increase or decrease your chances of getting a lower interest rate, depending on how good or bad it is. Having good credit says to the credit card companies that you are dependable, therefore because you are a good customer with good credit, you deserve to have your interest rate lowered.

2. Don’t have a big balance

Having a large balance on your credit card account will lessen your chances of changing your interest rates for the better because if you are deep in debt, credit card companies may believe that your potential to get further into debt is greater. The deeper into debt you get, the more likely you are to fail to pay your bills on time. This will in turn not only disqualify you for a decrease, but it will actually increase your interest rates.

3. Send in more than the minimum

When you pay on your credit card, there is a minimum monthly payment you must make, no matter what. If you have the means to pay a little extra on your credit card bills, do it. This will show that you are eager to pay off your debt, so you are less likely to go bankrupt, and more likely to make your payments on time.

4. Pay on time

Getting an interest rate decrease will be much more difficult if you have not paid your bills on time. In fact, one of the consequences of not paying on time is having your rates INCREASED. You must pay your monthly credit card payment each month, even if it is just the minimum, because the rewards are substantial, but so are the punishments.

Getting your credit card interest rates raised is can be a great advantage to you, but just like any other rewards you might get, you must obey the rules before you reap the benefits. You have to use your credit wisely. You must pay your bills on time and keep your balance at a level in which you can pay it off soon and without strain. These, among other things, will help to raise your credit score, allowing credit card companies a reason to give you a decrease on your interest rates.

Is Credit Card Interest Ever Tax Deductible


The end of the year has passed. You have survived the holidays, and now you are ready to move on with another year. After all, time marches on. But there is one thing that you have not yet done for last year that is completely unavoidable. It is your taxes. So you are trying to think of every possible way you could get a tax deduction. Then it hits you. Hey, is it possible that your credit card interest is tax deductible?

Sorry, but no. Unfortunately, unlike the interest you pay on your mortgage, your credit card interest is not tax deductible. But there is a way you can make it tax deductible. Still, there are some risks involved. Whether or not the risk is worth it is completely up to you. For you are the one who knows your circumstances. If you really want your credit card interest to be tax deductible, here is what you do.

Refinance Your Home

Sound ridiculous? If you are doing it just to get a tax deduction on your credit card interest, it probably is. If it is that important to you though, refinancing your home can help. It is possible for you to refinance your home and transfer the balance on your credit card to your home loan. That way, you have basically paid off your credit card and do not have to pay interest on it anymore. Now, instead, you have more interest to pay on your home loan, or your mortgage. That kind of interest is in fact tax deductible. By putting all the money you owe from your credit card onto your home equity line of credit, you allow for the interest on your credit card to change to a different type of interest, making it tax deductible.


You could lose your home. It is kind of a scary statement, yes, but it is in fact true. Not necessarily just because you refinanced it to get your credit card balance transferred, but because it may take longer for you to pay off your home loan. Because it would take you longer and make your balance bigger, it may be difficult to make monthly payments in full and on time.

Whether refinancing your home to get a little extra money from your taxes is the right thing to do is up to you. In my opinion, it is definitely not the wisest thing to do. Better chances of keeping your home is way more important than getting money back from the interest you paid on your credit card. To me, the risk is just too big to take. Having a home loan is burden enough.

Can You Buy a Car With a Credit Card?


Buying a car is a big step for most people. Whether you have done it once or a dozen times, buying and financing a car is an important issue because it determines where a lot of your money will be going for the next several months. It is kind of like having a credit card. You make monthly payments on something that you have, but that you have not paid for yet. Credit, in that aspect, is quite the same. But the kind of credit that you get is quite different.

So can you kill two birds with one stone and pay for your car with the credit card that you make monthly payments on? Yes. It is possible to buy a car with a credit card. For some people this may be the perfect solution, but it depends on the circumstances.

Buying a car with a credit card requires a much higher credit limit than it would if you were just using the card to make random purchases at a clothing or grocery store, depending on the price of the car. Getting high credit limits can be risky. This is because it could possibly hurt your credit score if creditors believe that you may buy something that expensive on a credit card and not be able to pay it back.

Interest rates

One advantage to financing your car on a credit card is lower interest rates. If you shop around and search for a good deal, you could get a credit card that would allow you to pay less for your car in interest than you would if you took out a loan. This, in the long run, will save you hundreds if not thousands of dollars in interest.

