Credit Cards for Fair Credit

Fair credit is the awkward teenager of the credit world. People with fair credit scores have graduated past secured credit cards, but still don’t have the choice of credit cards that those with good credit have. But there are several good card options if you’re stuck in the middle. Here are the Nerds’ top three rewards credit cards for fair credit.

Barclaycard® Rewards MasterCard®: Best for bonus rewards on everyday purchases

The Barclaycard® Rewards MasterCard® offers 2 points on every $1 spent on gas, grocery and utility purchases and 1 point on every $1 spent on everything else. Points can be redeemed for anything, you use them like cash to cover purchases you’ve made, provided those purchases have been made in the last 30 days and cost $25 or more.

Barclaycard® Rewards MasterCard®
Apply Now on Barclays's secure website starstarstarstarhalfstar	No annual fee Earn 2 points per $1 on gas, grocery, and utility purchases and 1 point per $1 everywhere else Use the points you earn like cash to pay for almost any purchases you've made. No redemption fees, no limit on the points you can earn and no complicated set up. Reports to all 3 major credit bureaus monthly providing you the opportunity to rebuild your credit score Complimentary FICO® Credit Scores as a benefit to active cardmembers. Opt-in to have instant and convenient access to FICO® Scores from your Barclaycard online account.		thumbsupPros Qualify with average credit No annual fee thumbsdownCons High APR

Annual Fee	Signup Bonus	APR , Variable*	APR Promotions
$0	None - after first purchase	Min APR: 24.99%	Purchase: None Transfer: None

NFL Extra Points Credit Card: Best for football fans or cardholders who need a balance transfer

The NFL Extra Points Credit Card offers 2 points on every dollar spent on NFL or team purchases — such as tickets and team merchandise — and 1 point on every dollar spent elsewhere. There’s also a signup bonus: Earn 10,000 bonus points after $500 in purchases in the first 90 days, enough to redeem for a $100 cash back statement credit. Points can be redeemed for VIP NFL experiences, game tickets or cash back.

Football fans will enjoy 20% off every purchase at NFLShop.com. Your card design will feature the colors and logo of your favorite team — all 32 teams are available. You’ll also receive an introductory APR of 0% on ticket purchases for the first six months.

While the NFL Extra Points Credit Card seems like it’s exclusively for football fanatics, it’s a great card for anyone with average credit. The card boasts an introductory APR of 0% for 15 months on balance transfers made in the first 45 days and an annual fee of $0.

NFL Extra Points Credit Card
Apply Now on Barclays's secure website starstarstarstarstar	Earn 10,000 bonus points after $500 in purchases in the first 90 days, enough to redeem for a $100 cash back statement credit 0% promotional APR for 6 months on ALL ticket purchases from a team ticket office. After that, a variable APR currently 14.99%, 19.99% or 24.99%, based on your credit worthiness Earn 2 points per $1 on NFL or team purchases - game tickets, in-stadium and at team Pro Shops - and 1 point per $1 on all other purchases 20% off every purchase at NFLShop.com - that's $20 off every $100 you spend Redeem points for VIP NFL experiences, game tickets or 1% cash back statement credits beginning at 2,500 points for a $25 statement credit All 32 team cards are available, customized with your favorite team's colors and logo 0% introductory APR for 15 months on balance transfers made within 45 days of account opening. After that a variable APR, currently 14.99%, 19.99% or 24.99%, based on your creditworthiness		thumbsupPros Qualify with average credit No annual fee 0% for 15 mos on transfers

Annual Fee	Signup Bonus	APR , Variable*	APR Promotions
$0	Earn 10,000 bonus points after $500 in purchases in the first 90 days, enough to redeem for a $100 cash back statement credit	14.99%, 19.99% or 24.99%* Variable	0% on balance transfers for 15 months (must be completed within first 45 days of account opening)

Capital One® QuicksilverOne® Cash Rewards Credit Card: Best for straightforward rewards

The Capital One® QuicksilverOne® Cash Rewards Credit Card offers 1.5% rewards on every purchase. You can redeem your rewards for cash back in any amount, at any time. There’s no need to opt in to rewards or keep track of rotating quarterly categories.

The Capital One® QuicksilverOne® Cash Rewards Credit Card has an annual fee of $39, which will be negated after spending $2,600 per year. It boasts an introductory APR offer of 0% on purchases and balance transfers until September 2015, and then the ongoing APR of 22.9% (Variable).

Capital One® QuicksilverOne® Cash Rewards Credit Card
Apply Now on Capital One's secure website starstarstarhalfstar	Earn unlimited 1.5% cash back on every purchase, every day No rotating categories and no sign ups needed to earn cash rewards Redeem the cash back you earn for any amount, any time Cash back doesn't expire and there's no limit to how much you can earn 0% intro APR on purchases until September 2015; 22.9% variable APR after that Get access to a higher credit line after making your first 5 monthly payments on time Fraud coverage if your card is ever lost or stolen Get free access to your credit score and learn how everyday decisions can affect your score using Capital One® Credit Tracker		thumbsupPros Qualify with average credit High rewards rate 0% for 9 mos on transfers No foreign transaction fee thumbsdownCons Has annual fee

Annual Fee	Signup Bonus	APR , Variable*	APR Promotions
$39	Earn unlimited 1.5% cash back on every purchase, every day.	22.9% (Variable)	0% on purchases and balance transfers until September 2015

Bottom line: Fair credit? No problem! With one of these three credit cards, you’ll be able to successfully navigate through the trials and tribulations of being stuck between bad credit and good credit. Use your new card responsibly, and we’re sure you’ll enter the ranks of good credit score holders in no time.

Young man image via Shutterstock

The post Credit Cards for Fair Credit appeared first on NerdWallet Credit Card Blog.

Source Article :http://bit.ly/1yVKwLE

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Credit Cards for Fair Credit

Fair credit is the awkward teenager of the credit world. People with fair credit scores have graduated past secured credit cards, but still don’t have the choice of credit cards that those with good credit have. But there are several good card options if you’re stuck in the middle. Here are the Nerds’ top three rewards credit cards for fair credit.

Barclaycard® Rewards MasterCard®: Best for bonus rewards on everyday purchases

The Barclaycard® Rewards MasterCard® offers 2 points on every $1 spent on gas, grocery and utility purchases and 1 point on every $1 spent on everything else. Points can be redeemed for anything, you use them like cash to cover purchases you’ve made, provided those purchases have been made in the last 30 days and cost $25 or more.

Barclaycard® Rewards MasterCard®
Apply Now on Barclays's secure website starstarstarstarhalfstar	No annual fee Earn 2 points per $1 on gas, grocery, and utility purchases and 1 point per $1 everywhere else Use the points you earn like cash to pay for almost any purchases you've made. No redemption fees, no limit on the points you can earn and no complicated set up. Reports to all 3 major credit bureaus monthly providing you the opportunity to rebuild your credit score Complimentary FICO® Credit Scores as a benefit to active cardmembers. Opt-in to have instant and convenient access to FICO® Scores from your Barclaycard online account.		thumbsupPros Qualify with average credit No annual fee thumbsdownCons High APR

Annual Fee	Signup Bonus	APR , Variable*	APR Promotions
$0	None - after first purchase	Min APR: 24.99%	Purchase: None Transfer: None

NFL Extra Points Credit Card: Best for football fans or cardholders who need a balance transfer

The NFL Extra Points Credit Card offers 2 points on every dollar spent on NFL or team purchases — such as tickets and team merchandise — and 1 point on every dollar spent elsewhere. There’s also a signup bonus: Earn 10,000 bonus points after $500 in purchases in the first 90 days, enough to redeem for a $100 cash back statement credit. Points can be redeemed for VIP NFL experiences, game tickets or cash back.

