How To Avoid Credit Card Penalties

Wednesday, September 5, 2007

It is a sad fact of life that credit card companies are very willing and fast to slap a penalty charge on your account for every mistake, delay and slip up you cause, immediately and without a second thought. These penalty charges can amount to millions of dollars taken from consumers each month. They are a necessary part of all credit card operations and are fair in the sense that it means that customers who do everything correctly and on time are not penalised for the extra work and expense that other customers cause, but what you will want to do is make sure you are not one of the unlucky customers that is paying for these extra expenses.
The best way to avoid these penalties is to look at the entire situation from the point of view of the credit card company. Really, all they want from you is to keep your card safe, to stay within your credit limit, and to make at least your minimum payment, on time every month. If you manage to do these simple tasks you will avoid ever incurring a penalty on your account.
The problem is that it is very easy to slip up on these things. It's not easy at all to keep track of your outstanding balance, especially as we use credit cards for more and more things and companies begin placing holds and other such transactions on customers accounts without them necessarily knowing or understanding about them. Then there is the fact that it is very easy to forget or become late on a payment. Every one has busy periods in their life and sometimes we simply have other more important things on our minds than paying our credit card bill on time. Some people are less organised than others and for them it can be very difficult making sure all their credit cards are paid out in full and on time.
If your card is lost or stolen without any fault on your part, and you call your credit card company as soon as you find out, you will only be liable for a maximum of $50 dollars. And if you manage to let the credit card company know before any thing has been spend on your stolen card you will not be liable for any thing. This is also the rule that applies for identity theft and fraud so you can feel safe using your credit card online. Taking a few simple steps can mean you are virtually never subjected to credit card penalties.
Peter Kenny is a writer for creditcards-gb.co.uk.
For additional articles and an extensive resource for everything about credit cards, please visit us at http://www.creditcards-gb.co.uk and http://www.creditcards2go4.com For credit card advice please visit here http://www.creditcards-gb.co.uk/creditcardadvice.html

Are You Worried About Credit Card Fraud
Are you worried about your credit card or debt card being stolen? You're not alone, it's estimated that 51% of people in the UK are concerned about their credit and debt cards being stolen. Credit card fraud is a consent worry, and with more people using their cards as there main source of paying for services and goods. It gives the criminals many more chances too get information from our cards.
Credit card fraud is not new, the companies seem to be getting a head on how to stop the criminals, and then they come up with a new way it's a never-ending problem. Credit card skimming is just one of the problems, that is where they take the information from the magnetic strip and transfer it on to another card. The companies are trying hard to fight back and they have hit back with the chip & pin card, which seems to be reducing fraud but give it time no doubt the criminals will find a way around that.
There are ways to help yourself with credit and debt card fraud, below are some useful tips in keeping the criminals at bay.
Never let your credit or debt card out of your sight
Never keep your Pin number with your card
Don't give your Pin number out to anyone
When withdrawing money from an ATM machine make sure no one can see your Pin number
Check bank statements very carefully any problems contact bank immediately
Paying for goods with your card double check the amount before entering Pin
Keep chequebook and cards separate at all times
Report your lost or stolen cards immediately
Make sure you destroy statements and old cards properly, leaving no account numbers visible
The tips above will help you to fight credit or debt card fraud but we have to be vigilant at all times. As I said earlier with more people paying for goods and services with there cards, it gives the criminals more opportunities to get our information so it's up to us to do what we can. With online shopping becoming very popular a lot of us worry about paying for goods over the net, credit card companies are trying to put our minds at rest. With most of them giving you extra fraud cover most give this cover free, but some do charge you so just check with your credit card company.
Credit and debt cards are here to stay so lets hope in the near future that the credit card companies, can rid us of credit card fraud but I am afraid it's big business costing us millions every year.
Peter Kenny is a writer for creditcards-gb.co.uk.
For additional articles and an extensive resource for everything about credit cards, please visit us at http://www.creditcards-gb.co.uk and http://www.creditcards2go4.com For credit card advice please visit here http://www.creditcards-gb.co.uk/creditcardadvice.html

Debt Consolidation Loan For Debt Management
Debt management is very important if you borrow on a regular basis. You must keep track of your outstanding loans and their interest. Always make sure that you repay your loans as per the terms and conditions. Never let the unpaid loan balance exceed the original loan amount. If that happens, you will have to pay interest on the principal amount as well as its interest. If the situation goes out of control, it may even lead to bankruptcy.
If you thing that you are unable to manage your debt, then you should go for debt reduction. Close your unused credit card accounts. Having multiple credit cards always makes you spend more. You should stop buying unnecessary items on credit cards. Do not take out personal loans to pay for your daily expenses. The rates of interest on personal loans are very high and you will find it very difficult to repay your personal loans if you obtain them on a regular basis.
Another way to carry out debt reduction is debt consolidation. Debt consolidation helps to reduce the rate of interest on your existing loans. A low rate of interest will allow you to pay small monthly payments. Debt consolidation loan is a loan that you can use to repay all your outstanding loans and credit card dues. A debt consolidation loan helps you to consolidate all your debts into one manageable loan.
If you are a homeowner, you can use your house to obtain a debt consolidation loan. This type of loan is called a secured debt consolidation loan. Secured debt consolidation loans offer several benefits. They carry low rates of interest. Lenders offer flexible repayment terms on secured debt consolidation loans. You can repay your loan over a long period of time. This will allow you to pay small monthly installments. If your house is already mortgaged, you can get a home equity loan to consolidate your debt. Home equity is the value of your house minus the unpaid mortgage balance. You can also obtain a personal debt consolidation loan. However, the high rate of interest on an unsecured personal loan may defeat the very purpose of debt consolidation.
About the author: The author is a business writer specializing in finance and credit products and has written authoritative articles on the finance industry. He has done his masters in Business Administration and is currently assisting Loans-Park as a finance specialist.
For more information visit http://www.loans-park.co.uk