DontSpendMore.com Blog

Category: Credit Cards

  • Have You Applied For Your Gas Cash Card Yet?

    Many of the major outlets that retail gas are now offering a variety of discounts, rewards, and benefits to users of the new breed called gas cash card. A gas cash card can belong to either one of the two varieties.

    The first one is limited to just the specific gas retailer who provides the consumer with the gas card. The second variety is one that is provided by a specific credit card company and bears a logo. This works well with any gas retail outlet that accepts this company’s gas cash card.

    Gas cash card provided by retailers

    This type of card works only with the retailer that issued the card to you and maybe at other branches of the outlets that belong to the same chain. This card works like a normal credit card, but the only difference is that the area of usage is “limited”. Just like the normal credit cards, you will receive a monthly bill for any and all purchases that you conducted at the gas station.

    Just because it is a gas cash card, do not think that you can very well delay the payments and pay them as you wish. All delayed payments incur a late fee and you do not want any fines levied on you, do you?

    Cash withdrawal with gas cash card

    Nowadays it has become the norm to extend the facilities available of any credit card to cover more and more features. This is precisely the reason why some of these gas retailers issue gas cards that can also be used to withdraw cash. Such a dual benefit gas cash card comes armed with a PIN number which can be used as a PIN for the ATM to withdraw cash. But again don’t forget that these cards do not carry any logo, so it may not work at all ATMs. You might be provided a list of ATMs that accept these gas cards.

    Recently, you can find some cards that do offer the ability to work like traditional cards as well. The world is merging indeed and the financial industry is no exception.

    Gas cash card offered by credit card companies

    This type of gas card is better because of the obvious flexibility. You do not have to limit the usage of the card to specific gas stations or ATMs. Wherever you see a logo of the payment processing gateway mentioned on your gas card, you can freely use it to fund your purchase or even withdraw cash.

    Better convenience with gas cash card

    In general it becomes very convenient for consumers to use a gas cash credit card. These cards are a lot easier to get issued when compared to the regular credit cards. But just like the regular credit cards, there are a lot of other charges involved in using them like annual account fees, maintenance charges, and others.

    Next time, before reaching out for your wallet to pay the gas retailer in cash arm yourself with a gas cash card. It will not only take the hassle out of your gas station purchases but also help you when you need to withdraw cash on the go.

  • What Is The Best Credit Cards Application Method?

    There are only two known modes of credit card applications available today. One way is by personal application (snail mail, long wait time) and the other is an online application which pretty much gives you an instant decision. Both of them are effective and convenient ways on how to get credit cards and so determining what is the best credit cards application method is difficult to do without taking into consideration the preferences of the person applying.

    Personal application

    Long before Internet reached the masses, people got their credit cards by personally going to the bank and filling up a credit card application form. If you do not mind the lines and the hours of waiting just to get a credit card, then personal application is for you.

    Though it may seem old fashioned, personal application has its unique advantages too. For instance, if you are not Internet savvy, then personal applications can help you get your card without the risk of making errors on your application.

    You can also have the customer care executive explain to you certain aspects you do not quite get like how they come up with your interest rate or how they determine your approval.

    Online application

    Nowadays, almost everything can be done over the Internet including credit card applications. Online credit card applications are very popular these days because you can get a credit card without ever leaving your desk. So if you prefer quick and easy applications, online credit card applications are the way to do it.

    Surely, online applications are quicker and easier to do but you should know that there are some disadvantages. For instance, online applications are appropriate only if you are skilful in using your computer and surfing the internet — which pretty much most of us are. You are reading this article, right? One thing, though, you must make sure that the data you are submitting is being transmitted securely.

    On the bright side, online applications is a great way to get a credit card as provides certain perks that personal applications do not. As a matter of fact, most credit card companies even prefer customers who apply online as it eliminates most of the paperwork and the processing costs thus, saving the company money. Because of this, card issuers offer certain benefits exclusive for online applicants like freebies, discounts, and even low interest rates. So in determining what is the best credit cards application mode, online applications surely has numerous advantages to boast.

    No matter what mode of credit card application you choose, what truly counts is that you do it comfortably, easily and efficiently.

  • Are You Looking For The Best Credit Card For New Credit?