Football fans will enjoy 20% off every purchase at NFLShop.com. Your card design will feature the colors and logo of your favorite team — all 32 teams are available. You’ll also receive an introductory APR of 0% on ticket purchases for the first six months.

While the NFL Extra Points Credit Card seems like it’s exclusively for football fanatics, it’s a great card for anyone with average credit. The card boasts an introductory APR of 0% for 15 months on balance transfers made in the first 45 days and an annual fee of $0.

NFL Extra Points Credit Card
Apply Now on Barclays's secure website starstarstarstarstar	Earn 10,000 bonus points after $500 in purchases in the first 90 days, enough to redeem for a $100 cash back statement credit 0% promotional APR for 6 months on ALL ticket purchases from a team ticket office. After that, a variable APR currently 14.99%, 19.99% or 24.99%, based on your credit worthiness Earn 2 points per $1 on NFL or team purchases - game tickets, in-stadium and at team Pro Shops - and 1 point per $1 on all other purchases 20% off every purchase at NFLShop.com - that's $20 off every $100 you spend Redeem points for VIP NFL experiences, game tickets or 1% cash back statement credits beginning at 2,500 points for a $25 statement credit All 32 team cards are available, customized with your favorite team's colors and logo 0% introductory APR for 15 months on balance transfers made within 45 days of account opening. After that a variable APR, currently 14.99%, 19.99% or 24.99%, based on your creditworthiness		thumbsupPros Qualify with average credit No annual fee 0% for 15 mos on transfers

Annual Fee	Signup Bonus	APR , Variable*	APR Promotions
$0	Earn 10,000 bonus points after $500 in purchases in the first 90 days, enough to redeem for a $100 cash back statement credit	14.99%, 19.99% or 24.99%* Variable	0% on balance transfers for 15 months (must be completed within first 45 days of account opening)

Capital One® QuicksilverOne® Cash Rewards Credit Card: Best for straightforward rewards

The Capital One® QuicksilverOne® Cash Rewards Credit Card offers 1.5% rewards on every purchase. You can redeem your rewards for cash back in any amount, at any time. There’s no need to opt in to rewards or keep track of rotating quarterly categories.

The Capital One® QuicksilverOne® Cash Rewards Credit Card has an annual fee of $39, which will be negated after spending $2,600 per year. It boasts an introductory APR offer of 0% on purchases and balance transfers until September 2015, and then the ongoing APR of 22.9% (Variable).

Capital One® QuicksilverOne® Cash Rewards Credit Card
Apply Now on Capital One's secure website starstarstarhalfstar	Earn unlimited 1.5% cash back on every purchase, every day No rotating categories and no sign ups needed to earn cash rewards Redeem the cash back you earn for any amount, any time Cash back doesn't expire and there's no limit to how much you can earn 0% intro APR on purchases until September 2015; 22.9% variable APR after that Get access to a higher credit line after making your first 5 monthly payments on time Fraud coverage if your card is ever lost or stolen Get free access to your credit score and learn how everyday decisions can affect your score using Capital One® Credit Tracker		thumbsupPros Qualify with average credit High rewards rate 0% for 9 mos on transfers No foreign transaction fee thumbsdownCons Has annual fee

Annual Fee	Signup Bonus	APR , Variable*	APR Promotions
$39	Earn unlimited 1.5% cash back on every purchase, every day.	22.9% (Variable)	0% on purchases and balance transfers until September 2015

Bottom line: Fair credit? No problem! With one of these three credit cards, you’ll be able to successfully navigate through the trials and tribulations of being stuck between bad credit and good credit. Use your new card responsibly, and we’re sure you’ll enter the ranks of good credit score holders in no time.

Young man image via Shutterstock

The post Credit Cards for Fair Credit appeared first on NerdWallet Credit Card Blog.

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Apply for a Credit Card in 5 Simple Steps

If you’re ready to apply for a credit card for the first time, you’re in luck. The Nerds have put together a step-by-step guide with everything you need to know to make the most of the experience.

Ready to get started? Let’s dive in.

Step 1: Know how credit cards work

First, it’s important to understand how a credit card works. Unlike a debit card, which immediately deducts funds from your checking account when you swipe, using a credit card requires you to borrow a small sum of money. Every time you run it, you’re essentially taking out a miniature loan from the bank that issued you the card. At the end of the month, you have to pay that loan back.

But unlike other loans, which require you to make a hefty payment of pre-determined amount of money every month, your issuer will give you the option to just pay a very small fraction of what you owe. You should not take this option. By only making the minimum payment on your card, you’ll be racking up big interest charges when the rest of your balance rolls over to the next month.

The takeaway? Pay your credit card bill on time and in full every month – no exceptions!

Step 2: Do your research

Apply Now

on Chase's

secure website

Now it’s time to figure out which card is right for you. There are a lot of options on the market these days, so shopping around is essential.

To get started, check out our handy credit card comparison tool. Be sure to scroll down and work through some the questions on the page – they will help guide you to a card that suits your needs.

If you’re looking for a quick recommendation, the Nerds like the Chase Freedom® - $200 Bonus for credit card newbies. With it, you’ll earn 5% cash back in rotating quarterly bonus categories, up to $1,500 spent per quarter. You’ll also earn unlimited 1% cash back on all other purchases.

Historically, the Chase Freedom® - $200 Bonus has featured retailers like Starbucks, gas stations, Amazon, restaurants and department stores as 5% bonus categories, so there’s something for everyone to love. Plus, unlike most other cash-back cards, this one comes with a signup bonus: Get a $200 Bonus after spending $500 on purchases in your first 3 months from account opening.

Given its lucrative and easy-to-use rewards structure and its annual fee of $0, you can’t go wrong with the Chase Freedom® - $200 Bonus as a starter card.

Step 3: Apply for a credit card using an online form

When you’ve selected a card you’re comfortable with, it’s time to move forward with the application. The easiest way to do this online; you’ll simply visit the issuer’s website, find the card you’re interested in and click on its “apply here” link. Or, you can use one of the “apply here” links in a NerdWallet article – we’ll take you directly to the credit card application you need.

Either way, you’ll land on an application form, where you’ll input your personal financial information. Typically, you’ll be asked to provide:

• Your name, address, and phone number


• Your Social Security number


• Bank account information (i.e., whether you have a checking account, savings account, or both)


• Your employment and income details

At the end of the form, you’ll see a copy of the card’s terms and conditions. Be sure to read it over carefully so that you’re sure you’re comfortable with the interest rate, fees, etc. before clicking on “apply.” If you are, feel free to do so. In many cases, you’ll be directed to a new screen almost instantly that will tell you if you’ve been approved or denied.

Step 4: If you get denied, find out why

If you get approved for the credit card you were after, that’s great news. Activate it as soon as it arrives in the mail (after reading over the Card Member Agreement, of course), then you can begin using it responsibly right away.

But if you got denied, it’s important to pick up the phone and find out why. Under the Equal Credit Opportunity Act, lenders are required to explain why your application for credit wasn’t approved. If you couldn’t qualify for the card because of your credit, take steps to start improving it today. Otherwise, you should ask the customer service representative you speak to recommend a product you’re more likely to get approved for.

