Financial Planning Guide - Credit Card Debt Consolidation

So many people are lumbered with credit and other cards and some of them struggle to make those monthly repayments. If this describes you then you would be well advised to consider looking into debt consolidation and some help with financial planning to avoid risking bankruptcy. Loans are also available, but you should take time to analyze all the possible options.

The simplest way to do debt consolidation with credit and other cards is to transfer the combined balances onto another credit card with low interest rates and one low monthly payment. Most card companies do offer special introductions with low rates for this type of consolidation just for trying their card. However, though obvious, make sure the balance on your new card will cover the outstanding balances of your other cards.

Look for low interest transfers to allow for successful consolidation. Many cards offer these transfers at just 0% interest over an agreed to time period, making them perfect for consolidating your credit and store card balances. However, before taking the plunge you should understand your own situation and how much you can afford for monthly repayments. Never transfer any further balances onto a card when the introductory period is over and the transfer rates have risen to regular high levels. You could jeopardize your situation and ability to pay. What would you do at this point if your personal circumstances suddenly changed? Fact – you would be facing the same spiraling problem of accruing interest and no way of extending your time period.

Another way to consolidate your credit and store cards is simply to ask your family and friends for help. You will have to swallow your pride and embarrassment. However, family and friends have no service charges and don’t charge interest. They are much more likely to offer the lowest payment plans around. You are also definitely guaranteed to make your payments on time and talk to them if one month your finances are tighter than expected. They are much easier to negotiate with. but be wise and get everything in writing so that neither party can default on their agreement. Misunderstandings can happen. Hedge against them ahead of time.

Finally, you may wish to look into non-profit groups. They can renegotiate with your creditors to lower payments and help you avoid having to borrow money through loans or from other sources. Look at all the options now and decide what is best for you.

Student credit cards

For students, the student credit cards are the best way to enter the fascinating world of credit cards. Student credit cards help the students in taking advantage of the various benefits associated with credit cards in general e.g. convenience, safety, rebates etc., much earlier in their life. Moreover, student credit cards act as training ground for students, most of whom haven't had any experience with credit cards. The student credit cards help the students in gaining hands-on knowledge about the various aspects of credit cards and their use. Most credit card suppliers also include a small guide that helps the students in gaining a good understanding of credit cards, upfront. The students learn more and more with every transaction on their student credit card and as they experiment with the various benefits associated with the student credit cards using their student credit cards in various ways. Another important benefit is in terms of the time that student credit cards save for the students. As we know, time is very valuable for students and by using their student credit card to order things online, they can actually save a lot of time too. Moreover, the students might require short term loans (in case there is a delay in the arrival of funds in their account, for whatever reason); and student credit cards facilitate this very easily taking the burden off from the student (so students can use their student credit cards like a loan for making payments in the meantime). As such, money is the other critical thing for students. Student credit cards again become handy here by saving them some money in terms of rebates from retail stores, grocery shops etc. Moreover, the students also receive additional rewards/benefits from the members reward programmers that come with all credit cards (including student credit cards).

As students use their student credit cards, they keep building their knowledge database. This knowledge becomes handy when they are out of college and into their job and looking for a full-fledged credit card (i.e. credit cards which have lesser restrictions, more credit limit etc as compared to a student credit card). Hence the student credit cards help the students in making a knowledge-based decision rather than a fancy-based one. Such decisions and the knowledge about using the credit cards in a disciplined manner, acts as a deterrent to one of the most serious problems being faced by credit card industry i.e. the problem of credit card debt.

With so many advantages on the plate, the student credit cards are really an essential for every student.

Avoiding Credit Card Debt Relief Scams

Benefits of Debt Relief Programs

People with mounting debts can reap major benefit from debt relief programs. These programs are designed for this specific purpose but choosing the specific terms of the plans could affect each individual's financial condition differently. If you wish to free yourself off any debt, then you must choose a debt relief program that meets your needs.

For instance, debt negotiation is one common debt relief program that offers benefits to the debtor. It saves money since you will get to pay a reduced amount from the original amount of debt you owe, it will save you time as professional debt negotiators will be the one discussing this debt reduction process on your behalf. If you are able to choose a reliable and sound debt relief program, most people with debts find themselves free of debt within two or three years.

Common Scam Techniques

While there are several legitimate debt relief companies available in the industry, there are a few others who are looking to take advantage of people's urgency to settle their debts. Like with legitimate debt relief companies, they offer debtors a promise of the opportunity to become debt-free. Sadly though, they most often target individuals who are desperate to find debt relief since they cannot afford to lose their money.

There are a few common tell-tale signs that the debt relief program you are dealing with is a scam. Hence, identifying them will help you recognize whom to trust and whom not to in terms of finding solution for your debt problems.

Charging to Fix Your Credit Report

There are a few debt relief programs who offer their services of cleaning out your credit report and any errors with massive fees. This process is quite intricate, which is the reason why most people often opt to hire professionals to do it for them. However, you need to be extra careful with choosing since some of them can be outright deceptive. Another reason why such claims are considered scam is that you can fix credit report free of any charge. There are three credit bureaus from which you can acquire a free copy of your yearly credit report. When you have the copy, study it for any false information or suspicious transactions.