    First, you must know that you will have limited credit card options, especially if you are just building your credit history (new credit). What you need to do is to focus on getting cards that afford you higher chances of approval, such as secured credit cards, student credit cards, and other similar cards for beginners.

    There are many card types and reward programs nowadays, which make picking your first credit card like finding a needle in a haystack. So to help you find that elusive needle, simply go through the post below so you can come up with the best credit card for new credit.

    Unsecured credit cards for starters

    If you have no credit history, then entry-level unsecured credit cards may be a good place to start. Because such cards are for beginners, the credit limit is pretty low and the interest rate may be a little bit higher. However, the annual fees are reasonable and the card is easy to obtain, which makes it one of the best credit card for new credit.

    Student credit cards

    If you are a student currently enrolled in college, then student credit cards is the way to go. This card could be the best credit card for new credit because it is easy to get, provided that you are a college student and can demonstrate some proof of income.

    Secured credit cards

    If you have a tendency to overspend and you do not want to mess up your fresh credit with your first credit card, then you should get a secured credit card. With secured credit cards, you are required to make a security deposit, which in turn becomes your credit limit. For instance, if you deposit $500 into your credit account, your maximum spending limit will also be at $ 500. This feature is especially helpful if you are new to credit as it doubles as your guide to make responsible spending habits and also gives you a secure platform to get started. Of course, this is just one example. There are other types of secured credit cards as well. Therefore, if you want the best credit card for new credit, then this card type will surely be on top of the list.

    Whatever credit card you choose to have, you have to know that credit cards are neither good nor bad. What makes them perfect for you depends on your preferences, your financial capabilities, and your overall spending practices. So, if you wish to get the best credit card for new credit, you have to take into consideration these three things as it will be your basis in determining which card type you are most suited for.

  • Which Credit Cards Are The Best For You?

    In general, all credit cards are great but sometimes, you may not find all credit cards equally helpful. This is because there are many types of credit cards and each has unique attributes. Consequently, figuring out which credit cards are the best may seem confusing at first.

    Traditional credit card

    Most commonly used, you can use this card type to make purchases but you cannot charge more than your spending limit. Usually, credit card companies base your spending limit on your income. Thus, the higher your income, the higher your credit limits. You can also use your traditional credit card to pay for certain bills provided that the service provider accepts credit card payments. In conclusion, if you prefer a fuss-free credit card, it is best to go with traditional credit cards. Still wondering which credit cards are the best. Read further.

    Rewards credit card

    Like the traditional credit card, you can also use a rewards card to make purchases or pay your bills. But as its name indicates, not only will you get to pay for stuff but you also receive rewards in return. It is for this reason that rewards cards have become very popular these days.

    There are many types of rewards cards available for you to choose from depending on the kind of rewards or incentives you prefer. You can choose hotel point cards, retail rewards cards, gas point cards, airline points cards, and even cash back credit cards. All of these credit cards are excellent choices but in reality, you only let yourself get one or two and that makes it so much harder. However, it can be a lot easier to choose which credit cards are the best if you first determine which type of rewards are more appropriate for your lifestyle.

    Credit repair credit card

    Having numerous credit cards is fun (in terms of the purchase power it empowers you with) but sometimes, it can also hurt your credit if you cannot always pay your bill on time every month. There are certain types of credit cards that can help you boost your credit score, and one of which is the prepaid credit card. These do not “fix” your credit, but rather give you an opportunity to start rebuilding your credit.

    A prepaid credit card is just like any other type of credit card except for the fact that you must first make a deposit on your credit card account before you can actually use the credit card. This unique feature is what helps you boost your credit as you can only make charges equivalent to the amount deposited, thus, regulating your expenses. So in choosing which credit cards are the best, consider credit repair cards too especially if you have bad credit.

    Credit cards are aplenty nowadays and that is why it is important to learn the different types of credit cards so you can properly choose which credit cards are the best. In addition, you also have to determine your personal needs in order to pick out credit cards you can truly find useful and rewarding.

  • Tried And Tested Ways To Enjoy Low Credit Card Percentage Rates

    Credit card issuers base your interest rates primarily on your credit score. Thus, having a good credit score is essential to ensure you get low credit card percentage rates. Your credit score comprises of five determinants primarily: Your payment history, debt amount, credit age, types of credit used, and new credit. Now, depending on the scoring agency, there are other variables that come into play as well, but these are the major ones. Hence, it is crucial to know what you need to do to excel in all five determinants so you can boost your credit score.