Still, the risk of increased interest rates are greater with credit cards if you make late payments, making it so that you may even spend more on interest. It all depends on the circumstances, and how you will be able to make your payments. It also may depend on the terms of the credit card. Make sure that you know what your introductory interest rates are, if they will change, and what they will change to if they do. Knowing the terms of your contract before you buy a car with that card will make a huge difference in whether or not you save money by taking this route.


If you buy your car using a rewards card, you could get benefits that you also would not get by just paying for it by taking out a loan. Rewards cards give you benefits based on how much you spend. Since buying a car is such a huge purchase for a credit card, it would give you many more rewards than it would if you had just used the card to buy groceries. These kind of rewards can be cashed in for things like gasoline, travel, air miles, and cold hard cash. This is another way you can benefit from your purchase.

4 Things To Teach New Credit Card Holders

New credit card customers, especially teenagers who are planning to apply for student credit cards, need to know the basic rules that will keep them financially safe and secure. Some rules are easier than others to follow, but they are all very important.

Increase Credit Card Limits

Some people believe that increasing your credit card limits is too difficult and can only be accomplished by those with at least an upper middle class income. Surprisingly enough, however, raising the limits of your credit cards can be done by anyone, no matter what type of income you have.

High Credit Score

Another important rule includes securing a high credit score. This not only comes from paying off your credit cards, but also from properly upholding every other credit investment that you become involved with: car payments, mortgages, businesses, etc.

Obviously, maintaining good credit and thus increasing your credit score will make it much easier to gain the trust of credit card companies, who, in turn, will feel more secure in raising your credit limit. This may seem like an easy and even apparent rule to remember, but most people are rejected from increased credit limits because they fail to follow this “simple” rule.

Make Payments On Time

Another way to improve your chances is to maintain a good financial relationship with the credit card companies. Making your credit card payments on time is the first step, but by also consistently making big payments on your credit cards, companies will be more than happy to continue to increase your limits. Consistency in making large payments on time is the key to constantly gaining the approval of enlarging your credit card limits.

Using Rewards Cards

When making ordinary purchases, people mostly use cash and/or debit cards, which is a safe yet unrewarding way to increase personal benefits. If people would simply switch their usage of cash and debit cards for reward cards, their amount of skymiles and other financial rewards would automatically increase. When buying gas, going grocery shopping, getting new clothes, paying bills, and making other ordinary purchases, remember to use your rewards card.

This simple technique will help you earn skymiles that would otherwise not be gained, obviously, with cash or debit cards. Although credit cards can cause people a lot of pain when used unwisely, they can also be very rewarding when used properly and wisely.

Other ways to maximize the skymiles on your credit cards is to apply all your major purchases to the credit cards. Wisdom must be used when this technique is used, but when used properly, it can harvest huge skymile rewards. Such major investments on credit cards include buying new or used motorized machines such as cars, motorcycles, dirt bikes, boats, etc.

A brand new credit card customer can be very naïve and sometimes suffers the unfortunate consequences of credit card penalties. If teenagers simply follow the rules stated above, they will be able to avoid unfortunate late fee charges and actually gain real life rewards and advantages in the credit card business.

Maximizing Credit Card Skymiles


Owning a skymiles credit card can be very rewarding if you know how to properly use it. People often overlook the many benefits that can come from using a rewards card in everyday life.

When making ordinary purchases, people mostly use cash and/or debit cards, which is a safe yet unrewarding way to increase personal benefits. If people would simply switch their usage of cash and debit cards for reward cards, their amount of skymiles and other financial rewards would automatically increase. When buying gas, going grocery shopping, getting new clothes, paying bills, and making other ordinary purchases, remember to use your rewards card.

This simple technique will help you earn skymiles that would otherwise not be gained, obviously, with cash or debit cards. Although credit cards can cause people a lot of pain when used unwisely, they can also be very rewarding when used properly and wisely.

Other ways to maximize the skymiles on your credit cards is to apply all your major purchases to the credit cards. Wisdom must be used when this technique is used, but when used properly, it can harvest huge skymile rewards. Such major investments on credit cards include buying new or used motorized machines such as cars, motorcycles, dirt bikes, boats, etc.

Other major investments that can be applied to credit cards are sporting event season tickets, jewelry, and home improvements. Some people put all of their major purchases on their reward cards and receive major rewards in return. A number of airline companies even give out a free flyer pass, which allows a person to travel anywhere free for a certain period of time, to those customers with extremely high reward card investments.

