Little Known Credit Card Secrets
Little known credit card secrets can save you money and help you keep your credit debt under control. There are little known tricks that credit card companies play on you, as well as tricks you can use to get rid of fees and pay off your debt sooner. Here are some of the best credit card tips, tricks and secrets.
You can get rid of annual fees
If you have good credit, just call and ask for fee to be removed. You will be surprised at how often this works.
Read the fine print and pay on time
Be aware that under “universal default” rules, if you are late on one card, your interest rate can be increased on other cards as well. They love to get you with this one and this tip is a credit secret very few people are aware of.
Watch for changing due dates
Another credit secret is to be on the lookout for a change in your payment due date. This is a trick used by some credit card companies to get you to pay late so they can collect the late fees. They will also be able to raise your rate, and the rate on other cards you may have. Don’t assume that your payment due date will always be the same.
Use promotional checks with care
Transferring balances under a zero interest promotions can be a good idea, but watch out for those that charge balance transfer fees. Transferring a balance that you were going to pay off soon anyhow could cost you more if there is a 3% transfer fee.
Try credit unions for cards
Another credit secret most people are not aware of is checking local credit unions for credit card offers. Their cards usually have lower interest rates. My credit union Visa rate hasn’t been over 10% in years, and I have zero liability for unauthorized charges.
Ask to have the late fee waived
If you’ve never been late before, some credit card companies will waive a late fee – but only if you ask. Why not try it? All it takes is a quick phone call.
Pay in full every month
Credit cards are for convenience, not for hiding the true cost of things. Don’t pay interest – just pay the balance every month. This is such a simple credit secret but most people carry a balance on their cards and they have no ides what the true cost of their purchases are after adding in the interest fees.
Don’t buy the credit card insurance
This typically stops your payments when you are injured or unemployed. It is one of the most over-priced insurances out there, and doesn’t eliminate the debt, but just delays it.
Avoid credit card security insurance
Credit security insurance pays for unauthorized charges when your card is stolen. By law, you are only liable for the first $50 if you report the theft which is far less than you will pay in the insurance premium. In any case, many cards already have 0 liability so adding this insurance is actually a pointless expense for most card holders..
Pay high-interest cards first to reduce credit card debt
If you have $200 monthly to apply to your credit card debt, pay only the minimums on all cards but the card with the highest interest rate. Put all the rest of the money towards that one. Once that one is paid off, work on the next highest. This is the fastest way to get rid of your credit card debt, and the most important of these credit card tips.