A First Step To Initiate A Good Credit Rating
One of the first things young adults need to know when they're just starting out on the road to the rest of their life, is how important it is to build and maintain good credit. In the world we live in today, your credit rating is the basis of how you are treated by the big businesses you will find you need to work and deal with in your day-to-day life.
It doesn't matter if it's renting an apartment, applying for insurance, a car loan, or even a credit card, your credit rating is taken into consideration. Sometimes when applying for a new job they may review your credit report as a reflection of your personal integrity.
Everyone realizes that life isn’t always perfect. There may be a time when some people are not able to meet their obligations temporarily. When a reasonable explanation is given and evidence that you are actively attempting to rectify the situation, financial institutions and other large companies understand and view this as a favorable indication of your veracity.
One of the easiest ways to begin to establish your credit, is by applying for a credit card. There are multiple choices of credit card features that will fit your lifestyle. When applying for your first credit card you will most likely be given a lower credit limit. It's after you've proven your credit worthiness, your credit limit will gradually be raised.
Before you begin to apply for that very first credit card or any credit card at all, you should know the key questions to ask.
- Does it have a low introductory offer?
- If it has a low introductory offer, how long does it last?
- Is the low introductory offer for transferred balances, new charges, or does it apply to both?
- After the introductory low interest rate, what is the regular interest rate?
- Does this credit card charge an annual fee?
- What is the amount of the late fee?
- Does this card have an over-the-limit fee?
These are just elementary questions to be prepared to ask when you are applying for a new credit card and want to compare offers. But before you sign on that dotted line, like with anything new, be sure to read the fine print. How you handle this card and meet your credit obligation is important. Your adherence to the terms and conditions will reflect on your credit rating and could effect you for years to come.
Airline Credit Cards - An Introduction
As the name suggests, airline credit cards are credit cards associated with air travel. Airline credit cards are becoming popular as more and more people are opting for air travel. They can be used for a particular airline or for several airlines and is also an excellent means for saving on travel expenses. A variety of airline miles credit cards are available in the market. Understanding certain basic factors of airline credit cards can arm you to get a better deal.
Why Should I Opt for An Airline Credit Card?
The simple reason why people opt for an airline credit card is that it saves on travel expenses. Often times, it works best for a frequent traveler. The benefits offered vary from one type of credit card to another. The primary features of the card also varies with each airline miles credit card.
Apart from saving on travel expenses, there are several other benefits involved. Several types of insurance associated with travel are offered by most airline miles credit cards, including lost baggage insurance and car rental insurance. The coverage provided under travel accident insurance is far above what would be considered normal coverage. Occasional freebies are also offered by some airline credit cards.
How Does an Airline Credit Card Work?
Most airline miles credit cards follow a method of giving points for the dollars spent on the card. The way the points are counted differs from one card to another, but most of the airline miles credit cards follow a point system which is quite similar. To make use of the points, you need to have a minimum number, which varies with each card. When you have the desired amount of points, you can substitute the points with airline miles. Now, how the points are substituted again depends on the type of credit card you opt for.
Certain airline credit cards offer bonus points. Bonus points are offered when you make use of an airline credit card with other products, services and merchandise purchases.
How to Select an Airline Credit Card?
The key to selecting an airline miles credit card depends on the way you travel. If you are in the habit of traveling by a single airline, you can choose a credit card that does business with your favorite airline. Things are a bit tough if you are in the habit of frequently changing the airline you travel. Then you should choose a card that can match with your traveling habits.
Two important things to keep in mind while selecting an airline credit card are the annual fees and interest rates. You should make sure that the annual fee does not wash away all the other benefits you get from the credit card. It is a well known fact that airline credit cards carry a high interest rate. The APR can even be increased if you make even a single late payment with some airline credit cards. So make sure you keep up with your monthly payments.
The freebies and benefits offered by each airline credit card vary. You should take into account all the benefits offered by the different companies before selecting your credit card. Some of the benefits can be very handy while you are traveling.
The best place to search for an airline credit card is the Internet. Information regarding a huge selection of airline credit cards is available online where you can compare for the price and benefits offered by each company.