Tips for Students to Build Credit

Tips for Students to Build Credit

Author: Mary Wallace

Creating good credit and getting student credit cards is new territory for college students. Your future is starting now and you probably haven’t given much thought to building your credit. Getting off on the right foot is crucial for your financial future. Making the wrong moves can haunt you for years and you should be aware of the risks and rewards when it comes to your credit score.

Your credit score tells lenders if you are a low-risk person who manages their money and credit well, or if you are careless and reckless with your finances. If your credit is good, you’ll enjoy low interest rates on loans and credit cards, lower minimum payments than your peers and more lending options will be available to you. This can be very important when it comes to making major purchases such as vehicles or buying your first home. Making bad choices and careless uninformed decisions can lead to a life of high interest, high payments and simply not qualifying for that car or house that you need. The worse your credit gets, the more you pay for everything that needs financing. Trending in this direction can lead you on a downward spiral of out of control debt.

You may not know exactly where to start to ensure that you get the best deal and establish the best score possible. You are probably starting out with no credit score at all and applying for loans and credit cards can be disappointing when you are rejected again and again. Make wise choices. Don’t get a credit card just to go shopping or on a trip with your friends. Make sure that you really do have a necessity and don’t overcharge any more than you need.

When choosing a card, you may have some luck going through your bank or credit union, but there are companies that have special previsions for students. It is generally best to avoid companies that be preying on the fact that you seem naïve about credit cards. Beware of representatives that offer free t-shirts or any other types of prizes for filling out an application. That freebie could end up costing you hundreds or thousands of dollars in fees and interest in the long run. Look for good introductory rates that don’t balloon into something horrible after the promotion runs out. Compare interest rates, fees and terms of many cards before making a decision.

You may need to start out with a secured credit card. These are credit cards that require you to put money up front, use the card and prove that you are responsible enough to make payments on-time. Making on-time payments is one of the best pieces of advice you can get. Interest rates can fluctuate very quickly when a payment is missed. Fees are usually extremely high and you can get yourself into a bind that you can’t afford to get out of. Always pay more than the minimum required and pay off balances as quickly as possible. Show your responsibility to your credit card company and your credit score will reflect your diligence. Once you establish your good credit score, it will pay off for years to come.

Article Source: http://www.articlesbase.com/credit-articles/
tips-for-students-to-build-credit-244783.html

About the Author:

About the Author: Mary Wallace, a retired teacher, is the editor for studentcreditcards.com, a provider of student credit cards and information plus consolidation of student credit cards. For more information, please visit http://www.studentcreditcards.com.

TAG: Student Credit Cards,build Credit,college,student Finances,starting Credit,credit Score,first Credit Card

10 Things you Can Do to Help you Become Debt Free

10 Things you Can Do to Help you Become Debt Free

Author: Preston Hill

Debt relief is a serious problem for most Americans. We live in a society where everyone wants the coolest gadgets, a nice car and a nicer house. There’s nothing wrong with that. Unfortunately, the good life that you’ve worked so hard to achieve is not free, nor does it come cheap.

If you earn any sort of a decent salary, then chances are you’ve got student loans to pay off. Education is probably one of the most expensive debts that most people will ever have. The cost of your first car is more often than not, considerably less expensive than your student loans.

So, you’ve got debt. Nearly everyone has debt, but that doesn’t make it any easier to live with. And, if your debts are starting to exceed your income, then you’ve got a real problem that can keep you up nights on end without sleep.

You need to do something about it. And you need to do something about it right now. Today!

Have no fear, you and I are of a similar kind. We know that the best way to live a good life is to have more money. But what is not obvious, is that we also need to spend less.

Really, it’s not the little stuff that knocks your budget out of whack. Time and time again, I’ve heard of people trying to budget by cutting back on a café latte’. That latte’ at $5 a whack, twice per day is $3, 650.00 per year. That may seem like a lot, but not so much as compared to new $20,000 car.

Which one is going to hurt you the most? The latte’ or the car at 9% interest. After 4 years, the car is going to cost you an additional $4,000 in interest or $24,000.

My point is, that no matter how much the gurus bombard you with the idea that you need to cut every corner, stop buying bottled water, eat peanut butter sandwiches and stop eating out. The effect is negligible compared to making the big purchases, such as cars, houses and taking education loans. You can save getting a better rate on auto or mortage loans. Also, if you have kids in college, before you take that student loan, seek scholarships first.

