If you already have a credit card, are looking get to get a second one, or are signing up to get your first credit card, make sure you read this to avoid or to see if you have already committed any of these mistakes. Credit cards can be complex and as with everything, mistakes can be made, but these top 3 most common credit card problems and how to deal with them will put you on the right track.
1. Worried about your Credit Score
Improving your credit score and financial health takes time and involves a committed strategy in improving your credit score. Review your credit report, and make sure that everything is correct and do not be afraid to question certain payments that you are unsure about. You can do so by getting your free credit report over here. By paying your bills on time every month you will begin rebuilding your credit history putting you on the road to less stress and a brighter future.
2. Missing a Credit Card Payment
Whilst it is advisable to stay on top of your finances, sometimes with your busy schedule, finances entering and leaving your account each month, it is possible that you may miss a credit card payment. Contact the credit card provider as soon as you realise your mistake, as honesty is the best way forward in such a situation. Ask them if it is possible to waive the late fee or additional charges, especially if you have a good credit history. Before calling, work out how much you can pay and when you can pay it as they will be able to help you organise your finances.
3. Fine Print and Introductory Rates
The numerous offers you receive by email or advertisements can be tempting as they show attractive introductory rates or reward schemes. However, not reading the fine print of the credit card offer or of the services included for the credit card may cause future financial issues. Introductory rates are as their name suggest, there to welcome you and bring you into the signing up, however, it is not uncommon that these rates will have an expiry date which will then go to their normal rates. This type of information is usually included in the part that many of us do not read; the fine print, the small text insert which explains all. Not reading the fine print is like going into a relationship blind, as there could be charges you didn’t know were there or the rewards system you thought was perfect for you could have some limiting features.
When getting a credit card, make sure to pay attention to the small print and ask the card provider to explain anything you might not understand as it is better to ask the questions before you are signed up to their service. Manage your finances carefully and ensure that you do not fall into the trap of making the most common credit card mistakes.