Loaning To Fix Bad Credit

This particular scam technique affects debtors in two ways. First, you are charged for a loan that you are not even qualified for to begin with. Therefore, the money you spend trying to settle the loan is put to waste since you could have used that trying to settle off your previous credit card debts. Next, although your creditor makes claim that you have loaned out money, you never get to receive any money. Worse thing is, these scams do not provide you with a legitimate company name so they basically run away with your money while you are left with no way to trace them.

False Identity

This is a sure sign that you are dealing with bogus credit repair companies. When they ask you to create a new credit identity to attain a high credit score, then you need to realize that this is a complete illegal move. Even if you are unfamiliar with legal laws, then everyone might be aware that creating false identity is a clear violation of law.

Therefore, make it a point to screen out the credit repair company you are dealing with before you decide to work with them. If you are serious about getting rid of any credit card debt you currently have, then opting for illegal means is not the best way to do it. Moreover, being subjected to scams would cause you money that could have been used to pay off your credit card debts.

Reward Credit Card can Measure Up well

Taking family trips, going shopping, and dining out is all a part of life. The idea of credit education is to help consumers understand the importance of credit card offers that provide frequent rewards or point systems for redemption associated with purchases made from a reward credit card.
Your Needs Defined
If you enjoy traveling, shopping, dining out, etc, and you plan on utilizing a credit card on a regular basis, then a reward credit card may be a valuable asset in helping you gain some added benefit from your purchase activity.
Having a handle on your credit rating, is one key to consider while choosing which credit card to apply for, since many credit cards available with rewards programs will require at least good credit.
A "general-use" credit card is a great way to keep track of expenses and manage your overall expenses and having a reward credit card can be an advantage since you can maximize the benefits of your spending. For every meal, car rental, hotel stay, clothing purchase or gas refueling, potential rewards can be available from the use of a reward credit card, including travel rewards, retailer discounts or even cash back.
Determining Value
One key consideration while selecting a reward credit card is checking the annual percentage rate (APR). This has a great deal to do with future payments, should you fail to pay off the card each month. Rates are varied and can be as little as 7.99% to as much as 19.99%, and many others carry a floating variable APR that is based on the prime lending rate.
If you are a business owner looking for the best long term APR, you might consider several of the Platinum credit card offers which often times feature free accessibility to many of the best reward programs online. Be aware, however, that most of the zero percent APR promotional offers for these cars are for a very short time. Cardholders can however take advantage of these promotional offers and get the dual benefit of a rewards program with some of the very best reward credit cards that are currently available.
One such example would be the CitiRegistered trademark Dividend Platinum Select Reward Credit Card. Offering 5% back on purchases made at supermarkets, gas stations, and drugs stores, this card also gives cardholders an additional percentage on all other purchases made on the card. The APR is 0% for up to 12 months and also includes 0% on balance transfers. Be advised, however, that this does not take into account other factors to consider before applying for such a card, not the least of which is the credit that will be required to get approval.
The benefits of a reward credit card are easy to understand but should be weighed with an eye toward need, benefit, and credit worthiness.
You would not consider purchasing a car without knowing everything possible about the make, model, history, and available features, so why settle for the first credit card offer to make its way to your mailbox. An online comparison can provide peace of mind and due consideration in the decision making process.

Prepaid Credit card

There are many advantages to using prepaid credit cards over traditional credit cards. In this article we will go over the differences between traditional credit cards and prepaid credit cards, and why they are becoming so popular.

One of the things that credit card companies all over the world have realized is that many people do not meet the credit requirements necessary to be issued their standard credit cards. Many people don't have any credit, while others have bad credit. Because of this credit card companies are not making the profits they want. To solve this problem, they introduced a credit card which could be used by virtually anyone, without the need to have good credit.

Prepaid credit cards are convenient and easy to carry. If you are carrying around lots of cash, and someone robs you or steals your wallet or purse, there is often nothing you can do to get your money back. With prepaid credit cards, you are able to quickly cancel them or dispute any fraudulent transactions which are made.

Another advantage of using prepaid credit cards is the internet. As more people begin shopping online, they will need electronic methods of paying for their merchandise. Those without good credit would normally have a hard time shopping online. However, with prepaid credit cards, getting approved and shopping online is easy.

Another advantage of using prepaid credit cards is that they can be used globally. Whether you are at a store in Tokyo or a museum in Paris, prepaid credit cards are accepted at the same places where traditional credit cards are accepted.

Parents can keep track of how much money their children are spending using prepaid credit cards. Before this, parents had no control over protecting their children from creating enormous amounts of debt. By using prepaid credit cards they can transfer money into the accounts of their children and monitor their spending.

Prepaid credit cards are reliable, and can be used for point of sales purchases virtually anywhere. You can reload money onto them when they run out, and you can quickly transfer money to any part of the globe. Prepaid credit cards are changing the way people spend money.

Whether you have good or bad credit, you will find that the advantages of using prepaid credit cards are enormous. You will have power over your spending, and you will be able to set your own spending limits.