Tips for first time credit card applicants

Credit cards are nothing new to Asian consumers. Nowadays, young professionals are constantly being asked to apply for a new credit card. Of course, they will be tempted because they want to get an easy loan through these credit cards. Remember credit card companies just rely heavily on consumers to keep their company strong. Look at it this way, if no one used the credit card companies, there would be no reason for them to be in business. With that said, some credit card companies are willing to reduce your interest rate to retain you as a client. This is a fairly simple process. The first thing you want to do is call a credit card company.

Then you should make a list of all of your household income. If you get rental income, make sure to include it. It is important that you include every dollar of income. Next, you will want to make a list of all of your expenses. I mean all of your expenses from mortgages to auto loans to credit cards to gas, food, day care, reoccurring medical expenses, etc. Make sure to include everything. Also, make a note of what has caused your expenses to increase or your income to decrease.

Once you have written all of this information down, call your credit card company. Tell them about your financial hardship and ask if they have a financial specialist you can talk to. You will then be transferred to the financial hardship department. When speaking to the representative make sure to be very polite and very honest. If you are truly in need, once the results of the analysis come back, you will receive a new interest rate and payment plan. Lower interest rate, however, it is hard for me to give one piece of advice and have it fit everybody’s financial situation to the tee! It just doesn’t work that way. What I can do however is give you a few different ways to reduce your credit card interest rates and allow you to pick which one will best fit your unique financial situation.

Categories: Credit