So what can you do?

1. Check your credit rating first to make sure that there are no errors on your report. Everyone in the USA is entitled to one annual free credit report. Also, if you are turned down for a credit card, you can get a free report. http://www.ftc.gov/freereports

2. Get all your expenses into an excel spreadsheet and add them all up. First add up the monthly payments, then on a separate sheet, add up the total amounts of each debt. How much is required to pay them all off?

3. Gather up all your credit cards are start calling the banks to see if you can get a reduction in interest rates. Sometimes simply asking will help. You never know until you ask.

4. Create a list of just your credit cards and loans. Make a decision to pay off either the largest balance or the highest interest rate. We start with the credit cards because they typically have the higher rates.

5. Pick one card or loan payment at a time to attack. You can make minimum payments on the other cards that you did not select to payoff. Yes, interest will accrue on the others, but you have a plan. You will double your payment on the one loan that you have selected to payoff early. For credit cards, take all the money saved from paying the minimums on the other accounts and put that money on the one you want to attack. This may seem radical but it works! This is an extremely powerful method for reducing debt.

If you decide to tackle your mortgage, then you must be aware that some mortgage companies require that you fill in the payment blank explicitly telling them how much extra goes to the principle. If you do not answer this question, they may put the extra money into an escrow account which gains no interest and is not applied to reducing the mortgage debt.

6. Stop making unnecessary credit card charges. Don’t pay for groceries or McDonalds using credit cards. Use cash for McDonalds and debit cards for groceries. You can have that latte’, but you should use cash to pay for it.

7. Take all the cards but two, one for yourself, and one for your spouse and put them in a box. Don’t cut them up or close the accounts, as some people are saying. The reason being is that your credit score reflects your “total available credit.” So, if you start closing accounts, you reduce your available credit, which hurts your credit score. We are trying to help your score, not hurt it.

8. Transfer balances for higher rate cards to lower rates. If you receive an offer for 0% for six months and you’ve got a card at 20%, then make the transfer. However, be careful to find out what is the normal rate for the 0% card. The normal rate needs to be lower than the higher rate card or you may find yourself stuck in a worse situation. 9% is a decent normal rate. Do your homework.

9. Become a bargain hunter. Don’t settle for paying retail prices. The internet is a great place to find bargains. Also, the Sunday paper can help you with coupons and other great deals. Don’t ever walk onto a car dealership without first visiting their website and viewing their clearance vehicles. Go the kbb.com and find out what your trade-in is worth before you start negotiation. Don’t let the big purchases bite you.

10. Do not borrow against the equity in your home. There are lot’s of great deals out there. Maybe you’re thinking about a new kitchen or a swimming pool. Don’t do it. When you decide to sell your home, your going to take one in the shorts. You’ll never get that money back when you sell your home. Brokers are typically going to charge you about 6% to sell your home, on a $200,000 home, that’s $12,000. That comes straight out of your pocket. Real estate values all across the country are on the decline. There are too many new houses on the market and the market is in constant change. Even though the interest on home equity loans is tax deductible, don’t borrow against your home for any reason. You need to maintain your equity.

Try these tips before going to a debt counselor. Most debt services will reduce the amount of your loans but at a terrible cost to your credit rating. Generally, it takes about 7 years to remove bad credit from your report. It takes 10 years to remove a bankruptcy. Most agencies provide very little in the way of actual debt counseling. What they provide is debt relief by negotiating with the same credit card companies who pay them. Becoming debt free is not easy, but if you will follow these tips, and pick one credit card or loan to attack at a time, you can truly become debt free in three to five years. Good luck and best wishes.

Article Source: http://www.articlesbase.com/credit-articles/
10-things-you-can-do-to-help-you-become-debt-free-244771.html

About the Author:

Preston is a prolific writer on the subject of personal finance.

Click Here For more information on how you can improve your credit and become debt free.

This article may be distributed freely as long as this resource box remains attached.

TAG: Debt Free, Bad Debt, Bad Credit, Credit Help, How to Become Debt Free

Low Interest Credit Card - the Pros and Cons of Owning a Low Intrest Credit Card

Low Interest Credit Card - the Pros and Cons of Owning a Low Intrest Credit Card

Author: Rakesh Nair

Are low interest credit card offers really low?
Yes, all major banks have a few credit cards for people in the prime credit market. These credit cards come with very low to 0% APR. Typically they offer somewhere between 5% APR to 0 % APR for an introductory period. The introductory period ranges from three months to a year. After the introductory period, the interest rate jumps to the current prime rate. You can benefit from a low interest offer by paying a low interest rate for the entire introductory period and save on money. For people using 0% APR credit cards, the credit extended is completely free and you can split a large purchase over a few months without paying any interest fees.