Step 5: After 6 months, consider applying for a credit card “companion”

Apply Now

on Chase's

secure website

If you’re happy with the credit card you selected, you might want to consider getting a card “companion” for it a few months down the line. Pairing up credit cards to maximize rewards is a smart strategy and will also help you keep your credit utilization low throughout the month by spreading your spending over multiple cards.

Nerd tip : For most folks, waiting about six months between credit card applications is a smart move. Applying for too many cards in too short a timeframe will cause your credit score to dip, because this is interpreted as a signal that you’re in financial trouble.

For example, if you took our advice and got the Chase Freedom® - $200 Bonus, getting the Chase Sapphire Preferred® Card as its companion is a good choice. With it, you’ll earn 2 points for every dollar you spend on travel and dining out, and 1 point per dollar spent on other purchases. Generally, points earned with the Chase Sapphire Preferred® Card are worth $.01 apiece, but if you redeem them for travel through Chase Ultimate Rewards, the value of each goes up by 25%.

You’ll also have the option to transfer your points to participating frequent traveler programs at a 1:1 ratio. If you’re skilled at hacking frequent flyer award charts, this card feature is a big selling point.

And this is also where pairing the Chase Freedom® - $200 Bonus and the Chase Sapphire Preferred® Card comes in. Since you’re earning Ultimate Reward points with the Chase Freedom® - $200 Bonus, you have the option to transfer them to your Chase Sapphire Preferred® Card account and redeem them for travel. You can then do another transfer to the frequent traveler program of your choice and make out like a bandit when you book your next trip.

If that trip happens to take you overseas, the Chase Sapphire Preferred® Card will definitely come in handy. It comes chip-enabled and charges no foreign transaction fees, so swiping abroad will be a breeze.

Finally, the Chase Sapphire Preferred® Card will get you started with a stellar signup bonus: Earn 40,000 bonus points after you spend $4,000 in the first 3 months. It carries an Introductory Annual Fee of $0 the first year, then $95.

With the Nerds’ tips above, you should be in good shape to apply for a credit card today!

---

Woman applying for credit card image via Shutterstock.

The post Apply for a Credit Card in 5 Simple Steps appeared first on NerdWallet Credit Card Blog.

Source Article :http://bit.ly/1zsqvPK

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Apply for a Credit Card in 5 Simple Steps

If you’re ready to apply for a credit card for the first time, you’re in luck. The Nerds have put together a step-by-step guide with everything you need to know to make the most of the experience.

Ready to get started? Let’s dive in.

Step 1: Know how credit cards work

First, it’s important to understand how a credit card works. Unlike a debit card, which immediately deducts funds from your checking account when you swipe, using a credit card requires you to borrow a small sum of money. Every time you run it, you’re essentially taking out a miniature loan from the bank that issued you the card. At the end of the month, you have to pay that loan back.

But unlike other loans, which require you to make a hefty payment of pre-determined amount of money every month, your issuer will give you the option to just pay a very small fraction of what you owe. You should not take this option. By only making the minimum payment on your card, you’ll be racking up big interest charges when the rest of your balance rolls over to the next month.

The takeaway? Pay your credit card bill on time and in full every month – no exceptions!

Step 2: Do your research

Apply Now

on Chase's

secure website

Now it’s time to figure out which card is right for you. There are a lot of options on the market these days, so shopping around is essential.

To get started, check out our handy credit card comparison tool. Be sure to scroll down and work through some the questions on the page – they will help guide you to a card that suits your needs.

If you’re looking for a quick recommendation, the Nerds like the Chase Freedom® - $200 Bonus for credit card newbies. With it, you’ll earn 5% cash back in rotating quarterly bonus categories, up to $1,500 spent per quarter. You’ll also earn unlimited 1% cash back on all other purchases.

Historically, the Chase Freedom® - $200 Bonus has featured retailers like Starbucks, gas stations, Amazon, restaurants and department stores as 5% bonus categories, so there’s something for everyone to love. Plus, unlike most other cash-back cards, this one comes with a signup bonus: Get a $200 Bonus after spending $500 on purchases in your first 3 months from account opening.

Given its lucrative and easy-to-use rewards structure and its annual fee of $0, you can’t go wrong with the Chase Freedom® - $200 Bonus as a starter card.

Step 3: Apply for a credit card using an online form

When you’ve selected a card you’re comfortable with, it’s time to move forward with the application. The easiest way to do this online; you’ll simply visit the issuer’s website, find the card you’re interested in and click on its “apply here” link. Or, you can use one of the “apply here” links in a NerdWallet article – we’ll take you directly to the credit card application you need.

Either way, you’ll land on an application form, where you’ll input your personal financial information. Typically, you’ll be asked to provide:

• Your name, address, and phone number


• Your Social Security number


• Bank account information (i.e., whether you have a checking account, savings account, or both)


• Your employment and income details

At the end of the form, you’ll see a copy of the card’s terms and conditions. Be sure to read it over carefully so that you’re sure you’re comfortable with the interest rate, fees, etc. before clicking on “apply.” If you are, feel free to do so. In many cases, you’ll be directed to a new screen almost instantly that will tell you if you’ve been approved or denied.

Step 4: If you get denied, find out why

If you get approved for the credit card you were after, that’s great news. Activate it as soon as it arrives in the mail (after reading over the Card Member Agreement, of course), then you can begin using it responsibly right away.

But if you got denied, it’s important to pick up the phone and find out why. Under the Equal Credit Opportunity Act, lenders are required to explain why your application for credit wasn’t approved. If you couldn’t qualify for the card because of your credit, take steps to start improving it today. Otherwise, you should ask the customer service representative you speak to recommend a product you’re more likely to get approved for.

Step 5: After 6 months, consider applying for a credit card “companion”

Apply Now

on Chase's

secure website

If you’re happy with the credit card you selected, you might want to consider getting a card “companion” for it a few months down the line. Pairing up credit cards to maximize rewards is a smart strategy and will also help you keep your credit utilization low throughout the month by spreading your spending over multiple cards.

Nerd tip : For most folks, waiting about six months between credit card applications is a smart move. Applying for too many cards in too short a timeframe will cause your credit score to dip, because this is interpreted as a signal that you’re in financial trouble.

For example, if you took our advice and got the Chase Freedom® - $200 Bonus, getting the Chase Sapphire Preferred® Card as its companion is a good choice. With it, you’ll earn 2 points for every dollar you spend on travel and dining out, and 1 point per dollar spent on other purchases. Generally, points earned with the Chase Sapphire Preferred® Card are worth $.01 apiece, but if you redeem them for travel through Chase Ultimate Rewards, the value of each goes up by 25%.

You’ll also have the option to transfer your points to participating frequent traveler programs at a 1:1 ratio. If you’re skilled at hacking frequent flyer award charts, this card feature is a big selling point.

And this is also where pairing the Chase Freedom® - $200 Bonus and the Chase Sapphire Preferred® Card comes in. Since you’re earning Ultimate Reward points with the Chase Freedom® - $200 Bonus, you have the option to transfer them to your Chase Sapphire Preferred® Card account and redeem them for travel. You can then do another transfer to the frequent traveler program of your choice and make out like a bandit when you book your next trip.

If that trip happens to take you overseas, the Chase Sapphire Preferred® Card will definitely come in handy. It comes chip-enabled and charges no foreign transaction fees, so swiping abroad will be a breeze.