There are new stories about people who get to fly all over the world simply because of all the skymiles that they have accumulated. This is how smart investors both make and save money in their life. Wise investors not only invest in money, but also in other assets that are extremely valuable but also overlooked.

Since globalization continues to dramatically increase in the world today, more and more people continue to build their desire to travel to different places. Since money isn’t the only valuable asset in the world, people have found other unique methods that allow them to accomplish worldwide travel. One of these unique methods includes the acquisition of skymiles through creative financial spending and investing.

In the end, the wise use of rewards cards can be extremely beneficial and rewarding to loyal customers because of the essential need of credit card companies for people to use their specific cards. That is why in recent years there are so many companies willing to invest in the creation of rewards cards, since it harvests huge profits from the customers. Customers can tap into the secrets of coming off financially successful as well.

Not only will the number of a customer’s skymiles increase, but also the number of other related rewards that each airline company offers.

Credit Card Offers


Millions of credit card deals are offered to people everyday through email, letter mail, television, radio, magazines, and even the newspaper. Credit cards have become such a dominant part of our financial life that we often fail to realize both the dangers and benefits of these offers.

Credit card companies know that many people in today’s society are very naïve and accepting of credit card advertisements that seem too good to be true, which they really are. The marketing teams of the credit card companies create credit card ads that are very appealing and attractive to the eyes of people who do not know any better. A few of the following simple pointers should help prevent people from becoming victims to ads that would normally cause many unfortunate problems.

Too Good To Be True

If a credit card ad seems too good to be true, it probably is. Whenever a credit card ad offers big prizes or incentives to people who sign up for the credit card, this should be a big red flag and the person should immediately stay away from the ad. Companies only offer large incentives because they are able to make up for it with excessive credit card fees and charges.

Initial Low Rates

Sometimes credit card companies try to trap people by offering very low initial rates. What people don’t understand is that the rates only last anywhere from a few days to a few weeks. After this initial time period is over, the credit card rates dramatically increase and customers find themselves financially trapped.

Fine Print

People must beware of the fine print of these credit card offers. Obviously, all the incentives, low rates, and attractive aspects of the offer are printed in a large format, whereas the extremely high rates, catches, and real information is printed in a very tiny format in order to hide them from careless customers. A person must remember to read the fine print and acquire the necessary offer details in order to prevent them from becoming trapped by credit cards

Junk Mail

Whenever people receive emails concerning credit card offers, it usually is not a good offer. People call these emails junk mail, and that is exactly what these emails are. Get rid of the junk, and you will ultimately get rid of many potential financial problems.

The smartest way a person can sign up for a credit card is to go directly to the credit card companies for information. Forget the ads and marketing schemes because they are specially designed to entrap and snag unknowing victims. People should obtain as much information about the credit cards as possible by asking the credit card company representatives detailed and compulsive questions.

People should also seek to obtain information about all the many different options that credit card companies offer. Rewards cards can be a great option for potential credit card users if the necessary information is obtained. These types of offers and incentive are real and can provide a very successful financial future for customers who know how to correctly use the credit card.

How Do Charge Cards Differ From Credit Cards?

You have probably often heard of a credit card being called a charge card. Or you may have heard of a charge card being called a credit card. Many people believe that they are the same thing. However, the two are quite different.

1. One difference between a credit card and a charge card is that credit cards allow you to have a balance. Charge cards do not, because they require that you pay in full the amount that you charge on an annual basis. This is how credit cards can be used for long periods of time without ever being paid off, though payments are made monthly that may reduce the balance, but never actually eliminate it. With a charge card, you must pay off the amount you owe periodically, no matter how great the amount is.

2. Another difference is that credit card holders must pay interest fees. This is because the card holders are not required to pay their debt in full periodically. They only have to pay the minimum monthly requirement. Interest is where credit card companies make their money. Though they do not require you to pay your bill completely by a certain deadline, they do charge you interest for the entire time that you do not have it paid off.

3. Credit cards give you the opportunity to pay off your balance whenever you want, but charge cards have more rewards. There is such a thing as a rewards credit card, but many charge cards outweigh these in benefits.
Depending on who the card holder is and what their spending habits are, preferences between charge cards and credit cards differ depending on the person. The different aspects of each can determine which one is the best for you.

Credit cards

Credit cards are beneficial to you if you need to buy on credit and can afford to pay on a balance along with the interest fees. It can be better to have a credit card because they have no annual fees and they allow you to pay off your debt when you like.

