Improve Your Credit Score, No Matter What Your Situation!
Almost everyone can get their hands on some consumer credit; which is one of the main reasons people are falling more and more into debt. Accumulating thousands of dollars in debt is so easy, and has become all too commonplace.
Due to the fact that consumer debt is at an all-time high, more and more people want to be informed of helpful and trusted tips to rebuild credit history. Most of the time, when people hear the word "budget," they think of having to starve themselves and an almost non-existent social life. Lucky for you, having an effective plan for managing your debt and of course maintaining healthy personal credit and credit scores, by using certain types of credit cards, will definitely assist with meeting your financial goals.
For some consumers, these types of credit cards may be the main solution, because they are very effective, and some consumers aren't able to get a traditional credit card, or even open a bank account. This day and age, most households have both parents working, so that there are two incomes supporting the family, which of course means there's slim to no time for creating budgets or researching solutions for maintaining a higher credit score.
Your journey to financial freedom starts with YOU taking the first step. Let us begin first, by evaluating the positives and negatives of both the secured and the pre-paid credit cards.
1. Secured Credit Cards
Advantages- Having a secured credit card is a very easy and cost effective way to build your credit. These secured credit cards can also rebuild and improve damaged credit reports. They work exactly like a traditional credit card.
Disadvantages- One of the major issues with this type of cards, is that in order to "secure" the card, you have to deposit anywhere from $200 to $300 when you apply. This can be a pretty hefty requirement. They also have much higher interest rates (15% and up), additional fees like annual fees that may cost about $50. This card, despite its minor setbacks, is a great option for those who want to rebuild their credit.
2. Pre-Paid Credit Cards
Pros- Pre-Paid Credit Cards can be a great tool because they provide you with the freedom and flexibility of using your own cash. These cards look like real credit cards and can be used for just about any situation that requires a credit card. Instead of granting you a credit limit based on your financial standing, these accounts require you to "load" the card with your own money. Yeah, real cash. Approval for this type of card is easy and almost guaranteed, even if you have credit problems.
Negatives-This may not be the best choice if you're looking to establish or rebuild your credit. Pre-Paid cards may not report your repayment history to the credit bureaus. If the company doesn't report back on your account, this type of card, unfortunately, will not improve your credit. If you look at all of your options available, and compare cards based on your needs, you'll be just fine.
Please remember that Pre-Paid cards cannot be used in every situation. Hotel and car rental agencies, for example, may not let you use the pre-paid card to book a room or secure your rental. Just be sure to call in advance and ask about the company policy before you begin your booking.
Identity Theft Prevention and Identity Theft Protection are crucial. Stop Identity Theft with LifeLock. Life Lock can guarantee identity theft never happens to you. To learn more about how to protect yourself from identity thieves, visit lifelock.com
Due to the fact that consumer debt is at an all-time high, more and more people want to be informed of helpful and trusted tips to rebuild credit history. Most of the time, when people hear the word "budget," they think of having to starve themselves and an almost non-existent social life. Lucky for you, having an effective plan for managing your debt and of course maintaining healthy personal credit and credit scores, by using certain types of credit cards, will definitely assist with meeting your financial goals.
For some consumers, these types of credit cards may be the main solution, because they are very effective, and some consumers aren't able to get a traditional credit card, or even open a bank account. This day and age, most households have both parents working, so that there are two incomes supporting the family, which of course means there's slim to no time for creating budgets or researching solutions for maintaining a higher credit score.
Your journey to financial freedom starts with YOU taking the first step. Let us begin first, by evaluating the positives and negatives of both the secured and the pre-paid credit cards.
1. Secured Credit Cards
Advantages- Having a secured credit card is a very easy and cost effective way to build your credit. These secured credit cards can also rebuild and improve damaged credit reports. They work exactly like a traditional credit card.
Disadvantages- One of the major issues with this type of cards, is that in order to "secure" the card, you have to deposit anywhere from $200 to $300 when you apply. This can be a pretty hefty requirement. They also have much higher interest rates (15% and up), additional fees like annual fees that may cost about $50. This card, despite its minor setbacks, is a great option for those who want to rebuild their credit.
2. Pre-Paid Credit Cards
Pros- Pre-Paid Credit Cards can be a great tool because they provide you with the freedom and flexibility of using your own cash. These cards look like real credit cards and can be used for just about any situation that requires a credit card. Instead of granting you a credit limit based on your financial standing, these accounts require you to "load" the card with your own money. Yeah, real cash. Approval for this type of card is easy and almost guaranteed, even if you have credit problems.
Negatives-This may not be the best choice if you're looking to establish or rebuild your credit. Pre-Paid cards may not report your repayment history to the credit bureaus. If the company doesn't report back on your account, this type of card, unfortunately, will not improve your credit. If you look at all of your options available, and compare cards based on your needs, you'll be just fine.
Please remember that Pre-Paid cards cannot be used in every situation. Hotel and car rental agencies, for example, may not let you use the pre-paid card to book a room or secure your rental. Just be sure to call in advance and ask about the company policy before you begin your booking.
Identity Theft Prevention and Identity Theft Protection are crucial. Stop Identity Theft with LifeLock. Life Lock can guarantee identity theft never happens to you. To learn more about how to protect yourself from identity thieves, visit lifelock.com
About the Author:
Ms. Linda Seamore is an advocate for personal safety, dedicated to teaching people how to protect their identity. After reading stacks of mail from identity theft victims, she came across www.Life Lock.com , the best in ID theft protection. Life Lock specializes in the prevention of identity theft vs. after the fact protection. Visit LifeLock and see how to protect yourself!
posted by Debt Consolidation Loan at
2:17 PM
0 Comments:
Post a Comment
Subscribe to Post Comments [Atom]
<< Home