Your Personal Credit
Your personal Credit is important, because credit Card companies, banks, stores, business, and many lending instatutions are lending out money that you might not physically have at the time or that you need to pay it back over a period of time.
So taking good care of your good credit is important, because if you are a high risk people will not want to lend you the money in fear of not getting it back or not getting it back in a timely fashion. Put it like this if some stranger walked up to you, that you didn’t know and asked you for $500 and said they will pay you back, would you just give it to them? Most likely not. Same is true with lenders and how they feel about you. So keep your credit in good shape so that when you need it they will know your good for it.
Different Types of Credit Cards
Master card, Visa, American Express, Discover and the list goes on . You have Business Credit Cards that are good for helping you finance your business with revolving credit. Personal Credit Cards speak for themselves. Just don’t let the debit build up and pay them off as soon as possible. Student Credit Cards give students time to build their credit portfolio up while they are still students. These cards are specifically designed and created for students.
Credit Card Rates and Fees
With so many different types of credit cards, one of the things that you have to consider, are the rates and the fees that credit cards charge. Another factor to consider is the “APR”, the Apr is credit card’s interest rate, it is the price you pay for borrowing money. For credit cards, the interest rates are normally stated as a yearly rate, called the annual percentage rate (APR). On most cards, you can avoid paying interest on purchases if you pay your balance in full each month. You also have Low interest credit cards along with no interest credit cards.
Low interest credit cards are great for people looking to make a large purchase in the that they want to pay off over time. They also have introductory rates apply to both purchases and balance transfers, so they are great for consumers with high balances on other high interest rate credit cards. For high interest credit cards it is suggested that you pay off your balance each month.
Credit Card Rewards
You also have credit cards that that you can earn rewards with. Some of them offer unlimited rewards. Others include things like cash back incentives on the purchases you make or they might offer a system where you earn points towards gifts and future purchases. Many Gas cards offer points and rewards systems.
Travel Credit Cards
Travel credit cards are also reward type credit cards that offer defferent rewards based on the amount of money you spend or miles you travel. When you have enough accumulated you can earn selected travel perks, that might include hotels, discounted air fare, no international fees or more. you will have to check to see what card best fits what you want to do.