Charge cards

If you are the kind of person who would be able to pay off your debt when the card company requires it, charge cards are a good investment. They allow you to buy things that you cannot pay for now, but because of the periodic pay off requirement, it keeps you from getting into debt further than you can escape from.

Whether you are willing to pay on interest rates and be allowed a credit balance or pay annual fees and get great rewards is up to you. Depending on what kind of spending you need to do and how well you will be able to pay it back are big factors to consider when comparing the two types of cards. There are benefits and pitfalls to both sides, but if you manage either or both of them wisely, you will be able to reap the benefits they bring and control the expenses they incur.

How To Raise The Limits Of Your Credit Cards

You have a credit card that you’ve paid off regularly, and you have maintained your debt pretty well ever since you got it. Your credit score is pretty good, and you do not want to do anything to make it go down. You’re thinking you could handle your debt just as well if you had a higher credit limit. But how do you go about raising your credit limit without damaging your credit score? Is a higher limit worth the decrease in your credit rating? Here are a few options you could consider when asking for a higher limit on your credit card.

Just don’t do it

One opinion is that you could avoid a limit increase altogether. Lenders periodically increase your limits for you anyway, if you have a good credit history and are making your payments on time. Why would you need a higher limit anyway when you are not sure you could keep up to the debt you might incur with such high spending possibilities? Really, if you do not absolutely need to have your limits raised, you probably shouldn’t even ask. That way your credit score won’t suffer and you run less of a risk of missing a payment and building up your debt. Increasing your credit limit is risky business…from the first time you apply for student credit cards until you finally have a financial awakening, you’re most likely building up high interest balances that will haunt you for years.

Take it on the chin

Some would think it best to just ask for the credit limit increase anyway, and take whatever consequences come your direction. This may not be too bad of a solution if you have a great credit score. But overall, if you have a good credit score, wouldn’t you want to keep it that way? There has to be another way to do this and not get penalized.

Ask for an account review

This form of inquiry is sort of like asking indirectly for higher credit limits. Lenders do account reviews periodically whether you request it or not. They check the accounts on your credit reports to basically check up on you. They look to see what kind of changes they should make to your account concerning things like interest rates and credit limits. So if you ask for an account review from your lender regarding your credit limit, it sort of pushes them along in raising your limits, if you’re worthy of an increase. This way, there is less of an effect on your credit score, and you get the larger range in which you wanted to spend.

Why Are People So Afraid Of Credit Cards?


Many people believe that having a credit card is too big of a risk to take. They fear several aspects of the credit card that can cause huge debt problems. What many people do not realize is that they control how much debt they take upon themselves, and they control how well they can manage a credit card. Some may fear things that they cannot control though, like theft, how high the interest rates can climb, and other penalties for late payments. Well, there are a few pieces of advice that can be offered for these kind of fears.

Fear: My Credit card may be stolen

It is out of your control when someone steals and misuses your credit card. Still there is comfort in knowing you can cancel your credit card immediately after you realize it has been stolen. This way you can advise the credit card companies not to make any kind of transactions with that particular credit card.

Fear: I will spend too much on credit cards

This risk applies to everyone. No matter how rich you are, you can still spend beyond your means using credit cards. The best solution to this is completely dependant upon the card holder. It is totally up to you to determine and control your spending habits so that you do not get into debt that you cannot escape. This is where many people fall short. The key is to be well disciplined. You will be rewarded for it if you keep your spending consistent enough with your payment abilities so that you can pay your bills on time. The best way to stay out of debt is to keep the amount of money that you spend low enough that you can pay it off frequently, like at the end of the month. If you only pay the minimum amount each month and spend more than you pay, this will rack up your debt to the point where it can be unbearable, consequently leaving you paying bills for several years to come.

Fear: People I know have credit cards with way high interest rates

Sometimes the interest rates on your credit cards can increase due to contract agreement, or as a penalty. It is important to know everything about your credit card agreement when you sign for one. You need to know how much the interest is, if and when it expires, how much the rate will increase after the expiration date, and how high it will be if you pay late on your bills or if you do not pay in full. The best way to prevent a shock when and if your interest rate goes up is to know ahead of time exactly how it’s going to change and whether or not you can afford a possible increase. Knowing the terms on your credit cards will also help you as you shop for the one that is right for you.

Fear: Not all credit cards are accepted at stores anyway

You should get a credit card that will be accpeted in most places, like Visa or Mastercard. These kinds of credit cards are seldom turned down, and it gives you easier access to buying on credit.