Credit Card Watch

Getting a Great Unsecured Credit Card

Credit cards are definitely a way of life. It seems everyone has two or three cards tucked into their wallet. If you are at a loss as to how to obtain the best rates or terms for your new unsecured credit card, a few tips from financial professionals can have you charging away in no time.

See Yourself As Lenders See You

Your first step in obtaining your unsecured credit card is to check your credit score. Your credit score will determine the interest rate and payment terms of your new unsecured credit card; thus, it is very important that all information contained in your credit file is accurate. You should obtain your credit report from all three major credit reporting bureaus. You are entitled by law to one free copy of your credit report from each bureau annually. Look over all three reports to make sure that everything is correct – including the amounts that you have charged on other accounts.

Credit card issuers will look at your available credit versus credit expended by you when determining your approvability for your new unsecured credit card – so be certain that all amounts reflected are true and accurate. Any account that is listed on your credit file that you do not recognize as belonging to you should be reported immediately to the bureau holding your report. The bureau is required to investigate the item in a timely fashion; further, any erroneously reported accounts or items on your credit report will be deleted if the investigation results in your favor.

Read The Fine Print

Shopping for a great card may mean getting out your magnifying lens! The fine print on most credit card applications contains important terms that you must agree to before getting the card. The most important of these terms is your interest rate. The interest rate that you pay on your new unsecured credit card will be reflective of the state of your credit, so expect to pay a bit more interest if you have had a few negative or derogatory accounts on your credit file.

Be Careful Of Hidden Terms

Be leery of any credit card that is offered to you at an interest rate of 0%. These cards usually undergo a massive interest rate increase after as little as three months. Again, fine print on the credit card application should be analyzed carefully.

Also make note of repayment terms. Some cards feature a penalty if your monthly payment is late – which might include increasing your original low interest rate to a rate known as the default annual percentage rate. This default rate might be as much as 24.99 percent or more, which can be a huge jump in interest for mailing a payment in a few days late. Once your default rate is activated on most cards, it will remain at that rate for the life of the card.

Finally, shop online for your unsecured credit card. There are many advantages to applying online for your unsecured credit card, including the convenience and ease of the online application process. Further, many online lenders offer lower rates for all types of credit situations.

Jessica Peterson is a Unsecured Personal Loan Consultant with more than twenty years of experience. For more information about Guaranteed Bad Credit Personal Loans, Guaranteed Credit Cards, Unsecured Loans, Fresh Start Loans, Debt Consolidation, Student Loans and others please visit http://www.yourloanservices.com