Finally, the Chase Sapphire Preferred® Card will get you started with a stellar signup bonus: Earn 40,000 bonus points after you spend $4,000 in the first 3 months. It carries an Introductory Annual Fee of $0 the first year, then $95.

With the Nerds’ tips above, you should be in good shape to apply for a credit card today!

---

Woman applying for credit card image via Shutterstock.

The post Apply for a Credit Card in 5 Simple Steps appeared first on NerdWallet Credit Card Blog.

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Applying for Multiple Credit Cards: 3 Things You Need to Know

Some people think that applying for credit cards is like applying for college—the more applications you send in, the better your chances of getting accepted. But that’s not the case. Creditors get nervous if they see you applying for credit cards en masse. To them, it looks like you have plans to run up a lot of debt, which puts you at a higher risk of defaulting on payments.

Before even thinking about applying for multiple credit cards, here’s what you need to know.

1. Each application counts as a hard inquiry.

When it comes to shopping for loans or mortgages, submitting multiple applications within a few weeks will only show up as one hard inquiry on your credit report. But credit card applications are a whole different story.

Each application counts as one hard inquiry on your credit report and costs you about five points on your credit score, whether you apply for a bunch of cards in the same day or over the course of a few months. With six hard inquiries on your credit report, you’re eight times more likely to default, according to FICO. Since hard inquiries stay on your credit report for two years, it’s best to apply sparingly.

2. With lots of cards, your average length of credit history will go down.

As you get new credit cards, the average length of your credit account history will go down. Your credit history length accounts for 15% of your credit score, so think twice before getting a bunch of cards at once. It could take a few years to bounce back.

3. It might create more problems than it solves.

So you got turned down for the credit card of your dreams. Applying for several cards afterward won’t fix the root of the problem—which is probably your less-than-stellar credit history. It will just make things worse.

If your application was denied, focus on making on-time payments, paying off debt and establishing a good credit history so that your next application will be accepted. If you have bad credit, consider applying for a secured card.

The takeaway: Applying for multiple cards is tempting. But hard inquiries stay on your credit report for two years and can make it harder to apply for other kinds of credit down the line. It’s better to take it slow, do your research and apply to one card at a time.

---

Image of too many applications via Shutterstock.

The post Applying for Multiple Credit Cards: 3 Things You Need to Know appeared first on NerdWallet Credit Card Blog.

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Applying for Multiple Credit Cards: 3 Things You Need to Know

Some people think that applying for credit cards is like applying for college—the more applications you send in, the better your chances of getting accepted. But that’s not the case. Creditors get nervous if they see you applying for credit cards en masse. To them, it looks like you have plans to run up a lot of debt, which puts you at a higher risk of defaulting on payments.

Before even thinking about applying for multiple credit cards, here’s what you need to know.

1. Each application counts as a hard inquiry.

When it comes to shopping for loans or mortgages, submitting multiple applications within a few weeks will only show up as one hard inquiry on your credit report. But credit card applications are a whole different story.

Each application counts as one hard inquiry on your credit report and costs you about five points on your credit score, whether you apply for a bunch of cards in the same day or over the course of a few months. With six hard inquiries on your credit report, you’re eight times more likely to default, according to FICO. Since hard inquiries stay on your credit report for two years, it’s best to apply sparingly.

2. With lots of cards, your average length of credit history will go down.

As you get new credit cards, the average length of your credit account history will go down. Your credit history length accounts for 15% of your credit score, so think twice before getting a bunch of cards at once. It could take a few years to bounce back.

3. It might create more problems than it solves.

So you got turned down for the credit card of your dreams. Applying for several cards afterward won’t fix the root of the problem—which is probably your less-than-stellar credit history. It will just make things worse.

If your application was denied, focus on making on-time payments, paying off debt and establishing a good credit history so that your next application will be accepted. If you have bad credit, consider applying for a secured card.

The takeaway: Applying for multiple cards is tempting. But hard inquiries stay on your credit report for two years and can make it harder to apply for other kinds of credit down the line. It’s better to take it slow, do your research and apply to one card at a time.

---

Image of too many applications via Shutterstock.

The post Applying for Multiple Credit Cards: 3 Things You Need to Know appeared first on NerdWallet Credit Card Blog.

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5 Benefits of Good Credit

There’s no way around it: Having good credit is important. We hear as much from parents, colleagues and, sometimes, complete strangers. A stellar credit history shows potential lenders that you’re likely to repay loans in full and on time, which can help you lock in better rates on car loans, mortgages and other financial products. What’s more, it’s worth noting that the advantages of strong credit extend far beyond receiving good rates on loans. Here’s a closer look at the benefits of good credit.

Qualify for excellent credit card deals

A strong credit history will help you qualify for the best credit cards, which include low interest rates, rewards and cash back. As well as helping you save money while providing you with a wide range of perks, these factors will encourage you to keep using your credit card, which will boost your credit score if you continue to make payments when they’re due.

Improve chances of landing an apartment

Much like a potential lender, your landlord will want to determine your financial trustworthiness by taking a look at your credit score. This gives him or her better insight into how likely it is that you’re going to pay your rent on time every month. If that three-digit number is too low for your landlord’s liking, procuring your dream apartment may become difficult. Even if you’re able to get an apartment with a bad credit score, your landlord may increase the security deposit or request a co-signer on the lease.

Receive better car insurance rates

In order to predict potential losses on customers, some car insurance companies factor in credit scores when determining the price of monthly premiums. The better your credit score, the better your shot of receiving a reasonable deal. You may be turned down altogether if your credit score is too low.

Lock in utility services

Before taking you on as a customer, a utility company might look at your credit report to get a better sense of your payment history. If your credit history isn’t up to snuff, the utility company may require you to pay a deposit or ask for a so-called letter of guarantee in which a friend or family member agrees to pay your bill if you fail to.

Get a job

Though they have to get your permission beforehand, some employers will request to see your credit report as part of your job application. Red flags like past bankruptcies or frequent late payments may make them reluctant to extend you a job offer, as they may worry that these financial struggles will distract you from the demands of the job.

Because the effects of good credit can be felt in so many parts of your life, it’s important to do what you can to boost your credit score. Paying your credit card bills in full and on time is a great place to start, and will set you up for success as you apply for jobs, apartments and insurance coverage.

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Reduce Credit Card Debt with These 6 Tips

Having more than $15,000 in credit card debt is a lot, but it’s about average for U.S. households, according to NerdWallet analysis. Carrying this, or any amount of credit card debt, from month to month can be overwhelming and disastrous to your credit score. Paying off this debt is possible, but it takes focused determination and smart budgeting.

Before you start sending the credit card company a stack of money each month, sit down with all of your account information and total your credit card debt. That goes for all credit cards, including store cards and gas cards. Take a look at your balances, interest rates and minimum payments due.

1. Make a plan. If you have an end date in mind (the date by which you’d like to have all zero balances), use the NerdWallet payoff calculator to determine just how much you’ll have to pay each month. This tool is also great for illustrating just how fruitless it can be to pay only your minimum payment every month.


2. Consider a balance transfer. Credit card companies often offer balance transfer credit cards with 0% APR for an introductory period of up to 18 months. If you’re paying 19% interest on a high balance, cutting this interest could save you hundreds of dollars. NerdWallet’s most recent roundup of balance transfer cards will help you find the one that works best for you.


