How does credit card interest work? Secret Exposed!

Whether you are holding credit card or you are about to apply for a new one, this topic how does credit card interest work is very crucial. Everything about credit cards revolves around interest. Unfortunately, we have many people carrying card balances and groaning under the weight of card debts who do not know anything about how credit card interest is calculated. This makes me remember when I was going through an induction/orientation programme in my new place of work. It was a large organization with many departments. I needed to move from one department to another where I would be Continue ReadingHow does credit card interest work? Secret Exposed!

Credit Utilization Ratio and How to Keep it Low

What is credit utilization? Credit utilization is the ratio of your credit balances to the total credits available to you. It is usually expressed in percentage. That is why people usually refer to it as credit utilization ratio or credit utilization rate. Some people may even be more specific by calling it credit card utilization ratio. Whatever the name you call it, it means the same thing. The two main elements involved that you need to consider while calculating credit utilization are your card balances and your total credit limits. You simply divide your card balances by your total credits Continue ReadingCredit Utilization Ratio and How to Keep it Low

Credit Card Minimum Payment and its Effects

What do you understand by credit card minimum payment? Why do the credit card companies encourage minimum payment? What effects does the credit card minimum payment have on your finance? These are the questions this article is about to address. We shall be answering the question one after the other. What is credit card minimum payment? Credit card minimum payment just as the name implies the minimum amount that your card issuer expects you to pay every month towards the repayment of your card balance. In most cases, it is usually expressed as a percentage of card balance. The rates Continue ReadingCredit Card Minimum Payment and its Effects

Understanding Cash Advance and its Associated Costs

Cash Advance on Credit Cards Is it good to get cash advance from your credit card? My answer will be; ‘it depends on the situation surrounding that decision to withdraw cash from your credit card. No matter how you plan your finance, you may find yourself in a situation where you need to make cash payment. If you don’t have the cash available with you, you may be left with no option other than to withdraw cash using your credit card. Of course, this seems to be an advantage of having your credit card with you. It can actually be Continue ReadingUnderstanding Cash Advance and its Associated Costs

How to Get Credit Cards for Bad Credit?

Are You In Search of Credit Cards for Bad Credit? Having a bad credit may not be the end of the road for people who are willing to do something about it. Although the road from having a bad credit turned into good credit may be steep, it is not an impossible adventure. There are people who were once having their credit in mess but are now enjoying good credit ratings today. If you desire to get out of your bad credit status, searching for credit cards for bad credit can be the way out as you may not qualify for Continue ReadingHow to Get Credit Cards for Bad Credit?