Credit Card Offers

With credit card debt in the United States constantly rising each year, many cardholders are making the decision to switch to products with lower interest rates and better terms and conditions. Every day tens of millions of credit card offers are sent out in the mail to prospective cardholders who are on the lookout for a more appealing credit account. Unfortunately, after being tempted by short-term promotional gimmicks many cardholders act impatiently and switch to a card which will put them in even more debt in the long term.

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While individuals with good credit can live relatively luxuriously on an average income, individuals with bad credit who earn the same amount have a notably lower quality of life. This is not only because they don’t have access to a line of credit, but also because it is much more difficult to be approved for loans, vehicle and home rentals and even job applications. Fortunately, establishing good credit from scratch is a relatively simple process that can be accomplished by following the three easy steps below.

Applying for a Credit Card

The first step in establishing credit is applying for a basic credit card with a low credit limit. C

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Pre-approval credit card offers are becoming increasingly popular as card companies attempt to solicit new clients in the face of record profits and all-time highs in credit card debt. Although the term “pre-approved” may seem straightforward, it actually has a much deeper and more convoluted meaning than one would expect. In addition to the “pre-approval” marketing tactic, card issuers also tend to offer additional incentives such as lower interest rates, long introductory periods, low or no account fees, and rewards programs. Unfortunately, every day there are hundreds of prospective cardholders that are given the false hope of pre-approval after being declined for several credit cards in the past. The fol

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Sooner or later every credit card charges interest, regardless of the promotional benefits offered during the introductory period. However, if the card balances are repaid in full before the end of the grace period, then it is possible to avoid interest altogether. Nonetheless, the majority of cardholders only repay a percentage of their outstanding balance, and some even choose to pay the minimum amount due, which can actually have a negative effect on their credit score. Unfortunately, every credit card issuer utilizes a different APR calculation method, the most common of which are explained below.

The annual percentage rate (APR) must be divided by the number of billing periods within a year (usually one for every month) to determine the periodic rate, which actually dictates the amount of interest charged each month.

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Get Rich Slowly blogger J.D. Roth shares a story about the dilemma his wife encountered when disputing a modest charge on her account. Erroneously charged twice at a British Columbia café, she spent months trying to receive a refund to no avail. Finally she canceled her card and refused to do business with the issuer. She learned that some disputes arent worth the hassle, but she still made a statement.

Its bound to happen to many of us who use credit cards at one time or another, and oftentimes we dont have the option to just let go. We find an out-and-out error, charges for merchandise returned or never received, or unauthorized charges that have no explanation. Patience, knowledge and a respectful attitude improve success rates in the dispute procedures that follow. Keeping a paper trail or an electronic trail will also help. At every stage of a credit card dispute, here are secrets for getting positive results:

Go back to the source

This is the easiest path to resolution. Resolving your dispute at the point of purchase eliminates involving the credit card company. Reach out to the merchant and try to negotiate a satisfactory solution.

Know the merchants refund policy

Sometimes the merchants refund and exchange policy is posted in plain sight. More often, its buried in fine print and written in legalese. These policies are designed to protect the creditor, but give you certain legal rights as well. If you take the time to acknowledge the merchants refund and exchange policy, and approach the merchant with a positive attitude, the merchant may make an exception out of graciousness, if not out of legal responsibility.

Know credit card law

As consumers, we are protected by the Fair Credit Billing Act. We have the right to dispute a purchase or withhold payment under certain conditions, including these seven:

1. Unauthorized charges
2. Charges with incorrect date or amount
3. Math errors
4. Charges for goods not received
5. Failure to post returns or payments
6. Failure to receive bills at your current address
7. Charges for which you requested clarification

The Fair Credit Billing Act applies to open-end credit card accounts and revolving charge accounts such as department store accounts. It does not cover installment contracts on a fixed payment schedule.

Dispute the charge with your credit card company

Call your credit card companys toll-free number and request the purchase-dispute department, or go to your credit card companys website and work through its online dispute system. Be accurate when filing your claim. Gather and provide as much documentation as possible.

Have you had personal experience, good or bad, involving a credit card dispute?

With credit card debt being at an all-time high, it is not surprising that many cardholders are choosing to cancel some of their cards to avoid debt and simplify the management of multiple credit accounts. Repaying a large amount of debt and repairing the credit score after being a victim of credit card debt can be a process that takes years to complete. Thus, many cardholders choose to simply close their credit accounts, rather than risk accumulating even more debt in the near future. Although this may seem to be the wisest decision, there are several factors that need to be considered before a credit card account is canceled.

Current Interest Rates

While low interest rates may seem useless to an individual who is in debt and cannot afford to make credit card repayments, they are an increasing rarity in today’s credit card market. I

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