How do you use a low interest credit card?
Low interest credit cards typically come with high balance transfer rates and fees or interest rates higher than the prime rate after the introductory period. Cash withdrawals may also have higher fees. In short, you have to read the terms and conditions pretty carefully. Check for all the fees and future interest rates before signing up. To make the best use of a low interest credit card, you should make large purchases using it and pay off the balance during the introductory period. Yes, you might end up paying a small interest rate but it would be better than taking a store credit for a high interest rate. If you have a 0% INTEREST offer, then you paying nothing for the entire introductory period. Using your low interest credit card smartly during the introductory period can definitely help you to save some money on your large purchases.

0% APR balance transfer rates for low interest credit cards!
Another offer that pretty popular is the 0% APR balance transfer rates. Typically they are standalone offers but occasionally you will find them tagged along with the low interest credit cards. In such cases, you can use move existing high interest balances from other credit cards to the low interest credit card with 0% balance transfer rates and save on balance transfer rates. This will help you pay off your debt quickly and also help you save some money. There has to be a catch to a sweet deal like this, its the high balance transfer fees and high interest rates after the introductory period. Please check these fees and rates to confirm if it would be financially viable to move your debt from other cards on to a low interest credit card with 0% balance transfer rates.

What are the conditions to maintain low interest?
Though the introductory rate might extend for a period of 3 months to a year, the interest rate could be hiked up to a rate much higher than the prime rate during this period. This is typically done if you miss out on any monthly payment or if you exceed your credit limit. To use the benefits of the low interest credit card to the maximum, don’t let any of the above situations occur.

Pros and Cons for switching credit cards?
To take advantage of the low interest credit cards many people switch credit cards rolling over their balances to the new ones in order to keep their interest rates low. This will definitely save you some money and work in your benefit. However switching credit cards might be a long process and frequent switching might reflect badly on your credit report. Typically you should keep some long standing accounts with prime or low interest rates after the introductory period while you switch other credit cards.

Article Source: http://www.articlesbase.com/credit-articles/
low-interest-credit-card-the-pros-and-cons-of-owning-a-low-intrest-credit-card-243763.html

About the Author:

Rakesh Nair is an financial expert working in the finance industry for many years. He writes artciles for various topics related to the finance industry. His articles for credit card offers like low interest credit cards are published on many reputed sites.

TAG: Low Interest Credit Card, Low Apr Credit Card, Low Interest Credit Card Offers, Low Apr Credit Card Offers, Online Low Interest Credit Cards

4 Ways to Protect your Credit Card Information

4 Ways to Protect your Credit Card Information

Author: Brian Williams

4 Ways To Protect Your Credit Card Information
The credit card bill comes in the mail. You know what the charges are and what you plan to pay. Then, you open it and a nauseating feeling comes over you.

$2,120?

A 46-inch plasma television?

Scanning your living room, you can't spot any high-dollar, big-screen TV and you don't understand why it is listed on your credit card statement. This sick feeling is shared by many victims of identity theft.

Credit cards are a major source of identity theft. It is common for a thief to steal somebody's wallet or purse and begin charging up the pilfered debt cards. However, with the advent of the Internet marketplace, all a thief needs are those 16 numbers on the front of your plastic card to put you in deep credit card debt.

Safeguarding your credit card information is crucial to your financial stability. Here are ways to keep those important digits on your credit cards out of an identity thief's grubby hands.

Shred Credit Card Receipts and Statements

Don’t leave any paper documentation with your credit card number around for long. After you have inspected receipts and statements, shred them. Whatever you do, don't put them in the trash unshredded or leave them in your car. Thieves glean credit information easily during car thefts and by rummaging through people's garbage.

Avoid Online Scams

Be very wary about giving your credit card number or Social Security number for online purchases. Shopping over the Internet offers convenience and peril. Some retailers pretend to be legitimate but just set up a Web site to get your financial information. Some of these unscrupulous operators use a mechanism known as phishing by sending out an e-mail asking you to update personal information. They then use the information to steal from you. Research any unfamiliar online outlets that request your information. You can also get virus protection software to weed out unwanted e-mails that may lead you to identity theft.