    Pay your bills on time

    Credit experts always stress that paying your bills on time is essential to have a good credit rating. This is because credit bureaus receive reports regarding your payment history. In fact, even just a single missed payment can greatly damage your credit.  So if you want to have low credit card percentage rates, then you better start paying your bills on time.

    Maintain a low credit card balance

    The higher your balance is, the lower your credit score will be. Hence, you should never keep an outrageous amount of balance if you want low credit card percentage rates. Maintaining a balance, which is significantly lower than your credit limit is optimal for a good credit score. If you charge more than that, you risk getting deductions on your credit score even if you plan to pay it off right away.

    The older your credit card is, the better

    When you close an old credit card account, the issuing company halts reports to the credit bureaus. After about ten years, the credit bureau will remove the closed account’s history from your credit report thus, shortening your credit age. Consequently, your credit score plummets and you will get higher credit card percentage rates on your next application. Therefore, it is best not to close your old credit card accounts, as it will be a great help in enhancing your credit score. Remember, the older your credit card becomes, the higher your average credit age will be.

    Credit card applications

    Whenever you take out a credit card application, the issuer pulls your credit report. Such inquiries on your credit report make cause a temporary fluctuation but eventually it should come back to normal.

    There are other ways to get low credit card percentage rates but the most effective one is to build a good credit profile. You may get low rates from promotions but this only lasts for a while. However, if you have excellent credit, you can always expect to get low interest rates if you maintain your credit score in good standing.

  • How To Get From Credit Cards The Best Incentives On Promotional Offers

    Everything seems to get better when tied with amazing rewards and this is why even credit cards these days give great rewards or incentives to cardholders. Most people are already skilled and know how to get from credit cards the best of rewards but there are still a few who need a little coaching. If you are one of them, read on so you, too, can be a rewards expert.

    Cash back rewards cards

    The easiest way you can get rewards is by getting cash back credit cards, which give you cash rewards for your purchases. There are different rates that apply on various items purchased. Some credit card companies offer 5% cash back on groceries and 1.25% cash back on others whereas other companies have different rates. You can also get cash back by making hotel reservations and booking flights. Normally, cash back rates for hotel reservations vary depending on the card issuer. For instance, some offer rates around 1% – 5% while others have a fixed rate of 1.25%.

    Certainly, you can get from these credit cards the best cash incentive for your purchasing needs. Just sign up for cash back credit cards and, in no time, you will find yourself receiving a huge sum of cash back rewards.

    Reward points from airlines and hotels

    There are many popular reward points cards you can get (such as frequent flyer points cards). Airline miles or frequent flyer miles card are very popular nowadays as you can get from these credit cards the best redeemable rewards. If you enjoy air travel, airline miles rewards cards can surely help you earn rewards you can truly enjoy. Rewards from airline miles include free air travel, travel class upgrades, airport lounge access, and priority bookings.

    You can also get rewards points from hotel and travel bookings. Like airline companies, hotels have also created a point accumulation system, which rewards you with free hotel stays, complimentary meals, room upgrades, discounts on car rentals, and other rewards.

    Gas rewards cards and store rewards cards

    Aside from the earlier mentioned points cards, you can also get rewards point from gas cards, which are issued by gas stations, and store cards, which are issued by retail stores. Both of these cards are fantastic rewards cards but unlike the other types of rewards cards, these can only be used in specific establishments.

    For instance, gas cards can only be used in the gas station from where you acquired the card and the same goes for store rewards cards. On the bright side, although these rewards cards may be limiting, you can still get from these credit cards the best incentives by simply filling up your tank and doing a little “retail therapy”.

    Being adept at getting from credit cards the best possible rewards type may seem far-fetched if you are new to credit cards but a few helpful tips like the ones above can surely ease your way into becoming one. All you need to have is an open mind and a positive attitude so you too can enjoy incredible benefits.

  • Benefits Of Maintaining 0 Balance On Your Credit Card

    Interest rates apply to the outstanding balance in your credit card report. This allows card issuers to generate income from every cardholder who carries a balance. Nevertheless, it is not required that you always leave a certain amount unpaid in your credit card bill. In fact, it is better for you to have 0 balance during every billing period as it can give multiple benefits not only for your credit, but also to your financial health.

