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Credit Card Dirty Tricks
There are many of us that have been badly stung by credit card companies that have charged exorbitant fees to use their credit cards. Several years ago an APR of 25% to 29% was common place which in simple terms means that if you borrow £1,000 your...
Credit Repair Scam - How To Avoid Being A Statistic?
Credit repair scam - How to avoid being a statistic? A good credit history is critically important for the consumer. A bad credit will prevent you from getting a business loan, owning a home, or even a job. Promises to "fix" your credit are always...
Knocking Down the Debts with Credit Repair
If you take a hard look at your situation and analyze your debts
carefully, you might just find a solution to knocking down the
debts. Debts are bills we owe to creditors, someone or source
that has extended us a line of credit believing that we...
Student Credit Cards 101
If you’re a college student, you probably already have a credit card. If not, you may have plans to get one or more soon. So why should you read on?
Because financial debt is one of the main reasons that many students end up dropping out...
Taking Control of Your Credit History
Your credit history is important; in fact, in this day and age, only family and your time are more important than your credit history! The first time you established a payment commitment over a period of time for a purchase, you began your history...
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Prepaid Credit Cards
If you have a history of bad credit and are unable to obtain a
mainstream credit card, then prepaid credit cards may be just
the answer you are looking for.
First of all, although prepaid credit cards are accepted at any
retail outlet where the credit card logo is displayed, strictly
speaking they are not a 'credit' card, as the issuer provides no
credit facility to you. Rather, your spending limit is
determined by how much money you have on the credit card at any
given time.
Once the amount on the card has been spent, the cardholder can
either buy a new prepaid credit card or elect to transfer money
on to the existing card, depending on the card program.
Although prepaid credit cards sound very like debit credit
cards, the two should not be confused. In the case of debit
cards, any purchase for goods or services you make will
automatically be charged to you bank account - for which the
debit credit card has been issued. However, purchases for goods
or services made on prepaid cards goes off the balance already
on the card.
Because of the prepaid nature of these cards, they have
several benefits, such as:
-no interest is charged
-they give people with a bad credit
history the option to use a
credit card
- the 'credit' line is variable depending on the amount on the
balance of the card
That said, you still need to review the terms and conditions
of the application form carefully as prepaid credit cards can
have
- a monthly membership fee
- an application fee
- a purchase fee
- a monthly transaction limit fee, i.e. if you spend over a
fixed amount each month you are charged a fee for any additional
transactions
- a fee if you use the card to make ATM withdrawals
Nonetheless, the card is a superb option if you either cannot
obtain a regular credit card or are tired of all the fees and
interest charges that are normally associated with standard
credit card.
About the author:
Joseph Kenny is the webmaster of the UK credit card comparison
site http://www.creditcards121.co
m/, where you can find a selection of credit card
advice. For US visitors there is also the comparison site http://www.credit-cards-i
nfo.com/ for all US interest free offers.
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