Look Over Your Shoulder
When giving out financial information or swiping your credit card at a retailer or ATM, make sure no one is eavesdropping. Sometimes you have to input your credit card number and personal identification number on a purchase at an offline retailer. Someone nearby can easily jot down the information without you knowing.

Watch Out For Missing Credit Card Statement

If you don't receive your credit card bill when it usually shows up, contact your credit card issuer immediately. Someone may have changed the billing address to divert your mail to get your information. A thief may have even swiped it from your mailbox. It is safer to receive and send your credit card bills through a U.S. Post Office box.

Article Source: http://www.articlesbase.com/credit-articles/
4-ways-to-protect-your-credit-card-information-242886.html

About the Author:

Author bio: Brian Williams, a graduate of the University of Texas at Arlington, has 11 years’ experience writing and editing at daily newspapers in Texas. Learn more about Credit Solutions. Credit Solutions is your alternative to debt consolidation.

Fair Debt Collection Practices

Fair Debt Collection Practices

Author: Bob Guy

If you have debt and you’re living paycheck to paycheck, then you need to be aware of what could happen if you lose your job. When you miss a payment on a credit card or loan, then the companies you owe will start the debt collection process. Let’s say that you can’t pay. You’ve lost your job and there is simply no way that you can make your payment anytime soon. Even if you still have your job, the collection calls can start to pour in at home and at work.. If you’ve had it with harassing phone calls, then read on to learn about your rights and the correct way to handle debt collection calls.

First of all, you should make every effort to pay as much as possible, as often as possible. If you make even a minimal payment, it can help stop the collection efforts from disrupting your life or embarrassing you at your place of employment. Keep in mind that debt collectors do have a right to call you and try to collect their payments. If the process seems excessive, then you may be interested in the laws set to protect you from harassment from debt collectors. The Fair Debt Collection Practices Act outlines your rights.

The Fair Debt Collection Practices Act states that you have the right to request that you only be contacted by mail for debt collection efforts. You may only need to verbally request not to be called at home or work anymore, but your best bet is to send a certified letter outlining your request. The Fair Debt Collection Practices Act does not apply to your regular credit card companies. It only applies to actual debt collection agencies or attorneys attempting to recover funds from you.

Usually the credit card company itself will only attempt to collect from you a few times before turning your account over to their attorney or to a debt collection agency. If your credit card company is harassing, then the Fair Debt Collection Practices Act won’t help you. But, you can quote your state law when asking them to stop calling and only write instead. Most states require that credit card companies stop collection calls once they are notified in writing, usually by certified letter, and utilizing this law can help you stop collection calls.

Even after you send a certified letter asking to only be contacted by mail, credit card companies, attorneys and debt collectors are still allowed to call you under certain circumstances. If the status of your account changes, then they are allowed to call and inform you. Debt collection agencies can phone to tell you that they are turning over your account to an attorney. Attorneys and/or debt collection agencies can call to let you know if they are suing you for the debt that you owe.

Try to work with the companies that are attempting to collect from you. If you take all of the appropriate steps and the harassing calls do not stop, then you may have the legal right to sue them for damages.

Article Source: http://www.articlesbase.com/credit-articles/
fair-debt-collection-practices-242059.html

About the Author:

About the Author: Bob is an Online Marketing Strategist of paydayone.com, a company that can provide a payday loan or a cash advance to individuals. For more information, please visit www.paydayone.com.

If you Want to be Debt Free – Here are 3 Guaranteed Ways to Eliminate Debt

If you Want to be Debt Free – Here are 3 Guaranteed Ways to Eliminate Debt

Author: Dewey Kearney

It can take minutes to build up, but years to eliminate debt. We all buy things on credit or take loans out to get instant money. And the truth is, the credit card companies encourage us to build up debt. Increasing credit balances, encouraging us with special interest rates for balance transfers, then jacking up the interest rates a short time later. Soon we’re over our heads wondering how to eliminate our debt.

The most important thing we all have to do to eliminate debt is stop getting into more debt. If you cut up your credit cards and stopped using credit after a while you will eliminate all your debt. Sounds easier than it is, we know. But stop and think. If you set yourself a budget, living on cash only (you did it when you were a teenager, you can do it now), and determined to eliminate your debt as quick as possible, you can do it!

