Millions of people regularly need cash on hand to fill their gas pumps. Carrying cash is easy and frequent on many trips with the convenience of credit cards. Yet too many of us still fail at using a credit card.
The three most popular types of credit cards are:
‘ Cash machines with electronic payments
‘ Gas cards (or airline miles)
‘ Cash machines that wait for you to pay for fuel
‘ A variety of cash equipment provided by retailers like Borders and Kroll.
A couple of words of wisdom can be gleaned from knowing a little about credit cards. What makes them good? Let’s look at some!
Cash comes in many forms! Most credit cards offer a small cash advance that can be used a certain amount in credit account holders’ accounts. This kind of cash advance is great for just about anything: groceries, prescriptions, even cars. (The nicest thing about cash is that you can transfer the money to any of the aforementioned items no need to carry cash around on your person.)
A Credit Card Offers Means A Lot of Liability
It’s a good rule of thumb to always pay all your cards in full as soon as possible, but many of the popular credit card offers carry a cap on how much may be charged. What’s more, the cap is determined by the money you transferred during your credit account statement statement. For example, the following credit card offer gives a cap of $25; the next highest credit card offer is $75; and so forth.
How the Money Banked
One popular card offer is the MasterCard – some say it is the gold of the bunch, others say the card should be discontinued altogether. Consider the following:
‘ Over $100,000 went in interest
‘ Over $6,000 went straight into account of students
‘ The rates charged are so high they made the minimum payment of $13.90, after deducting interest and other charges
The logic is pretty neat. But here’s something you should know: Many of the best credit card offers fall into one of two categories:
‘ Payback offers
‘ Payment installment offers
‘ Payment by Cash
A lot of people prefer the option of paying by cash. That’s why I’m going to show you how to use the latest online payment solution at http://www.virtual-gold coin.
Credit Card Offers Are Causing Instant Loss of Bad Credit
A major element here is the logic. Many of the best credit card offers fall into the revenue-generating strategy. In other words, the payment by cash option is giving credit card companies instant cash pulled at a lower rate than the cash up front.
This is the reason why people who have had bad credit for some time like paying by cash and others want to get cash by electronic means. If you have a credit card with the option of making a payment on it over the phone, this strategy is working wonders for your credit card debt.
It’s also a key assumption to realize that if you’re being given the chance to repay the amount you owe by credit card, that’s all you pay to recoup the debt. When you’re given a cash advance – by using a credit card – you’re basically paying the penalty money on the credit card to the credit card company. If you’re paying by wire transfer – by applying to obtain another payment option – with a plastic intermediary such as a bank – the time spent on the credit card payments – by wire transfers – is not returned due to the late payment. (The money paid to pay off the plastic intermediary – in this case – the late payments against the credit card company themselves – only the money returned to them for the late payment.)
For example, let’s say pay off $600. Paying $600 now will result in a $120 payment to the bank, one dollar. That’s $20 earlier than the $200 payment, because the $120 ‘payment just prior to the wire transfer – was only $1 higher.
This means the money paid to pay the $600 late is now $1.45 – way more than it was earlier – and now only $310 gets to pay off $600 earlier.
These types of credit card offers are driving up delinquencies even more, so it’s smart to never use a credit card again, even if the cost to pay off your late payment is still nice and nice. But the big hit is on the other side of the dollar scale: a credit card offering with a steep APR.
You need to understand that an APR is a figure that every financial planner’s mind follows with a huge number. Not all rate these dollars, you need to pay attention.