Credit Cards? Im So Confused?

So I applied for a credit card, not thinking they would actually send me one yet. I figured since i have no credit i wouldn%26#039;t be accepted.

So i was sent a card, and i have no idea what it means.

It says the rate for the first 6 months is 0.0% for purchases, then theres 11.99% after that, i guess. And stuff about cash advances and balance transfers and i have no idea what it means.

The default rate is 29.99%, what does that mean? and whats U.S. Prime rate plus mean?

Please Help!!!!1

Credit Cards? Im So Confused?

Ok, here is what it means

If you buy something on the card they will not charge you interest for the first 6 months, BUT you will have to make your minimum payment of at least 2.25% of the total balance (purchases).

Then at 6 months, the interest rate will be 11.99% (if fixed rate). So, every month you will have to make minimum payment of 2.25% which will pay that months interest and if there is any of the payment left it will go to the balance of your purchases.

Cash advances are when you take your card and go to an ATM or bank and get cash. Usually a horrible deal and the interest rate is normally 20% and up.

Balance transfers are when you use your card to pay another credit card off (thus transfer the balance). As you have no other credit cards doesn%26#039;t affect you.

Default rate is what they will charge you in interest if you are one second late on a payment, or go over your credit limit.

US Prime rate is currently 6.00%, so, if any of the stated interested rates say, %26quot;variable at x% plus prime%26quot; you would add the prime rate to the stated rate. In the 11.99% instance, that would make your actual interest rate 17.99%.

Prime rate fluctuates as the federal reserve either cuts or increases the bank lending rate. It is really low right now.

Do yourself a favor, only use this for emergencies and anytime you use it pay it off as quicly as possible.

Hope that helps.

Credit Cards? Im So Confused?

It sounds like you need to cut and close the account before you get into a lot of trouble!!! If you keep it don%26#039;t do cash advances, because the rate is always too high.

Credit Cards? Im So Confused?

After your 6 months, you will be charged interest for anything you have on the card that is not paid for. So, if you spent 150.00 and didn%26#039;t pay it all off that month after your 6 months, you would be charged 11.99% of the balance for lending you the money. If you default (you didn%26#039;t pay your monthly bill) Your interest rate would go from 11.99% to 29.99%

Credit Cards? Im So Confused?

Credit cards are an important means of establishing credit history. Using them responsibly, controlling your spending habits and not misusing them will always help the cause. Here are few things to keep in mind before you apply for a credit card.

It is always better to use a credit card which is issued in your name. The simple reason being, it helps establish credit history for you. Use the correct identity, and get credit card issued for proper name, social security number, and address.

Decide what type of credit card you need and don%26#039;t get impulsive about obtaining it. Have patience and compare various offers that suit your choice.

The APR of credit card is a very important point not to be missed by any credit card owner. There are various types of APRs, like the 0 intro APR, regular APR, APR for cash advances, APR for purchases, APR for balance transfer etc. These APR contro what interest you pay on your credit card outstanding balances. Get compelte idea about the APRs that will affect you during your credit card ownership.

If you are getting a reward credit card, make sure you know how the rewards will be redeemed and using the credit card at what locations or merchants will help you get the maximum reward benefits. Another thing to watch out is the limitations to the reward program. Check carefully about what limits the rewards like minimum reward points, blackout dates, redemption locations, choice of airlines etc.

Read more from: http://www.credit-card-gallery.com/artic...

Credit Cards? Im So Confused?

If you don%26#039;t know what it is, cut it up and close the account.

Your credit card is a bank loan.

Every time you use it, you%26#039;re borrowing more money from the bank.

Default Rate - If you fail to make the minimum required payment (just once), your interest rate goes up to 30% on everything you owe until you pay it off.

Credit Cards? Im So Confused?

There%26#039;s a lot to be careful about with credit cards. If you pay late for one thing your rate can explode (I%26#039;ve done that!). You could easily get a late fee plus your percentage goes up as well.

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Debit and Credit Card Info

http://www.daily-tools.com/credit-issues...

Credit Cards? Im So Confused?

Credit cards have become a necessity in society nowadays, you can%26#039;t go anywhere without having to use one. That%26#039;s why it%26#039;s imperative to maintain a good%26lt;!--credit rating and use your credit card smart. Lots of credit card related question been asked here and yours just another one. Check it out this website, hope it helps.

http://bestcreditcards.freehostia.com/

After all, without a credit card, it%26#039;s harder to live, and especially hard to shop online. Lots of credit card related questions are often being asked and yours is just another one. Credit cards are great to use as long as you control them--%26gt;They are useful, helpful, and make buying things a whole lot easier. But it%26#039;s important to remember that people go into thousands of dollars of debt because of them, and the same thing could happen to you