There are lots of clever ways to eliminate debt quicker and help you to become debt free. But before you start make a list of all the debt you have. This is everything that you pay to a creditor and includes any loans, credit cards, financed items such as the finance on your car or furniture and also the big one, your mortgage.

You Should Know:

1. The total amount of the debt (for instance, how much do you still owe on your car, or what’s the total balance on your credit card, not just the minimum payment due)

2. What you pay every month (and be honest)

3. How many months you have left to pay (24 car payments, 30 years on your mortgage?)

4. The interest rate you are being charged (especially on your credit cards)

If you add the amount of debt (number 1 above) you have left on each one of your debts then this is how much you owe to creditors. If you then add up all the monthly payments (number 3 above) this is what you have to pay every month. Once you have worked this out then you are in a good position to start working out the fastest and cheapest way to eliminate your debt.

· The Interest Pay Off – Targeting Number Four On The List

To eliminate debt this way simply take the credit card or loan that charges you the highest rate of interest, then pay this off earlier it will save you the most amount of money in the long run. Once it is paid off, move to the next creditor with the biggest interest rate. Take the amount you were paying to the creditor you just paid off and add it to what you pay the next highest creditor. Because mortgages usually have the lowest interest rate out of all credit, and is secured debt you should leave this until last on your list.

It might seem ridiculous that this can eliminate debt but it works better than you think and actually can save you a lot of money in interest!

· The Minimum Loan Pay Off – Targeting Number One On The List

Take a look at all your loans and start paying extra on the smallest loan then this will be paid off the fastest. Once you pay this off, take the amount you were paying on that loan and use it towards paying off the next smallest loan. Many people like to use this method to eliminate debt because you can achieve a series of small goals, which encourages you to keep going.

Eventually you will end up with only your mortgage left which – if you take all the money you were paying on your other loans and put it towards your mortgage you can pay off a lot sooner too.

· The Biggest Payment Pay Off – Targeting Number 3 On The List

This method of debt elimination works best for small loans with fixed payments or credit cards with low balances (like store credit cards). The goal here is to reduce the amount of time and money to pay off the loan. Simply target the largest payment you have to make every month and put as much extra towards it as you can, while paying the minimum on the other debts. You can also target the loan that has the least number of months left.

Clearing the loan that takes the highest payment every month has the biggest effect on your bank balance every month. Clearing the loan that has the least number of monthly payments left has the fastest effect on your monthly bank balance.

Once you have paid off the loan use the money you were giving to that creditor to pay the other loans off faster. Trying to eliminate debt this way is one of the bigger challenges so don’t do it unless you already know you can make a plan and stick with it.

Of course, if you have too many credit cards and your budget is already stretched to the max every month you might want to seriously consider a credit counselor to help eliminate debt.

Credit counselors will consolidate all your credit card debt into one monthly payment and work with the creditors to lower your interest rates. You will eliminate your debt in three years and be back on track with your credit.

For more information on credit counseling and to see if it might work for you go to our website: http://www.1-800BadCredit.com

Article Source: http://www.articlesbase.com/credit-articles/
if-you-want-to-be-debt-free-here-are-3-guaranteed-ways-to-eliminate-debt-241126.html

About the Author:

http://www.1-800BadCredit.com provides up-to-date information for people
with bad credit. Providing auto loans, mortgages and refinance options,
credit cards, credit counseling, personal loans, identity theft
protection and advice & tips on saving, budgeting and getting out of
debt. Founded by Dewey & Leslie Kearney who understand bad credit
because they've been there too!
Site dedicated to helping you find credit solutions

An Easy To-do Credit Repair All by Oneself

An Easy To-do Credit Repair All by Oneself

Author: James Arther

Credit repair is a means that helps one to improve their credit report, get lower interest rates on loans and improve the overall credit status. There are a lot of service providers that offer services to fix credit problems and prepare effective credit repair programs. There are professional consultants who look in to the matter and repair the credit score for a nominal fee.

Some individuals are not very comfortable with sharing their financial information with other. For them, many websites offer tips and step by step guidance to prepare a credit report and a credit score all by themselves!

An easy five step credit repair system can easily be done by oneself. The first step towards a credit repair is to prepare the credit reports. A credit report prepared is half the work done. The next step is to carefully examine the credit reports and verify it with the creditors. It is important to find errors and inaccurate information in the reports; if any.

