Can’t afford to keep my credit card account open
In a world of fast food credit cards and easy access to credit, can a person make things harder for themselves by requiring a credit check each month, costing a fee to keep your account open, atleast yearly?
The answer is yes; because if your paying out your credit card accounts the same every month, you will not be able to afford the additional bills that you are obliged to pay every month, meaning that under the secured credit card, you are actually still liable for the principal of the charge you incur upon your account. In practice, however, this never changes, since you never incur any bills the moment you open a secured credit card account.
If you are an individual who is faced with the daunting task of trying to get your credit score through to the next level, you may feel that you must have a constant stream of phone calls to make, to get that necessary credit check done. But look where this is going.
Appalling numbers of individuals are using secured credit cards for extra benefits such as travel and car insurance. There are also those who use these cards for illegal activities like selling fake addresses and putting up photos of their children on their cards. These kinds of practices should be addressed before you open a credit card account. In this case, the extra charges would probably amount to less than the added costs of having a credit card.
A better solution is to get a secured credit card. Through a secured credit card you may be able to reserve a credit card number instead of your purchasing power. Use this number to keep tabs on your checking account, then purchase goods or services that suit your needs, such as gas. This way, you are eliminating the costs of paying over time for paying the card’s minimum monthly payment.
Incentives are high on secured credit cards that let you ‘catch’ them even when you are not using them. You may also feel that the interest rates are set too high of a too early, especially if you are paying interest on the principal for which you are being paid. These companies will often offer a grace period of 20 days or even longer, in order to avoid penalizing you for using the card and wasting your purchasing power. However, all of them are probably going to have other clauses in place that will not only give you the freedom to buy things on the counter, but to purchase them as well, if you so choose.
A secured credit card is the perfect tool in this regard. A secured card requires you to use the card almost exclusively, while gaining access to the vast opportunity cost of purchasing goods and services. You have to use your card to pay all kinds of bill related charges, like annual fees and closing costs.
No one has ever tried to open a credit card account for their clients without letting them know that his money is going to pay for them, even if he hasn’t had the opportunity for it. If you ever need more information about credit cards, this article may help answer your questions.
Can You Really Do That?
If you have a credit limit, it could be possible to really tap into your credit card resources. Before you tap into the resources, you need to find out how much their credit limit actually is.
The way to do this is to call your credit card company and ask if they have had a limit for your account. Their response is that they had been monitoring your account and have made arrangements with you at least once. If your credit limit is accurate and they notify you of an agreement to pay the credit limit, you should find out immediately how much their limit really is.
If you call and ask, you may receive a lot of great information about your credit card account. Many companies will offer advice on how you can work or pay off your credit card debt. However, you should still heed all of their advice on how to put that much money out into your account. Many times, the answer will be a complete blank without making any connection of any type to your credit card account, and also, more often than not, the answer will be “no”. Some people may do these easy mistakes when they are not already aware of the credit card issues in their life. For example, some people mistakenly assume that the minimum monthly payment for a small credit card is enough to pay the entire balance of the balance on their first card, and they just want you to add that money on and make that payment monthly. If that is the case, then your credit card debt can be more serious than you are able to imagine.