Credit

The failure to disclose information, especially medical information, is the most common reason why an insurer will reject a claim on a life or critical illness policy. To help underline some issues, we want to tell you a true story - but we’ve concealed the policyholders’ name and a few other aspects to preserve anonymity.

Mrs A was fighting a secondary infection following surgery to remove cancerous lymph nodes in her groin when she received further bad news. Her critical illness insurer was refusing to pay out the

Share This

Maybe you’re looking to get your first credit card or shopping around for a new one. Before you lock yourself into a particular credit card make sure you get the answers to these questions first!

1. What is the interest rate?

Make sure you find out what the interest rate will be for the credit card you’re considering. The lower your interest rate the better it is for you if there is a balance on your credit card. So find out this information up front. If the interest rate quoted is higher, keep looking for a credit card company that will give you a good rate. Of course, the key to getting a lower interest rate is your overall credit.

By the way, beware of teaser low introductory rates that a prospective creditor may offer you to sign up for their credit card. Make sure to ask them if you will continue to get this low rate for a long period of time and not for just a month or two. You will find that if you get reeled into getting a credit card with a low introductory rate, your interest rate may increase significantly later!

2. How will my credit card balance be calculated?

Most creditors use an average daily balance to arrive at the balance for your credit card. This would include any new purchases charged to the credit card less payments and credits applied.

3. If I pay late on my credit card is there a charge and if so how much?

It is important to find out if your credit card company will charge you a late fee and if so how much? You could pay up to $20 or more in late fees if they are applied to your credit card balance. Some credit card companies may charge you a late fee even if your payment arrives the day the payment is due but the wrong time of the day when payments are posted. Your interest rate could also be increased if your payment is received late. This interest rate increase could be substantial if you carry a balance on your credit card.

4. Could you give me a better interest rate?

Find out if the credit card company will give you a better interest rate than the initial rate quoted. Let them know you’ve been shopping around and will consider going with the company that provides you with the lowest interest rate.

5. Will I be charged more interest if I don’t use my credit card?

If you only want to use your credit card for emergencies or certain types of purchases and don’t intend on using your card often, you’ll need the answer to this question. Some credit card companies may increase your interest rate, charge you a fee or cancel your credit card if you don’t use their card very often or at all! If this is the case, you don’t need this credit card.

Do your research before you apply for that credit card and make sure that this card is beneficial to you! If it isn’t, then you don’t need to apply for that particular credit card. Remember there’s lots of competition from prospective credit card companies for your business, make them earn it!

Nocita Carter is a writer and web designer that creates websites providing informative tips on various subject matter including personal finance tips on your personal finances at http://www.personal-finance-tips-for-you.com ; dating tips at http://www.mydating-tips.com and your choice of ebooks at http://www.ebook-corner-for-you.com.

Share This

When it comes to using balance transfer credit cards, many consumers are filled with questions and concerns. While there are many benefits to using a balance transfer credit card, it is always best to have these questions answered and the concerns satisfied before moving forward with applying for one of these cards.

How Can Balance Transfer Credit Cards Save Me Money?

Balance transfer credit cards can save you money by reducing the amount of finance charges you pay every year. If you transfer even a small amount of money, such a $1,000, from a card with a higher APR to one with a lower APR, you will see a difference. For example, if you have a credit card with a 20% APR, you will pay $200 per year to maintain that $1,000 balance. On the other hand, you will pay only $80 on that same balance if you have a credit card with an 8% APR. That is a savings of $120! Imagine how much you will save on larger balances.

Even better, the best balance transfer credit cards offer 0.00% introductory APRs, which means you will pay no finance charges while that introductory period is active. With some balance transfer credit cards, this special rate remains in place until the entire amount you transferred is paid off.

What is an “Introductory Rate?”

An introductory rate is a special APR that lasts for a limited time. Often, the length of time this rate is in place is determined by your credit history. The introductory rate can be in place for as long as one year, though more common durations are six months, three months, and one month.

What is a “Fixed Rate?”

A fixed rate is a rate that does not change. Balance transfer credit cards with a low fixed rate may not offer a 0.00% introductory APR, but they might offer a 7.99% APR that remains this low no matter how long it takes you to pay off your balance, rather than skyrocketing up to 19.99% after the introductory period is over.

Why Does Everyone Say Balance Transfer Credit Cards are More Convenient?

Many people feel balance transfer credit cards are more convenient because it places all of your debt in one place. This makes it easier to track your expenses, to create a budget, and to get your bills paid on time.

Is it OK to Pay Only the Minimum Payment on My Balance Transfer Credit Card?

From a legal standpoint, all you are required to pay on your balance transfer credit card is the minimum payment. From a financial standpoint, however, this is a bad habit to get into. If you pay only the minimum payment, it can take you decades to pay off your debt - and that assumes you are not adding any more debt to your balance. So, if you want to get out of debt (and who doesn’t?), it is best to pay off more than your minimum payment. Set up a budget that allows for regular payments above your minimum payment to be sent to the credit card company - and stick to it.

Will a Balance Transfer Credit Card Get Me Out of Debt?

Yes and no. If used alone, a balance transfer credit card will not get you out of debt. If you transfer all of your credit card balances to your balance transfer credit card and pay only the minimum payment, it can still take you years to pay off the debt. Therefore, a balance transfer credit card should be viewed as one tool in you tool belt for helping you work your way out of debt. If used correctly and to its fullest advantage, it can help you get out - and stay out - of debt.

For more on the benefits of balance transfer credit cards, Robert Alan recommends that you visit CreditCardAssist.com

Share This