3. Stop spending. The more you add to your credit card balance, the more difficult it will be to reduce your credit card debt. So, stop spending. If you don’t have cash, don’t make the purchase.


4. Look for places to save. Find places to cut expenses and direct those savings to your debt. Maybe you can go without cable television for a few months, or perhaps you can reduce your restaurant budget to only one meal out per month. Cutting back on the things you enjoy can have double the benefits: reducing your spending and giving you incentive to pay off your debt.


5. Look for opportunities to earn. Maybe you can take on a part-time job for a few months or earn some cash on the side doing freelance projects. If you’ve made your household finances work without a part-time gig, all of the money earned here can go toward paying off your credit card debt.


6. Be flexible. You didn’t rack up your credit card debt overnight, and it may take much longer to pay it off. If you make a plan to put $400 on your balance every month, but have a tough month, don’t feel bad about cutting that payment to $350 (as long as you always make at least the minimum payment). Just pick it back up the following month (or earlier) with renewed dedication to getting debt-free.

---

Man carrying a heavy box image via Shutterstock.

The post Reduce Credit Card Debt with These 6 Tips appeared first on NerdWallet Credit Card Blog.

Source Article http://ift.tt/1y39EC7

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Will My Spouse’s Debt Hurt My Good Credit?

Handling finances within a marriage can either be a piece of cake or seem complicated and complex, especially if your spouse’s credit isn’t as healthy as yours. You may be asking yourself if your spouse’s debt will hurt your good credit.

If you’ve already tied the knot or are thinking of getting married, you should know a few things. Marriage itself does not affect your good credit or your individual credit report, according to credit reporting agencies like Experian. In fact, you will always have a separate credit report from your spouse. Even if you change your last name, your good credit will still exist, since credit scores and reports are based on your personal Social Security number.

Your spouse’s credit, in turn, will not instantly improve just because of your married relationship.

However, your good credit has the potential to become damaged when and if you and your spouse commingle your credit.

For example, if you become a joint cardholder on any one of your spouse’s existing credit cards, late payments and delinquency will reflect on your credit report. When you agree to become a joint cardholder, you become responsible for the existing and accrued debt on those cards. If you are simply an authorized user, you are not technically responsible for any of the debt, but late payments will reflect on your credit report.

The same is true if you and your spouse apply and take advantage of offers for credit cards for people with good credit. If you apply for a credit card with your spouse and are approved, reports for that credit card will appear on both your credit reports, negative or positive.

Your good credit can also be damaged if you and your spouse cosign on a loan for a car or even for a mortgage. Simply applying together will not have an affect on your credit, though your spouse’s poor credit could win you a higher interest rate or even a decline stamp. However, if you are approved, your good credit could take a hit if you or your spouse make a late payment on the loan for which you were both approved.

If you are set on combining your credit without giving up your ability to apply for credit cards for people with good credit, one option would be adding your spouse as an authorized user to your existing credit cards or new ones. Every time you pay on time, your spouse’s credit will improve.

Many financial advisors, however, recommend that to protect your credit, you keep your credit separate from your spouse’s at least until your spouse’s credit record improves. It is also recommended that you and your spouse sit down and review your credit reports and scores annually.

---

Wedding bands image via Shutterstock.

The post Will My Spouse’s Debt Hurt My Good Credit? appeared first on NerdWallet Credit Card Blog.

Source Article http://ift.tt/1y39EC7

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Gas Cards and Bad Credit: How They Help, How They Can Hurt

If you have poor or no credit but still want a credit card that earns you solid rewards on gas spending, your options will likely be limited to a bad-credit credit card or a gas station card.

While these cards tend to offer fewer rewards, higher interest rates, and annual fees than traditional cards do, they may still be a wise choice, as they can help you rebuild your credit while earning some cash back on fuel purchases.

What is a gas rewards credit card?

A gas credit card rewards you for every purchase you make at the pump. For example, a company may offer a 2% cash-back bonus every time you swipe the card to pay for gas, so by spending $200 a month at the pump, your savings would equal $4. If you commute for work or travel a lot, a gas rewards card can make a whole lot of sense.

A gas credit card from an actual gas station is a little different. BP, Exxon and Shell all offer their own gas cards, but to get rewards, you are limited to using the cards at their stations. In addition, the interest rate charged on these cards tends to be higher than for regular credit cards, and you can often get the same rewards or better with more flexibility by using a regular gas credit card.

Choosing a gas credit card for bad credit

You have to be careful when looking at gas credit cards’ annual percentage rate (APR).

For example, say a card comes with unlimited 1% cash back gas rewards and no limit to the rewards you can earn, and you can qualify with limited or bad credit. However, the card also comes with a $99 annual fee and an APR between 17.9% and 23.9%, depending on your creditworthiness.

In this case, getting the card might only make sense if you expect to spend enough on gas to outweigh the annual fee. For this to happen, you’d have to spend a whopping $10,000 a year on gas ($100 in rewards at 1%). In addition, you really can’t carry a balance on the card, as the interest costs would outweigh any of the rewards you receive.

Another thing to keep in mind: Some gas stations charge more if you use a credit card instead of cash at the pump. Even if the difference is a mere five cents per gallon, the additional cost will likely still outweigh any rewards you receive from you gas credit card. So try to fill up at a station that offers gas for the same price, cash or credit, as long as it’s a reasonable price compared to other stations.

Why a bad-credit credit card can make sense

If you have poor credit or no credit history at all, it may still be worth signing up for a gas credit card for poor credit, even if the card comes with high interest costs and fees.

By signing up for such a card, using it and paying it off on time each month and maintaining a low balance on the card, you can improve your FICO credit score, since your payment history is sent to the major credit bureaus.

Credit cards also come with numerous fraud and security features that debit cards don’t offer, which makes them safer to use at the pump. For example, credit cards offer zero fraud liability for unauthorized transactions, which means you won’t be held responsible for any unauthorized or fraudulent transactions.

Finally, keep in mind that you only get charged interest on your card if you carry a balance. So the 20% APR you read about will actually be 0% if you pay off your balance in full each month.

Bad-credit credit cards hurt you if you carry a high balance, but you can avoid paying any interest and improve your FICO credit score by paying off the balance in full each month, while also earning some decent rewards for your gas spending.

---

Gas pump image via Shutterstock.

The post Gas Cards and Bad Credit: How They Help, How They Can Hurt appeared first on NerdWallet Credit Card Blog.

Source Article http://ift.tt/1y39EC7

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5 Benefits of Good Credit

There’s no way around it: Having good credit is important. We hear as much from parents, colleagues and, sometimes, complete strangers. A stellar credit history shows potential lenders that you’re likely to repay loans in full and on time, which can help you lock in better rates on car loans, mortgages and other financial products. What’s more, it’s worth noting that the advantages of strong credit extend far beyond receiving good rates on loans. Here’s a closer look at the benefits of good credit.

Qualify for excellent credit card deals

A strong credit history will help you qualify for the best credit cards, which include low interest rates, rewards and cash back. As well as helping you save money while providing you with a wide range of perks, these factors will encourage you to keep using your credit card, which will boost your credit score if you continue to make payments when they’re due.

Improve chances of landing an apartment

Much like a potential lender, your landlord will want to determine your financial trustworthiness by taking a look at your credit score. This gives him or her better insight into how likely it is that you’re going to pay your rent on time every month. If that three-digit number is too low for your landlord’s liking, procuring your dream apartment may become difficult. Even if you’re able to get an apartment with a bad credit score, your landlord may increase the security deposit or request a co-signer on the lease.

