Credit Cards
Credit cards makes you comfortable to shop but if not wise enough, you will surely get into debt trap. If you intend to use a credit card, or have recently and are already using credit cards, read the following articles: 10 Things You Must Know About Credit.
Those ten things are:
- Credit cards are not cash: Many people are stuck in debt because of forgotten this principle. Credit cards must be understood as an extension of your wallet. The number of limit on your credit card does not mean you have that much extra money.
- It is important to have a good Credit Score: Having a good credit score is important. Credit scores can be a projection of your financial future that can be used by the parties concerned to assess your financial health when you need assistance such as loans and others.
- A good credit does not happen overnight: learn how to build your credit reputation that makes your applications are always approved.
- No credit cards suitable for all: Each credit card has its own feature and its respective service. Identify the features of each credit card and adjust to your needs
- Debt can happen to anyone, including you: Be careful using credit cards. Use it wisely and under clear planning. Too much debt makes your credit score down and could affect the creditors.
- The creditors talking behind you: Creditors report your every move to credit bureaus. They share information when you make a loan application. Information about you is used to calculate your credit score.
- You can find out about your conversations with creditors for free: You may get a report from each credit bureau for free.
- You can negotiate the interest rate: If you have a good credit score plus a good payment record you have a good opportunity to negotiate interest rate.
- It is possible to have too many credit cards: It did not take long to have many credit cards. As soon as you have one card to another card will soon follow. Having too many cards affect your credit score, and also make it harder to manage your bill payments.
- Closing the credit card can harm your credit score: Closing credit cards may result in decreasing your credit score. So be careful in making and closing your credit card.
Tags: credit card, credit score, kartu kredit
