Today there are a number of different credit cards a person can apply for today and no longer is applying for these restricted to those with good credit history. Today even people with poor or bad credit have the right to apply for credit cards if they so wish. Generally the best lenders to apply for such a credit card through especially with poor credit are MasterCard and Visa. But why should someone prefer to choose a poor credit MasterCard over a Visa one?
In most cases these two credit cards are the same as they are generally both accepted by various retail outlets around the world. Although in a lot of cases you will find that the MasterCard is one that more people easily recognize and which is accepted in a lot more places.
But as well as being well recognized both these types of credit cards for people with a poor or bad credit history will be very similar. They will offer the user a lot of the same benefits and the rate of interest that they will charge on them will be much higher than on their normal credit cards. But however if a person chooses to use their MasterCard wisely and ensure that they make the payments on the balance outstanding regularly this will help them improve their credit history and help to reduce the rate of interest they pay on the card in the future.
Yet when you are considering applying for any kind of poor or bad credit, credit card it is important that you carry out as much research as possible before you sign on the dotted line. Today the quickest and easiest way to search for the best possible deals on these kinds of cards is online. Doing it this way you will be able to find quickly and easily those companies who offer a MasterCard credit card to those with either poor or bad history.
When you carry out your research as to which cards are available and which you may be able to apply for there are a number of different ones on offer, below we take a look at some and the benefits that they offer to you.
1. Continental Finance Gold MasterCard
This particular card provides you with the chance of a way to rebuild your credit rating by reporting monthly to the three main credit reporting agencies of how you are dealing with them. As well as this should a person make their payments on time each month and stay within the credit limit they have been provided with they may decide over time to actually increase the amount of credit limit a person has.
2. Orchard Bank Platinum MasterCard
This particular card does not require the applicant to pay any up front fees and will protect all purchases that they may with it. Again as with the Continental Finance poor credit MasterCard this company will provide monthly reports to the main 3 credit reporting agencies with regard to how you are managing your card with them. But the other advantage to particular card is that you pay a much lower annual fee for this particular one compared to others and the APR it charges on the card balance is very competitive as well.
By: Paul Abbey
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Poor Credit Mastercard
April 30th, 2010What Is A Good Credit Score?
April 29th, 2010
If you have ever gone shopping for a new car or made an attempt to purchase a new home then you are probably familiar with your credit score. Even if you haven’t made any type of purchase that required you to obtain a loan or credit due to the amount of money involved you’ve probably still seen or heard the words credit score mentioned on the television or in a business or financial article. The reason for this is because our financial well being in today’s complicated credit/loan society revolves around that very powerful three digit number known as our credit score.
There are many ways to explain what exactly our credit score is, but frankly trying to sort out the scientific and mental calculations involved only serves to give me one big giant financial headache. The main point to remember here is that the credit score determines an individual consumer’s credit worthiness as seen in the eyes of the three main credit score companies or bureaus as they are sometimes called. The score is based on a combination of a consumer’s current credit situation and their previous credit history with many additional mitigating factors.
The three main credit bureaus are Trans Union, Equifax and Experian. Each company has developed (with the Fair Isaacs Company) their own unique method to determine your FICO (credit) score. Don’t be alarmed by this because although each credit bureau has their own method for determining your credit score the numbers remain standardized across all three companies. For instance a 700 with Trans Union is equal to a 700 with Equifax and Experian.
So what exactly constitutes a good credit score? In order to determine that we first need to know the scoring parameters that makes up the scoring scale. As previously mentioned your credit score is influenced by a variety of factors such as outstanding debt, your credit history, the types of credit you current have or use and your payment history. These factors when analyzed form a score that can run anywhere from a low of 375 to a high of 830 or 900 depending on which expert you ask. These numbers generally serve as a guideline that a credit lender can then use to incorporate into their own credit rules that are tailored to their company’s in-house credit program. However generally speaking a credit score higher then 650 has the potential to be considered good credit in most cases. The national average for the FICO credit score varies. I’ve seen it as high as 723 and as low as 676. With that said a consumer with a credit score higher then 700 is considered excellent, a credit score between 601 – 699 is decent and anything less then 600 could probably use a financial makeover in order to raise the credit score.
Keep in mind that these categories could fluctuate depending on the national average and also remember these numbers just represent a guideline for lenders to use when determining your credit worthiness based on the FICO credit score. It’s their in-house line of credit rules and regulations that will ultimately decide if you have a high enough credit score to obtain financing at the most favorable terms offered by their company. Once thing is for sure the higher the credit score number the easier it is to receive credit and the more favorable the repayment terms are as far as interest rates go.
By: Tim Gorman
Build Credit in your Name
April 28th, 2010
If you have delinquent credit and are married, you might want to build your credit in your name instead of using your spouse. Somebody has to have stability. Also if you are divorced and all the credit cards of credit information are in your spouse’s name you will need to reestablish your credit in your name.
Getting your credit reestablished is the first step to repairing your credit. When you obtain your credit report you will see that your spouse’s name is listed on the credit reports. This is because together you and your spouse applied for credit cards, took out car loans or what have you.
This means that you are responsible for your spouse’s account. The advantage is that credit bureaus cannot list the negative accounts against you if you are divorced. Once you have copies of your credit report you will then need to cancel all joint accounts.
If you contact the creditors to resolve the issues on your credit report be sure to ask the creditors to take in consideration your spouse’s credit history. It is important to bring into light your spouse’s credit history when applying for a loan.
Let the lenders know that you are now divorced and starting your own credit line. If you apply for credit cards, be sure the cards are in your name and use them wisely since this helps to rebuild your credit quicker than most sources.
Make sure that you pay minimum balance on the credit card accounts each month to avoid delinquencies. If at all possible when you see that your funds are low; pay your bills rather than making a purchase on your credit card.
Once you bills are paid be sure to make a payment on your credit card. This method not only keeps you out of trouble with other creditors, but offers a solution for repairing your credit. If you can afford to pay your bills each month and use your credit card be sure to only purchase items you need and keep it at a minimal.
If at all possible payoff your credit card balances each month to avoid interest. Interest rates cost an additional hundreds of dollars in the long run, so paying off your dues on time can save you money. If you don’t have credit cards and decide to choose a card be honest on your application and look for the best interest rates available.
If you are in debt it is wise to payoff your dues before applying for a credit card, unless you intend to use the card to get out of debt. If you plan to use the card to get out of debt search for the best interest rates, as well as cards that offer cash back on your spending. There are tips for managing credit cards to repair credit.
It is important that you are consistent with the use of your name. For example, if your name is Robert Leon Swisher Jr., always sign your name accordingly. Do not use your card dishonestly for advantages. Few people believe that lying can get them out of a problem. The truth lying gets you in deeper. If you are filling out an application for credit cards tell the truth. It is important that you understand the timeframe to apply for a credit card. If you are out of work, lived at your resident for less than a year or you have negatives on your credit report, this is not a good time to apply for a credit card.
If you are stable it is always wise to apply with lenders where you have done business with them at a later time. Building your credit after divorce is difficult at times. However it is not an impossible task. It is important that you are aware that most credit card solicitations are gimmicks that only offer you a solution for hanging yourself.
Instead of getting out a rope, it is wise to stay alert, and investigate any credit card offer made available to you. Finally, you want to avoid low introductory rates on credit cards since after about six months the interest rates often hit the roof.
By: Jonathan Cheong