After careful examination of the reports and understanding of the same, one should identify with the pattern of payment. Consistent on-time bill payments can improve on certain mistakes. It is very necessary to have a good credit report to have a through credit repair. One should prepare the necessary documents that need to be submitted to the credit bureaus who prepared the credit report. The mistakes and the inaccuracies should be forwarded to the credit bureaus so that they know of the problems present in the credit report. One should keep a copy of all the letters, documents and forms that are being sent to the credit bureau. Communication with ones creditors is also very necessary to rectify and solve certain mistakes. After this, one should devise a spending plan that reduces the debt and sets a pattern to pay up at regular intervals. If one is facing difficulties to make payments, it is advisable to negotiate with ones creditors and plan out new bill payment scheme. Even though this will help only in the short run, one can save ones credit rating.

Article Source: http://www.articlesbase.com/credit-articles/
an-easy-todo-credit-repair-all-by-oneself-241335.html

About the Author:

Debtips is a resourceful channel to make you finance literate and helps you in managing your personal finances. Credit, is the provision of resources by one party to another party. A Credit Report generates financial information about the individual and helps in Credit Repair.

Credit Cards Leading Cause of Stress, Wrinkles

Credit Cards Leading Cause of Stress, Wrinkles

Author: Janet Martin

Thinking of getting a credit card? Before you do, think twice. Doing so can lead to financial problems, a major cause of stress that, in turn, causes wrinkles!

According to American stress researchers Drs. T. H. Holmes and Richard Rahe, financial problems and credit difficulties are a common source of stress. Credit-card debt has also been implicated as one of the leading causes of divorce.

Ironically, many people get a credit card because they think it is convenient and will help make their lives easier. That’s true if you don’t overspend and pay your debts on time.

But if you go beyond your credit limit and pay only a little amount of your outstanding balance every month – which is what banks and other credit outfits want you to do – you’ll be starting a vicious cycle that could keep you in debt forever.

“Remember that a bad credit record will dog you for years. Nothing can screw up your life faster than going overboard with your credit cards. Your card payment record will shadow you in everything you do, including buying a home (or renting), getting a job, and opening a checking account,” said financial journalists Robert K. Heady and Christy Heady in “The Complete Idiot's Guide to Managing Your Money.”

To avoid stress, the wrinkles it brings, and break free from the credit card trap, here are some practical tips from Dermaxin, a powerful wrinkle-fighter that will keep your skin young, soft, and vibrant. For details, go to http://www.dermaxin.com.

Know your credit limit based on your income, amount of current debt, and credit history. A rule of thumb is that your total monthly debt should not exceed 38 percent of your monthly income.

Carry only the number of cards you need, even though you haven’t used up your credit line.

Don’t apply for more than one card at a time.

Pay against your balance ASAP. Don’t let bills hang around. Every day you wait is going to cost you more in interest.

If you can’t make your payments on time, or if you want to dispute a charge, contact your card issuer immediately – and put everything in writing.

Article Source: http://www.articlesbase.com/credit-articles/
credit-cards-leading-cause-of-stress-wrinkles-233861.html

About the Author:

Janet Martin is an avid health and fitness enthusiast and published author. Many of her insightful articles can be found at the premiere online news magazine http://www.thearticleinsiders.com./

Find Out How Knowledgeable you are About Credit & Personal Finances

Find Out How Knowledgeable you are About Credit & Personal Finances

Author: Dewey Kearney

A national research company recently completed a survey with 1,005 men and women nationwide to gauge their knowledge of the basics of personal finance, budgeting and principles of credit, and test their knowledge of identity theft and finance responsibilities. Their findings may surprise you.

How Knowledgeable Do Americans Consider Themselves On Personal Finance?

· 65% of Americans think they are very or highly knowledgeable about personal finances.
· Do Americans understand credit scores and the impact they have on their lives?

1. 66.7% didn’t know
2. 31.7% responded incorrectly
3. 35% when asked to define a good credit score replied 700 (it’s actually 740 and above)
4. 54% responded incorrectly that age is a factor in determining credit scores (it’s not – I sold a $40,000 vehicle to a 23 year old kid with a 740 FICO once)

Are Most Americans Doing Everything Possible To Protect Themselves From Credit Fraud? And Do They Know Enough To Protect Themselves?

