Credit Cards

• Charges on credit cards include: interest Rates, APR, late fees, and over charge fees.
• When applying for credit cards, make sure to compare this charges when making your decision as APR/Interest rates can range from 0%, to a shocking 40%. 
• A lower APR leads to better deals, which means an increase in your purchasing power.

 

• Although it's known for credit cards to be bad, building credit through using a credit card RESPONSIBLY, will really help you out in the long run when purchasing bigger items.

Pros of owning a credit card

-Convenience and easy to use. The card allows for online shopping and saves time when it comes to paying for your item. Customers like them for the feeling they can buy anything, without paying it back.

Cons of owning a credit card

They can become dangerous to people who don't use them responsibly. It can become TOO easy to spend with a credit card, and it will rack up quick. If you are not paying back the company, you will become in bad debt and it will be difficult to get out of it.

There's many ways to apply for a credit card:

• Online (most common)
• Phone
• Go into bank

Make sure when applying for a credit card you compare interest rates, APR, any penalties, and anything else that will affect your AND YOUR MONEY!!!

1. Learn to shop for a credit card with low interest rates and a low APR
2. NEVER overcharge your credit card, it will only lead to future problems
3. Pay back your money you spend to maintain good credit :) 

So how much credit card debt are we actually suffering from? >>>

 http://www.news.com.au/money/money-matters/credit-card-balances-climb-to-50-billion-rba/story-e6frfmd9-1226056550605