You may be approached by a loved one asking you to co-sign for a credit card, and you may have difficulty deciding if this is the best decision to make. So, what do you do?
For many individuals, the idea of co-signing is met with a great deal of trepidation, and rightly so. After all, you are just as responsible for the credit card bill as your loved one is. So, if they fail to pay the bill, guess who’s responsible? And, if they act irresponsibly with the credit card, guess whose credit score will suffer?
It is because of the above reasons that you must seriously consider whether co-signing for a loved one is the best idea. H
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While it is already to late for many people who have endured massive interest rate increases during the past year to benefit from the protections provided by the new credit card laws, consumers still need to keep a watchful eye on any mail that comes from credit card companies. Arbitrary rate increases as well as other changes in terms are still legal for the next month, so even if you’ve managed to escape a 29.99% rate increase so far, there’s still a chance you could be hit in the next month.
Some banks, including Bank of America, vowed to stop rate increases back in September. Other banks, however, have made no such assurances. This could lead to a mad last minute rush to raise rates on consumers before the deadline, so caution is advised.
Ultimately, there is very little that can be done to prevent an arbitrary rate increases (after all, they are arbitrary). However, if you’ve been hit with an unfair or unreasonable interest rate increase, now is a good time to evaluate 0% balance transfer offers while it is still possible to get 0% interest rates for up to 12 months. Once the new laws take effect, credit card companies may cease offering generous 0% deals and people hit with rate increases will have little option but to pay off their balances at astronomically high interest rates.
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- New Credit Card Laws and Interest Rate Increases When the new credit card laws take effect on February 22nd, banks will no longer be able to raise interest rates on your existing balances for no reason. In fact, they won’t even be able to raise interest rates on your balances if you are 59 days late. However, even…
- Transfer Balances Before New Credit Card Laws In 2009, balance transfer credit card offers changed dramatically. Credit card companies increased balance transfer fees to previously unprecedented levels, while shortening the duration of 0% interest periods to as little as 6 months. Since October, credit card companies have been increasing the length of 0% APR offers to 12 months,…
- 0% Interest Rate Credit Cards Today 0% interest balance transfers used to fill mailboxes daily. However, have you
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There have been a variety of scams people have fallen victim to when trying to redeem their gift cards. Here are a few tips and situations to help you avoid being ripped off of your money.
1. After purchasing the card immediately write your initials on the back of it in permanent marker.
When an unknowing consumer goes to use their gift card at the place of purchase, the cashier will switch the card with a different one containing no value. When the cashier tries to verify the card and the value is zero the consumer is out of luck.
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After medical bills lead to wage garnishment, consider bankruptcyIn the meantime, food, shelter take precedence over utility paymentsBy Todd Ossenfort
The Credit Guy The Credit Guy, Todd Ossenfort, is a credit expert and answers readers’ questions about credit, counseling and debt issues.
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Dear Credit Guy,
We have four children, very little in assets (one vehicle worth about $1,000) and earn about $45,000 a year. We have $10,000 in debt with one collector alone, and they just garnished my wages for the full amount allowed by law — $800 a month. Ninety percent of that debt is medical.
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Secured credit cards are perfect for people who want to establish credit or rebuild damaged credit history. What benefits can you get by using a secured credit card? How can choose the right secured card for you? And how can you use it build or rebuild credit? Let’s answer these questions one at time.
What is a Secured Credit Card?
To open a secured credit card account, the applicant must make a deposit in his/her savings account. This serves as a guarantee that in case of default, the credit card issuer can use the cash deposited to pay the unpaid charges. H
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As credit card companies begin easing up on their credit card practices, you may begin to see a steady trickle of credit card offers entering your mailbox. And, along with credit card offers come balance transfer offers.
Balance transfer offers are typically used to transfer higher balance cards onto another card with a more attractive rate. Many times, credit card companies offer low introductory or balance transfer rates, thereby saving the customer from hefty finance charges.
Finding a good balance transfer offer may take a bit of work, but there are plenty of credit card companies out there who are competing for your business.
How a Balance Transfer Works
If you are paying too much in interest charges on your debt then you may want to consider the advantages of credit card balance transfers.
Simply find a credit card that is offering a special balance transfer rate and consolidate your other, higher interest debt onto the lower interest rate card.
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A credit score is used to determine a person’s credit worthiness. Let us say you are applying for a new credit card or a new loan, your credit score will affect the fees and interest rates the company will offer you.
It also plays a role when you are applying for a job, planning to lease an apartment or office space, etc. A good to excellent credit history will definitely help you in obtaining a more pleasant and positive impression or response.
However, just because a person has bad credit does not mean he/she is not a responsible individual. Aside from overspending, there are other possible reasons why people suffer from bad credit. Unavoidable circumstances and/or wrong decisions can be the culprit. A
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January 14th, 2010 in
Credit Cards Info | tags:
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