· Not surprisingly 52% do not check their credit report regularly
· 23% (almost 1/4) say they have never checked their credit report
· 35% say they check their credit report once a year
· 76% (the majority) are misinformed about liability for purchases if their credit card is lost or stolen
· And finally – look at this – 47% of those polled say they didn’t believe they were responsible for any of the charges (oh, yes they are!)

Is There Any Difference Between The Older Generation And The Younger In Managing Personal Finances?

· Older Americans (70+ years) are not checking their credit reports, which makes them extremely vulnerable to credit fraud and identity theft
· 46% of Americans age 70+ have never received their credit report
· 50% of Americans in their 30’s check their credit report every year
· Young Americans are budgeting more – 80% of the 18-19 year olds use a budget while only 46% of those polled 70+ do

What Percentage Of Americans Report That They Use Budgets To Manage Their Finances?

· 64% of those polled regularly use a budget
· 29% report that they change or modify their budgets sometimes weekly
· Compared to 32% who maintain the same budget to keep track of spending
· More than 36% of Americans polled say they do not use a budget to manage their family expenses

Bottom line – people are all over the map when it comes to understanding the importance of credit scores and credit protection!

For more information on how credit works MyFico.com has a great informational site.

Article Source: http://www.articlesbase.com/credit-articles/
find-out-how-knowledgeable-you-are-about-credit-personal-finances-232966.html

About the Author:

Survey Methodology: Sampling was completed 2006 using a random digit dialing method covering all 50 states. Reference: Source Braun Research
http://www.1-800BadCredit.com provides up-to-date information for people
with bad credit. Providing auto loans, mortgages and refinance options,
credit cards, credit counseling, personal loans, identity theft
protection and advice & tips on saving, budgeting and getting out of
debt. Founded by Dewey & Leslie Kearney who understand bad credit
because they've been there too!

Site dedicated to helping you find credit solutions

Be Careful What you Throw Away

Be Careful What you Throw Away

Author: Dewey Kearney

Everyone at one time or another has either joked about or heard a joke about “Dumpster Diving.” Usually it refers to someone scavenging for food or behind a store to see what they have thrown out. And everyone has heard of someone finding something of real value in the trash. Personally I’ve seen someone on the Antique Road Show showing off a painting they found this way, only to be told it’s worth some extraordinary amount of money.
This article is not about that kind of buried treasure but another kind that most people have been guilty of throwing out; the most personal things that contain information about you – that in the wrong hands can cause you an awful headache, otherwise known as Identity Theft.

Identity theft is the fastest growing crime wave in the United States according to the FBI and the US Postal Service. The US Postal Service says on their site that identity theft from stealing mail from your mailbox is not a big problem but it does happen. So if you have something to mail that contains your SS number or a credit card bill that has your number on it, they recommend that you take it to the Post Office and put it in a secure box.
Following is a list of items that should NEVER be thrown away! Instead shred them, or better yet – if your office is like the one I work in, there should be a trash bin dedicated to sensitive material that is taken away and shredded each month – take your sensitive items there and throw them away.

Monthly Credit Card Statements
You are probably thinking, why would anyone go through someone’s stinky garbage? It’s what they find if they go through enough garbage that keeps them coming back. If they find your personal information that is legible enough to read, that’s reason enough. If they get lucky enough to find your credit card statement that will give them enough information to re-invent you for their own usage or sell it to someone else.
One credit card statement is worth more than gold. With this information they can buy anything they desire. And best of all, they will never have to pay for it. In most states, you are not responsible for fraudulent charges to your card provided you report it immediately when you receive your receipt.

Before you discard your statements here some tips to protect your credit from thieves.
· When you write your checks for payment to the CC company don’t write the full account number on the memo line of your check. Only put the last 4 digits, that’s all that is required, the company knows the rest of the numbers. It’s just a precautionary move on your part.
· Destroy your cancelled check when it is returned from the bank. Most banks don’t return cancelled checks anymore, there was a time they did and if you bank with one of those who still do its best to shred them as a precaution. This will prevent anyone from knowing your bank account number.

Monthly Checking Account Statements
The account information on your monthly statement can be used to print counterfeit checks to drain your account. Identity theft is so common that a smart thief can make an identity card with your name and address and their picture and use that to open a bank account and write bad checks on the account. Because your name is the one on the check it will appear that you are the one writing the check. You may not find out about it until you try to write a check at the grocery store and are told that they won’t accept your check.
Stores use a check-guarantee company to get reports on checks that a bank sends back stamped NSF. This service helps merchants identify customers who are passing bad checks and minimize their losses.
The check-guarantee companies also protect the customer. When you notify the bank of stolen checks they alert retailers for you.