Receive better car insurance rates

In order to predict potential losses on customers, some car insurance companies factor in credit scores when determining the price of monthly premiums. The better your credit score, the better your shot of receiving a reasonable deal. You may be turned down altogether if your credit score is too low.

Lock in utility services

Before taking you on as a customer, a utility company might look at your credit report to get a better sense of your payment history. If your credit history isn’t up to snuff, the utility company may require you to pay a deposit or ask for a so-called letter of guarantee in which a friend or family member agrees to pay your bill if you fail to.

Get a job

Though they have to get your permission beforehand, some employers will request to see your credit report as part of your job application. Red flags like past bankruptcies or frequent late payments may make them reluctant to extend you a job offer, as they may worry that these financial struggles will distract you from the demands of the job.

Because the effects of good credit can be felt in so many parts of your life, it’s important to do what you can to boost your credit score. Paying your credit card bills in full and on time is a great place to start, and will set you up for success as you apply for jobs, apartments and insurance coverage.

---

Couple renting an apartment image via Shutterstock.

The post 5 Benefits of Good Credit appeared first on NerdWallet Credit Card Blog.

Source Article :http://bit.ly/1Afvent

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Reduce Credit Card Debt with These 6 Tips

Having more than $15,000 in credit card debt is a lot, but it’s about average for U.S. households, according to NerdWallet analysis. Carrying this, or any amount of credit card debt, from month to month can be overwhelming and disastrous to your credit score. Paying off this debt is possible, but it takes focused determination and smart budgeting.

Before you start sending the credit card company a stack of money each month, sit down with all of your account information and total your credit card debt. That goes for all credit cards, including store cards and gas cards. Take a look at your balances, interest rates and minimum payments due.

1. Make a plan. If you have an end date in mind (the date by which you’d like to have all zero balances), use the NerdWallet payoff calculator to determine just how much you’ll have to pay each month. This tool is also great for illustrating just how fruitless it can be to pay only your minimum payment every month.


2. Consider a balance transfer. Credit card companies often offer balance transfer credit cards with 0% APR for an introductory period of up to 18 months. If you’re paying 19% interest on a high balance, cutting this interest could save you hundreds of dollars. NerdWallet’s most recent roundup of balance transfer cards will help you find the one that works best for you.


3. Stop spending. The more you add to your credit card balance, the more difficult it will be to reduce your credit card debt. So, stop spending. If you don’t have cash, don’t make the purchase.


4. Look for places to save. Find places to cut expenses and direct those savings to your debt. Maybe you can go without cable television for a few months, or perhaps you can reduce your restaurant budget to only one meal out per month. Cutting back on the things you enjoy can have double the benefits: reducing your spending and giving you incentive to pay off your debt.


5. Look for opportunities to earn. Maybe you can take on a part-time job for a few months or earn some cash on the side doing freelance projects. If you’ve made your household finances work without a part-time gig, all of the money earned here can go toward paying off your credit card debt.


6. Be flexible. You didn’t rack up your credit card debt overnight, and it may take much longer to pay it off. If you make a plan to put $400 on your balance every month, but have a tough month, don’t feel bad about cutting that payment to $350 (as long as you always make at least the minimum payment). Just pick it back up the following month (or earlier) with renewed dedication to getting debt-free.

---

Man carrying a heavy box image via Shutterstock.

The post Reduce Credit Card Debt with These 6 Tips appeared first on NerdWallet Credit Card Blog.

Source Article :http://bit.ly/1AfvfHZ

Read More

Will My Spouse’s Debt Hurt My Good Credit?

Handling finances within a marriage can either be a piece of cake or seem complicated and complex, especially if your spouse’s credit isn’t as healthy as yours. You may be asking yourself if your spouse’s debt will hurt your good credit.

If you’ve already tied the knot or are thinking of getting married, you should know a few things. Marriage itself does not affect your good credit or your individual credit report, according to credit reporting agencies like Experian. In fact, you will always have a separate credit report from your spouse. Even if you change your last name, your good credit will still exist, since credit scores and reports are based on your personal Social Security number.

Your spouse’s credit, in turn, will not instantly improve just because of your married relationship.

However, your good credit has the potential to become damaged when and if you and your spouse commingle your credit.

For example, if you become a joint cardholder on any one of your spouse’s existing credit cards, late payments and delinquency will reflect on your credit report. When you agree to become a joint cardholder, you become responsible for the existing and accrued debt on those cards. If you are simply an authorized user, you are not technically responsible for any of the debt, but late payments will reflect on your credit report.

The same is true if you and your spouse apply and take advantage of offers for credit cards for people with good credit. If you apply for a credit card with your spouse and are approved, reports for that credit card will appear on both your credit reports, negative or positive.

Your good credit can also be damaged if you and your spouse cosign on a loan for a car or even for a mortgage. Simply applying together will not have an affect on your credit, though your spouse’s poor credit could win you a higher interest rate or even a decline stamp. However, if you are approved, your good credit could take a hit if you or your spouse make a late payment on the loan for which you were both approved.

If you are set on combining your credit without giving up your ability to apply for credit cards for people with good credit, one option would be adding your spouse as an authorized user to your existing credit cards or new ones. Every time you pay on time, your spouse’s credit will improve.

Many financial advisors, however, recommend that to protect your credit, you keep your credit separate from your spouse’s at least until your spouse’s credit record improves. It is also recommended that you and your spouse sit down and review your credit reports and scores annually.

---

Wedding bands image via Shutterstock.

The post Will My Spouse’s Debt Hurt My Good Credit? appeared first on NerdWallet Credit Card Blog.

Source Article :http://bit.ly/1wAt9mC

Read More

Gas Cards and Bad Credit: How They Help, How They Can Hurt

If you have poor or no credit but still want a credit card that earns you solid rewards on gas spending, your options will likely be limited to a bad-credit credit card or a gas station card.

While these cards tend to offer fewer rewards, higher interest rates, and annual fees than traditional cards do, they may still be a wise choice, as they can help you rebuild your credit while earning some cash back on fuel purchases.

What is a gas rewards credit card?

A gas credit card rewards you for every purchase you make at the pump. For example, a company may offer a 2% cash-back bonus every time you swipe the card to pay for gas, so by spending $200 a month at the pump, your savings would equal $4. If you commute for work or travel a lot, a gas rewards card can make a whole lot of sense.

A gas credit card from an actual gas station is a little different. BP, Exxon and Shell all offer their own gas cards, but to get rewards, you are limited to using the cards at their stations. In addition, the interest rate charged on these cards tends to be higher than for regular credit cards, and you can often get the same rewards or better with more flexibility by using a regular gas credit card.

Choosing a gas credit card for bad credit

You have to be careful when looking at gas credit cards’ annual percentage rate (APR).

For example, say a card comes with unlimited 1% cash back gas rewards and no limit to the rewards you can earn, and you can qualify with limited or bad credit. However, the card also comes with a $99 annual fee and an APR between 17.9% and 23.9%, depending on your creditworthiness.

In this case, getting the card might only make sense if you expect to spend enough on gas to outweigh the annual fee. For this to happen, you’d have to spend a whopping $10,000 a year on gas ($100 in rewards at 1%). In addition, you really can’t carry a balance on the card, as the interest costs would outweigh any of the rewards you receive.