    Preserving good credit

    A good credit report can do wonders to your financial future. In fact, even some employers check your credit report to gauge your ability to handle responsibility. In order to have excellent credit, you must utilize your credit cards and pay your bills regularly. While paying your credit card bill, you can opt to pay for the minimum amount but it is better to pay off the entire sum and maintain a 0 balance.

    This is because despite paying the minimum amount, you may fail to make future payments as the balance grows — and it will eventually. Consequently, this hurts your credit score and if you have this going on for a while, it will ultimately destroy the credit history you have worked so hard to build. Therefore, it is advisable to pay your entire bill and start each billing cycle on a 0 balance credit card account.

    Now, speaking of credit score, one of the factors included in the evaluation of your credit score is the ratio of balance due to your overall available balance. It takes simple arithmetic to understand that the lower your balance due, the better your credit score is going to be.

    Avoid accumulating debt

    Another amazing benefit you can get from leaving 0 balance on your credit card bill is the advantage of not having to pay interest charges. Interest charges apply to outstanding balance on your credit card. Hence, you save money if you simply opt to pay the full amount every time your bill arrives.

    You may be tempted to pay only for the minimum amount on your bill, as it may seem like a cheaper option but in the long run your balance incurs interest, which gradually increases as you mount larger amounts of debt.

    In this scenario, you may risk accumulating debt, which may later on create major financial problems. It is fine to leave a little balance every now and then as long as you have the means to pay for the interest charges it accrues over time. If not, then you are better off paying the entire sum.

    Develop healthy spending habits

    When you pay your entire bill every time, it becomes a part of your system and eventually becomes a habit. Consequently, doing so will positively affect your personal and financial life as it allows you to make responsible financial decisions. For instance, if you are initially used to spending a lot with your credit card, paying your entire bill or leaving 0 balance will make you realize the effect of overspending when you see how much money you lose with such behavior.

    Incurring a hefty credit card bill is possibly the biggest fear cardholders face as it signifies the start of deteriorating credit rating and compounded financial problems. Therefore, leaving 0 balance on your credit card is a great idea as it will eventually mold you into a disciplined spender and ultimately lead you toward a better financial future.

  • Applying For New Credit Cards? What You Should Really Know

    People apply for new credit cards all the time. An average person has more than one credit card. Each day, credit card companies approach potential customers with great deals and exciting offers on new credit cards.

    Jumping in on the first credit card that comes your way or selecting one which sounds good just on the surface are not intelligent ways to choose new credit cards. Here are a few pointers to make the process easier and stress free:

    Introductory APR rates are valid only for a short period of time

    Many new credit cards come with unbelievably low or even 0% intro APR. This often proves to be irresistible for many consumers and most of them do not think beyond the huge discount in interest that they are being offered.

    Remember that the intro rates are going to be applied for a short while and once the honeymoon phase is over, you will have to face regular interest rates. 0% APR credit cards and low interest rate credit cards are great starting points, especially if you want to transfer balances from higher interest rate credit cards.

    However, before you say yes to new credit cards with low intro APR, examine the fine print to check for the terms after the introductory rate. Look out for hidden fees as well.

    Variable versus fixed interest rates — what would you like?

    Another important question to ask before saying yes to new credit cards is interest rates. Are the rates going to remain fixed throughout the duration of usage or will they vary? If it is variable you will have to pay higher rates each time a market index fluctuates. Generally, variable interest rate credit cards are based on prime rates. Every time the prime rate goes up, so will your interest rates.

    Rewards and benefits are great but don’t forget to read the fine print

    Some people opt for new credit cards exclusively for rewards and bonuses that come along with them. Spend some time and effort to understand the terms and conditions under which these rewards and bonuses will be offered to you. Most of these bonuses require a certain spending level to be reached before you can enjoy the benefits.

    Beware of following the pack

    Some of us who do not understand much about credit cards tend to pick up new credit cards based on the cards that our friends, colleagues, or close ones are getting for themselves. This “herd mentality” is not going to help much because what is right for them may not be right for you. Always evaluate the cards based on their pros and cons and not simply depending upon which of your close ones are getting them.

    Getting new credit cards can become fun and turn into an exciting challenge if you follow the points hinted at in this post.

