Credit Card Debt Management

Do you have a good credit score? Have you worked long and hard to accomplish this goal? If so, good for you. Having a good credit score can financially help you in many ways. But of course, keeping this score is not guaranteed. If you begin to make mistakes you will find your credit score dropping and your anxiety increasing. Is this a situation you want to face?

Here are two easy ways to keep your credit score in good standing:

1. Continue to pay every bill on time. You don’t have a high credit score because you missed payments and let debt mount up. If you want to keep your credit score safe you need to continue to pay all of your bills on time no matter what it takes.

2. Monitor your credit report. Believe it or not, your credit score can take a huge hit if a mistake is made on your credit report. When was the last time you checked your credit report for a mistake? If it has been more than a year you should request a free copy for your review. Is there an error on your report? If so, you need to contact each credit bureau to file a dispute.

It is a big accomplishment to have a good credit score. It is even better to have a high score and keep it like this year in and year out. If you want to keep your credit score safe make sure you continue to pay all your bills on time, and review your report from time to time. You earned your high score, now it is time to make sure it stays this way forever.

Does the thought of credit card fraud scare you to death? Unfortunately, this is a common problem among American consumers. Every year, thousands of Americans become a victim of credit card fraud. Are you going to be next? You need to know the ins and outs of fraud, how it happens, and what you can do to avoid it. Some consumers believe that this could never happen to them, but are quite surprised when it does.

Simply put, this type of fraud comes about when your credit card itself or the information attached to the account is stolen. In other words, if you physically lose your credit card you may become a victim of fraud. The same thing holds true if your information, such as your account number and expiration date, is stolen in any way.

How can you prevent credit card fraud? One way is to make sure you only shop at stores you trust. With more and more people shopping online, controlling credit card fraud is becoming a giant task. Make sure you do not transmit important information online unless you are sure of who you are doing business with.

Also, if you lose your credit card report it to your company before you do anything else. The longer you wait the better chance there is that your information will be stolen and used against you.

Finally, be sure to examine your credit card statement closely. Do you see charges that should not be there? If so, you need to find out what is going on without delay.

Every year, the cost of credit card fraud reaches billions of dollars. While this will always be a bad part of the credit card industry, you should do what you can do ensure that you don’t become a victim.  

Carrying a credit card comes with a lot of responsibility. Before you apply for a card, no matter which one it is, you should find out which fees you may face in the future. Simply put, you don’t want to deal with credit card fees unless it is absolutely necessary. And even then you may want to think twice about what you are doing. Remember, using your credit card and paying interest (in some cases) should be enough for the credit card company. You do not need to be giving them extra money in fees along the way.

The most common type of credit card fee is known as an annual fee. Fortunately, not every card has one of these. Simply put, an annual fee is an amount you pay every year for carrying a particular credit card. Believe it or not, this fee can range from $25 on the low end to $300 on the high end. If you don’t want to pay an annual fee you should not apply for a card that has one. It can be a pain to negotiate your way out of this fee.

What about balance transfer fees? Many people take advantage of balance transfers so they can pay less in interest. But before you do this you need to know that you may be paying a fee for doing so. In most cases, a balance transfer fee is approximately 1 to 3 percent of the amount transferred. For example, if you transfer a balance of $10k with a fee of 1 percent you will owe your credit card company $100.

A few other common credit card fees include: application fee, cash advance fee, late fee, over limit fee, and of course, finance charges.

It is very important to know which fees are associated with your credit card. And if you are applying for a new card be sure to avoid those that have many fees attached to them; they probably aren’t worth your time (or money).