Utility Bills
One of the things a “dumpster diving thief” will look for is the bottom portion of your utility bills that says “Retain for your records”. This part of the bill will have your name, address and account number. Utility bills, telephone water, garbage and electric bills are used as proof of an address when opening a bank account. The identity thief can put all these to good use. Be sure to shred them before discarding them.

Cell Phone Bills
A cell phone bill can be used the same way as a utility bill for opening a bank account. The bottom portion has your name and address plus your cell phone number. Most people discard these after paying the amount owed but should shred them. In the wrong hands they can cause a lot of headaches.

Remember: If you don’t shred, it isn’t dead! If you are careful not to leave anything lying around you can’t be hurt. Everybody is vulnerable.

Article Source: http://www.articlesbase.com/credit-articles/
be-careful-what-you-throw-away-232870.html

About the Author:

Reference: Preventing Identity Theft For Dummies
http://www.1-800BadCredit.com provides up-to-date information for people
with bad credit. Providing auto loans, mortgages and refinance options,
credit cards, credit counseling, personal loans, identity theft
protection and advice & tips on saving, budgeting and getting out of
debt. Founded by Dewey & Leslie Kearney who understand bad credit
because they've been there too!
Site dedicated to helping you find credit solutions

7 Ways to Use the Rewards Credit Cards Effectively

7 Ways to Use the Rewards Credit Cards Effectively

Author: David R Snell

Want to know the seven tips for using Rewards Credit Cards?

Here you get answers to all your questions. Learn the seven helpful tips for using the Rewards Credit cards which helps consumers to analyze how effectively they can use the credit cards.

Features of Rewards credit card that makes consumers to be smart about:

1. The time to make your monthly payment is on the short side, a 20 day "grace period" -- we feel that 25 days would have been much more gracious. To avoid a late fee of up to $39, pay your credit card bill promptly.

2. Two household members can apply for two accounts separately. This lets a two-car family get rebate for the mileage on both cars. Some people wait a year before getting the second card, in order to get another 6% rebate period.

3. Each Driver's Edge card account has a $1,000 rebate cap for any 12 month period. If you find yourself earning more rebates, consider getting another rebate card.

4. Citi reserves the right to terminate your card or change the terms of the card agreement, but they must give you 30 days notice so you'll at least have the chance to convert your rebate points into gift cards. Citi is fairer than most credit card companies, recently announcing that none if it's cards would have a "universal default" clause that penalizes you for being late on any of your payments.

5. Remember that you won't receive a rebate for anything you buy at a warehouse club or department store, even if you buy food there. You'll receive a full rebate at a supermarket, which the Citi card company defines as a "stand-alone merchant that primarily sells a complete line of food merchandise for home consumption". Note that you'll receive a rebate for anything you buy at a drugstore or supermarket, even if it's not drugs or food that you're buying there.

6. If you transfer a balance from another card to your Driver's Edge card, you'll pay zero interest for 12 months. However, as you purchase more items, you'll find that all your monthly payments are going towards the balance transfer. You won't start paying down your purchases until you've paid off your transferred balance. The interest you'll pay on those purchases is a variable rate that usually hovers between 12% and 15%. So if you want a zero percent interest rate, you're really better off getting some other zero-percent card that you'll use only for a balance transfer, not purchases.

7. Avoid these pitfalls: (1) you must use your rebate points within five years or they'll expire; (2) if there's no transaction on your card for 12 months, your points expire; and (3) your "drive rebate" (your rebate for the miles you've driven) must not exceed your rebate for the purchases you made with your Driver's Edge card. For example if your drive rebate is $100 and you have $50 worth of rebate points from purchases, your drive rebate is lowered to $50.

Article Source: http://www.articlesbase.com/credit-articles/
7-ways-to-use-the-rewards-credit-cards-effectively-232392.html

About the Author:

David R. Snell is the founder of the Consumer Freedom Alliance (CFA) and webmaster of its flagship site, SmartConsumerTips.com. He offers excellent advices and great tips regarding all aspects of Rewards Credit Cards. While you are there, DO NOT forget to grab your own copy of "The World's 8 Best Consumer Tips" and save hundred hours of research.