Another thing to keep in mind: Some gas stations charge more if you use a credit card instead of cash at the pump. Even if the difference is a mere five cents per gallon, the additional cost will likely still outweigh any rewards you receive from you gas credit card. So try to fill up at a station that offers gas for the same price, cash or credit, as long as it’s a reasonable price compared to other stations.

Why a bad-credit credit card can make sense

If you have poor credit or no credit history at all, it may still be worth signing up for a gas credit card for poor credit, even if the card comes with high interest costs and fees.

By signing up for such a card, using it and paying it off on time each month and maintaining a low balance on the card, you can improve your FICO credit score, since your payment history is sent to the major credit bureaus.

Credit cards also come with numerous fraud and security features that debit cards don’t offer, which makes them safer to use at the pump. For example, credit cards offer zero fraud liability for unauthorized transactions, which means you won’t be held responsible for any unauthorized or fraudulent transactions.

Finally, keep in mind that you only get charged interest on your card if you carry a balance. So the 20% APR you read about will actually be 0% if you pay off your balance in full each month.

Bad-credit credit cards hurt you if you carry a high balance, but you can avoid paying any interest and improve your FICO credit score by paying off the balance in full each month, while also earning some decent rewards for your gas spending.

---

Gas pump image via Shutterstock.

The post Gas Cards and Bad Credit: How They Help, How They Can Hurt appeared first on NerdWallet Credit Card Blog.

Source Article :http://bit.ly/1wAt9ms

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5 Sources of Credit Card Stress — and How to Get Past Them

We live in a hectic world, and the last thing most of us need is one more thing stressing us out. But the truth is that a lot of everyday items and situations could be sources of anxiety — including your trusty credit card.

Luckily, there are easy ways to deal with tension caused by your plastic. Take a look at five common sources of credit card stress below, and our tips for getting past them.

1. You charged more than you can afford to pay off in one month

Overspending with credit cards happens to everyone from time to time. If you got slammed with a bill you don’t have the funds to pay off in full, you have a few options for avoiding interest charges:

• Use savings to pay it off.


• Rework your budget to accommodate the bill.


• Transfer the balance to a 0% card.

But only do the transfer if it’s a really big balance that would take longer than six months to pay off — otherwise, the balance transfer fee you’d pay probably isn’t worth it.

In the future, be sure to track your spending carefully to avoid a larger-than-expected bill.

2. You missed your payment due date

Forgetting to pay a bill on time can be embarrassing, but the first thing you should do if this happens is call up your issuer. Apologize for missing the due date and make arrangements for the payment — if this is your first offense and you’re only a few days late, they might even be willing to waive the late fee.

If you’re more than 30 days past due, there’s the possibility your late payment has already been reported to the three major credit bureaus. If so, don’t panic — pay what you owe (including interest and fees), and make it a priority to pay on time in the future. The mark will stay on your credit report for up to seven years, but as long as you keep making responsible moves, its effect on your credit score will lessen over time.

In the future, set calendar reminders for your due dates, or sign up to get text or e-mail alerts from your issuer when a payment is due.

3. You got hit with an unexpected fee

The CARD Act of 2009 went far in helping reduce unfair or unexpected credit card fees. But they do still happen. If a fee you weren’t expecting shows up on your credit card statement, it’s best to get in touch with your issuer for an explanation. There’s always the possibility you were charged the fee in error, which is why looking over your credit card statement carefully every month is key.

Assuming the fee is no mistake, you should explain to your issuer that you didn’t anticipate the charge; they might be willing to reverse it this one time. Either way, be sure to ask for a clear explanation of how it can be avoided in the future, and call this one a lesson learned.

4. Your card was involved in a data breach

If you recently shopped at a store that was involved in a breach, take a deep breath and relax — it’s possible that your data didn’t make it into the hands of criminals at all.

The best thing you can do is monitor your credit card account and await further instructions from your issuer. They may decide not to take any action, but if they feel your account is at risk, they’ll notify you about canceling your card. In this case, simply follow their directions and wait for your new card to arrive.

On the other hand, if you spot a sketchy transaction on your account, be sure to get in touch with your issuer immediately. They’ll likely cancel your card, and, according to the terms of the Fair Credit Billing Act (FCBA), you won’t be responsible for the fraudulent charge since it happened while the card was in your possession. Phew!

5. You got hit with an unauthorized charge

Speaking of unauthorized charges, this is another stressor your credit card could cause. If a charge you didn’t make shows up on your online account or statement, again, it’s important to notify your issuer right away. They may take some time to investigate, but keep in mind that the FCBA limits your liability for unauthorized charges to $50.

What’s more, that liability drops to $0 if the fraud happens while the card is in your possession, or you report the theft of your card before any charges are made. Plus, most credit card issuers have $0 fraud liability policies, so the chances that you’ll have to pay anything are slim.

It might be a little bit of a hassle to untangle, but just keep reminding yourself that an unauthorized charge isn’t your fault and you likely won’t be out any money in the end. That should bring some needed peace of mind!

Stressed woman image via Shutterstock

The post 5 Sources of Credit Card Stress — and How to Get Past Them appeared first on NerdWallet Credit Card Blog.

Source Article http://ift.tt/1y39EC7

Read More

5 Sources of Credit Card Stress — and How to Get Past Them

We live in a hectic world, and the last thing most of us need is one more thing stressing us out. But the truth is that a lot of everyday items and situations could be sources of anxiety — including your trusty credit card.

Luckily, there are easy ways to deal with tension caused by your plastic. Take a look at five common sources of credit card stress below, and our tips for getting past them.

1. You charged more than you can afford to pay off in one month

Overspending with credit cards happens to everyone from time to time. If you got slammed with a bill you don’t have the funds to pay off in full, you have a few options for avoiding interest charges:

• Use savings to pay it off.


• Rework your budget to accommodate the bill.


• Transfer the balance to a 0% card.

But only do the transfer if it’s a really big balance that would take longer than six months to pay off — otherwise, the balance transfer fee you’d pay probably isn’t worth it.

In the future, be sure to track your spending carefully to avoid a larger-than-expected bill.

2. You missed your payment due date

Forgetting to pay a bill on time can be embarrassing, but the first thing you should do if this happens is call up your issuer. Apologize for missing the due date and make arrangements for the payment — if this is your first offense and you’re only a few days late, they might even be willing to waive the late fee.

If you’re more than 30 days past due, there’s the possibility your late payment has already been reported to the three major credit bureaus. If so, don’t panic — pay what you owe (including interest and fees), and make it a priority to pay on time in the future. The mark will stay on your credit report for up to seven years, but as long as you keep making responsible moves, its effect on your credit score will lessen over time.

In the future, set calendar reminders for your due dates, or sign up to get text or e-mail alerts from your issuer when a payment is due.

3. You got hit with an unexpected fee

The CARD Act of 2009 went far in helping reduce unfair or unexpected credit card fees. But they do still happen. If a fee you weren’t expecting shows up on your credit card statement, it’s best to get in touch with your issuer for an explanation. There’s always the possibility you were charged the fee in error, which is why looking over your credit card statement carefully every month is key.

Assuming the fee is no mistake, you should explain to your issuer that you didn’t anticipate the charge; they might be willing to reverse it this one time. Either way, be sure to ask for a clear explanation of how it can be avoided in the future, and call this one a lesson learned.

4. Your card was involved in a data breach

If you recently shopped at a store that was involved in a breach, take a deep breath and relax — it’s possible that your data didn’t make it into the hands of criminals at all.

