many things they don’t really need. Numerous gadgets and services occurred
targeting a vast market of consumers and this emergence of various inventions
somehow blinded people.
Since finances—especially money—is one of the major concerns of many people,
a wide array of financial management services and financial options emerged. One
of the most visible among the unending line of financial management services
there are is the credit card.
Although many people testify for the financial convenience you get when you
apply for a credit card, it doesn’t mean that every financing convenience
applies for you or for everybody in that matter.
When people apply for a credit card, there is always a reason. It can be for
managing their finances, needing extra money or in preparation to a big
expenditure. But, no matter what the reason is, people apply for a credit card
because of the ultimate convenience it brings. By now, you may have had your
share of ‘pre-approved’ credit card offers in your virtual and physical mail.
Since people are quite vulnerable when they apply for a credit card, some credit
card issuers lure these people by giving low introductory APR, no annual fee
offers among numerous perks. The tendency of this so many alternatives and
“value” deals is to sway the person who wants to apply for a credit card.
There are undeniably endless lists of pros and cons when you apply for a
credit card, but if you really have decided to apply for a credit card, these
are some of the helpful tips that can guide you on your credit card shopping
journey.
Actually, there are three easy steps you should follow if you have decided to
apply for a credit card. First, surf the net and do some research on credit
cards. By doing this, you can familiarize yourself with different credit card
terms and types. Second, you can compare numerous credit cards that would best
serve your needs and lastly, you may now apply for the credit card of your
choice by filling out a credit card application by visiting a bank
representative or through online.
In order to find the right credit card fast and easy, first, before you apply
for a credit card, make sure you mastered the credit card terms. When you apply
for a credit card you must know what a “credit card” really is. Being a form of
borrowing that involves charges, credit cards usually have underlying credit
terms and conditions affect your overall cost. So, it’s best to compare terms
and fees before you apply for a credit card and agree to open an account. Some
of the important terms to be understood well include the annual percentage rate
or the APR.
When you apply for a credit card, you must know how the APR affects your
credit account. Being a measure of the cost of credit expressed as a yearly
rate, the APR should be disclosed before you apply for a credit card so that you
would not be obligated on the account and on your account statements later on.
Aside from APR, the periodic rate must be disclosed to the card holder before
they completely apply for a credit card so they would have an idea of their
outstanding balance and finance charge for each billing period. Other important
terms to know before you apply for a credit card are free period or “grace
period,” annual fees, transaction fees and other charges, other costs and
feature, and balance computation method for the finance charge like average
daily balance, adjusted balance, previous balance, and two-cycle balances. If
you’re not that type of person who is patient enough to research on all these
terms, make sure that before you apply for a credit card, the issuer will give
an explanation how the balance is computed and it must appear on your monthly
billing statements.