    As a starting point, you may want to visit our credit cards page to check out new credit cards that were recently released. Compare the offers to determine which credit card would be best for you.

  • Credit Cards That Help With Establishing Credit

    Establishing credit requires a considerable amount of time, patience, and perseverance. There are no surefire shortcuts or tricks that can lead you to a high credit score within a short period. Your credit score reflects your credit worthiness based on your payment history, credit experience and other financial aspects as well. As important as building credit may be, it is even more crucial that you take time in doing it the right way.

    Having a low credit rating usually means difficulty in obtaining credit cards. However, credit card providers can give you a chance to establish your credit through certain credit card types such as those indicated below.

    Department store credit cards

    Department stores have probably asked you if you would like to sign up for a store credit card but you have politely declined. Some believe that store cards are unnecessary but this is a completely flawed idea. In actuality, there are two reasons why store cards are great if you want to start establishing credit.

    One, obtaining store cards is easier as compared to bank-issued credit cards. Two, department store credit cards are very useful as you can use it on a daily basis for purchasing your everyday needs. So if you have difficulties getting a credit card from banks consider going to a department store and apply for a credit card. Just make sure that you find out if they report to credit bureaus because if they do not, then such card will do no good to your credit.

    After you get the card, make sure that you constantly remind yourself to use it properly and responsibly. Never use it to overspend, but only think of it as a tool toward establishing credit. Just ensure that you only make reasonable purchases with it and regularly pay your bills in full and on time so you can build a good credit history.

    One caveat here. Store cards may have their own fee structure and interest rate related costs. Read the fine print carefully to understand what these parameters are.

    Secured credit cards

    If you have tried store credit cards and failed, you can still have a shot at establishing credit with the aid of secured credit cards. Secured credit cards are much easier to apply for, however, you have to make a certain security deposit before you could avail of the credit card.

    Typically, the credit limit on secured credit cards is equal to the amount of money deposited or the monetary equivalent of the property used as collateral. You can choose to increase your credit limit later on by adding more deposits but if your initial purpose is to establish credit, then doing so is not advisable.

    If you fail to make payments on your secured credit card, the issuer takes the money deposited as payment for your debt. As in the case of properties secured, issuers will make necessary arrangements to satisfy the debt incurred.

    Getting your first credit card can be very challenging and depressing especially if you get rejected frequently. However, with the proper knowledge, you can successfully obtain one and start establishing credit. With responsible payment practices, you can build a good credit and get any type of credit card you want later on.

  • Intro APR: What You Really Need To Know

    If you have been paying even the slightest attention to the credit card offers that you come across so often you would have noticed that most of them mention something called intro APR.

    Intro APR is generally for new customers

    Well it denotes a special APR rate that is offered only to new customers who sign up before the introductory rates expire. This rate is applicable only to new customers for a specific duration of time.

    More facts about intro APR

    Intro APR rates are typically on the lower side and may even be up to 70% to 80 % lesser than the regular APR rates applicable for that same credit card without the promotional offer. Sometimes credit card companies also come up with zero percent annual percentage rates as a part of their introductory offer.

    These intro rates are usually applicable only to new purchases initiated with that credit card within the promotional offer’s period. But some companies may also extend the low intro rates to balance transfers as well (or vice versa).

    If you are thinking about signing up for a credit card because you are impressed with the intro APR rates, be sure to confirm whether these rates apply to balance transfers or purchases (or both). Read the fine print.

    Focus on your priorities

    The most important thing to note here is that these rates are not forever. So no matter how low the interest rates are now, they will definitely jump to double digits in the near future and that is where you should actually focus on.

    Find out if the regular rates are going to be fixed or variable. All these factors will determine if the intro APR rates that you are being offered now are truly worth the excitement. Some intro APR rates could go as far as eighteen months. In fact, at DontSpendMore.com, you can find several credit cards with intro APR rates up to eighteen months.

    I am only suggesting that if you ever decide to go with any credit card simply because of the intro APR rates, then compare with other cards and go for the one that offers a combination of lowest intro and regular APR rates.

    Getting low or nil intro APR rates are a blessing for many of us. Just make sure that you utilize these concessions in the best possible manner and utilize the timeframe to your advantage. Pay off as much of the balance as possible during the low intro period. Ideally, you should try to become debt free within the promotional period itself.