Many credit cards are offered by various banks and financial institutions. These credit card companies may include their own marketplace where you can go directly to several banks and financial institutions for further comparison. Thus, the search will be complete for information that is not labeled “Plastic”.
Many different fees may come with credit cards. The higher the monthly rate is the more you pay over time. This usually ranges between 6.99% to 17.9% on some cards. If you are going to carry an annual fee this can add up to quite a bit of money. This is especially true when you consider that many students either carry an annual fee of for example 10% of their balance but they are using a credit card and pay the credit card company the grace payments; they will charge an annual fee and there is a grace payment just for making the payment.
Also, most cards often do not allow you to cancel the accounts. This makes it very difficult to really pay all the balances while they stay on the account. So if you have a card with a high annual percentage fee you are usually not going to want to use it since at least the grace payments are coming in and you will not be carrying any balances.
Be sure that all fees, charges and conditions are spelled out in the terms and conditions of the card, otherwise you might end up with a card with very high interest rates and even higher finance charges than you have presently incurred. Card issuers may require you to take time off from work in order to pay off your balance. This will decrease the remaining amount on your outstanding credit card debt which is what the credit card industry has been trying to have you do for so long.
In addition, some financial institutions may charge high fees or annual fees on late payment and others may require you to pay a certain amount each month in interest to keep your account open. It’s easy to get caught up and lose all your dues. Now, however, you have the chance to pay off your debt before all of that interest and then it has been paid off! This is exactly what a credit card company does!
There are sometimes other great options available in these areas such as prepaid credit cards, prepaid debit cards, prepaid ATM card etc. All there does however is a different gimmick to the traditional methods that you have encountered during your credit card searching.
The best thing about the newer methods of credit cards though is that it does not have the same security as traditional credit cards. For example, the security of not getting caught without your credit card in your wallet is another advantage. There are also the issues that some will encounter and this is something you have to take into consideration when you decide whether to apply online or over the phone. This fact alone is something that will take you by surprise.
If you are considering getting a new credit card, you should consider the ‘revolving credit card’ and decide for yourself.
Credit Card Fraud
One of the easiest ways in which the companies can obtain your credit card information is through online advertisements and phishing emails. The tactics employed by the fraudsters cannot be completely prevented, as well as the steps they employ to get your credit card details.
The first thing that the companies will try to do is to get your credit and your PIN number, through web sites they send you. You will then get these e-mails:
‘We’ve got it completely wrong. In fact, we never provided any information about a credit card that would permit us to purchase that item without a PIN, and never even offered non-supplementary services (like false photos or incentives) to any of our customers. This was a fraud in the sense that you didn’t call to make a purchase, or provide any details about the transaction. We simply never provided information about a credit card that you wouldn’t be entitled to without a PIN. The problem with these e-mails, then, is that they are usually designed to be triggering e-mails in order to persuade you, such that you want to make a cash purchase – but to no avail.
‘You see, with each of those advertisements and phishing emails, they use a new technique called ‘pre-set procedure.’ The pre-set procedure is a procedure for the fraudsters to make large-scale changes to the plastic used for their sales forms or to write letters to their prospective customers to convince them to make a purchase. The postal method is a poor substitute for human contact.
‘We will, for example, mail these pre-set fraudulent offers to a customer who, we believe, has never applied for and received a credit card before.