The best thing you can do is monitor your credit card account and await further instructions from your issuer. They may decide not to take any action, but if they feel your account is at risk, they’ll notify you about canceling your card. In this case, simply follow their directions and wait for your new card to arrive.

On the other hand, if you spot a sketchy transaction on your account, be sure to get in touch with your issuer immediately. They’ll likely cancel your card, and, according to the terms of the Fair Credit Billing Act (FCBA), you won’t be responsible for the fraudulent charge since it happened while the card was in your possession. Phew!

5. You got hit with an unauthorized charge

Speaking of unauthorized charges, this is another stressor your credit card could cause. If a charge you didn’t make shows up on your online account or statement, again, it’s important to notify your issuer right away. They may take some time to investigate, but keep in mind that the FCBA limits your liability for unauthorized charges to $50.

What’s more, that liability drops to $0 if the fraud happens while the card is in your possession, or you report the theft of your card before any charges are made. Plus, most credit card issuers have $0 fraud liability policies, so the chances that you’ll have to pay anything are slim.

It might be a little bit of a hassle to untangle, but just keep reminding yourself that an unauthorized charge isn’t your fault and you likely won’t be out any money in the end. That should bring some needed peace of mind!

Stressed woman image via Shutterstock

The post 5 Sources of Credit Card Stress — and How to Get Past Them appeared first on NerdWallet Credit Card Blog.

Source Article :http://bit.ly/1zptXdR

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NerdWallet’s Sexiest Credit Cards Alive 2014

Contrary to what you might think, Nerds know sexy when we see it. In fact, we’ve done some analysis and put together a list of the sexiest credit cards of 2014.

Like any good beauty contest, our choices are based on a combination of looks and personality – be sure to read about each card’s features below:

Sexiest card for dealing with debt: Chase Slate®

Apply Now

on Chase's

secure website

Making an effort to get rid of credit card debt is a smart and sexy move. If this is one of your goals, the Chase Slate® is here to help. With it, you’ll get 0% on purchases and balance transfers for 15 months, and then the ongoing APR of 12.99%, 17.99%, or 22.99% (V).This means that, if you move your balance onto the card, you’ll have over a year at 0% to pay it down. Talk about an attractive offer!

But what’s more, the Chase Slate® also waives its balance transfer fee for balances transferred within 60 days of opening your account. In addition to its sleek, vertical design, this feature really sets it apart from the crowd. And since it has an annual fee of $0, you can be sure you’re getting a hot deal.

Sexiest card for travel: Chase Sapphire Preferred® Card

Apply Now

on Chase's

secure website

When it comes to design, the Chase Sapphire Preferred® Card is definitely a conversation piece. It’s made of metal, not plastic. This gives it an edgy, sexy feel that many consumers crave.

But again, it’s not all about looks – the Chase Sapphire Preferred® Card brings a lot of other great features to the table. You’ll earn 2 points per dollar spent on dining out and travel and 1 point per dollar spent on all other purchases. Generally, points earned with the Chase Sapphire Preferred® Card are worth $.01 apiece. But if you redeem them for travel through Chase Ultimate Rewards, the value of each goes up by 25%.

Also remember that you have the option to transfer your points to participating frequent traveler programs at a 1:1 ratio. This perk could really spice up your options when it comes time to book your trip.

If you’re planning an overseas getaway, the Chase Sapphire Preferred® Card is a great choice to take along. It comes chip-enabled and charges no foreign transaction fees.

To get started, the Chase Sapphire Preferred® Card provides a signup bonus: Earn 40,000 bonus points after you spend $4,000 in the first 3 months. It charges an Introductory Annual Fee of $0 the first year, then $95. They say that sexy can’t be bought, we think the annual fee is a reasonable price to pay for a card this exciting.

Sexiest card for earning cash back: Citi® Double Cash Card

Apply Now

on Citibank's

secure website

OK, we admit: This card leaves a little to be desired in the looks department. But when you hear about the rewards structure provided by the Citi® Double Cash Card , we think your heart will skip a beat.

With it, you’ll earn 1% cash back on your purchases, then an additional 1% cash back when you pay them off. That’s a sky-high rewards rate, and there’s no limit to the cash back you can earn. Plus, it charges an annual fee of $0*, so it’s an inexpensive card to keep on hand. (We were tempted to call it cheap, but it’s just too classy for that kind of language.)

Sexiest co-branded card: Citi® / AAdvantage® Platinum Select® MasterCard®

Apply Now

on Citibank's

secure website

Deciding on a sexiest co-branded card was tough, but ultimately we’re pretty enamored with the Citi® / AAdvantage® Platinum Select® MasterCard®. Appearance-wise, the card is cheerful – the little airplane on the front is just too cute. We also think the gray background on the card art was a good choice because it’s cool and low-key.

In terms of card features, the Citi® / AAdvantage® Platinum Select® MasterCard®’s are enticing. They include:

• A signup bonus: Earn 50,000 American Airlines AAdvantage® bonus miles and 2 Admirals Club® Passes after making $3,000 in purchases within the first 3 months of account opening*.


• A free checked bag for you and up to 4 travel companions on every American Airlines flight.


• 2 AAdvantage miles for every eligible dollar spent with American Airlines and 1 AAdvantage mile for every dollar spent on other purchases.


• Group 1 boarding on American Airlines flights.


• Get a $100 American Airlines flight discount every year that you spend at least $30,000 on the card.


• Get 10% of your redeemed miles back, up to 10,000 miles per year.


• $95, waived for first 12 months*.

This card is an exciting choice for folks who fly American Airlines frequently – and what’s sexier than racking up enough miles for a little weekend getaway?

Sexiest card for big spenders: Citi Prestige® Card

Apply Now

on Citibank's

secure website

Without question, the Citi Prestige® Card is one of the hottest cards on the market today. Physically, it’s very impressive – a little black dress has nothing on this baby. Plus, we love the bold, teal emblem on the front. It’s just enough to make the card stand out, without being too flashy. Coco Chanel herself couldn’t have done better.

But the card’s features are equally stunning. With it, you’ll earn 3 ThankYou points for every dollar spent on airfare and hotels, 2 ThankYou points for every dollar spent on dining and travel, and 1 ThankYou point for every dollar spent elsewhere. You can use your ThankYou points for everything from merchandise to travel, and remember that this is one of the few Citi cards that allows you to transfer your points to participating frequent traveler programs.

The rewards earning and redemption structure provides a lot of opportunities for cashing in big on spending you’re already doing, but this card’s cachet mostly comes from its fringe benefits. These include:

• Access to a private jet, airport lounges, chauffeured car service, and more.


• 24/7 concierge service to help take care of your shopping, travel, entertainment, and dining needs.


• Access to exclusive events through Citi Private Pass Beyond.

The Citi Prestige® Card also carries a signup bonus: 30,000 ThankYou points when you spend $2,000 within the first 3 months of opening your account. In this case, sexy doesn’t come free – the card’s annual fee is $450. But if it’s a luxe lifestyle you’re craving, you might want to consider coughing up the cash. Remember, it’s partially offset by the card’s annual $250 air travel credit.

So there you have it, folks – the sexiest credit cards of 2014. Now go take a cold shower and consider applying for one of them today!

Blowing a kiss image via Shutterstock

The post NerdWallet’s Sexiest Credit Cards Alive 2014 appeared first on NerdWallet Credit Card Blog.

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