If you crave the convenience of credit cards but worry about getting in over your head, a secured credit card may provide an unexpected solution. While they’ve developed a reputation as an option only for those who need to build or repair credit, secured credit cards offer some unique wider benefits worthy of a second look.
When you have the right credit card, it’s easy to make the most of your rewards for travel, cash back and more.
Reprinted Courtesy of “It’s a Money Thing”
Like local car dealerships and personal injury law firms, short-term and payday lenders tend to have the most annoying commercials on TV. They’re often tacky and annoying, and tend to air during daytime talk shows or very late at night. Their promises of “fast cash!”, “guaranteed approval!” and no “credit check required!” are enough to make you change the channel—and yet, if you ever find yourself in a situation where you need to get your hands on some extra money fast, those commercials might start making sense to you.
Set Specific Goals
Saving tends to be easier when you have a certain purpose in mind: Saving for your first house, retirement at a certain age, a child’s college education, or even a trip around the world. The important thing is to be specific.
If you’re shopping around for a credit card, you’ve probably noticed that there are plenty of options on the market today. Low-interest, balance transfer, rewards, cash back, airline- and hotel-specific cards, retail cards, student cards, business cards…the list is endless. So how do you find the credit card that’s right for you?
Think fast: what’s the most recent financial decision you made? You likely won’t have to think too far back.
You want to raise your credit score so you can get lower credit card interest rates, easier credit, even better job prospects? You need to understand “credit utilization.” It’s a simple ratio of how much credit you have versus how much you use, and it can make up to 20-30% of your credit score.
You probably know that student debt is a trillion dollar problem, but it doesn’t have to be a problem for you. The key is to borrow only what you can afford and pay it back fast and cheap. Here are Jean Chatzky’s favorite tips.