Each year, an estimated 10 million Americans are expected to become victims of crimes related to fraud and identity theft. Most often, consumers are not even aware that they had already become a victim of ID theft until their creditors start notifying them about their unpaid debts.
Students are also prone to identity theft and fraud because many young people are careless when it comes to handling their student credit cards. Sometimes students leave their credit cards in dorms where others can easily steal them or copy their account numbers. Some even tend to write down their account numbers and PIN numbers in sheets of paper that can easily get misplaced or stolen.
Whether you’re a student or an adult, what are the steps you can take to protect yourself from identity theft? Consider the following advice and remember to put them into practice:
Don’t throw credit card receipts and billing statements in trash. Be aware that identity thieves also rummage through trash bins in search of precious bank account information. Be sure to shred your bills into very small pieces before throwing them in the trash.
Use your ATM discreetly. When withdrawing cash from your ATM, watch out for people who may be watching behind your back, trying to seize your account numbers or PIN.
Keep your credit card in sight at all times. When paying with your credit cards, don’t let it out of your sight even for just a few moments. Identity thieves may use small “skimming” devices that can copy the important details of your credit card without making it obvious.
Protecting your credit score is a responsibility that must never be neglected. With a high credit score, you can grab more opportunities on your way. You can get better rates when applying for loans and credit cards. If you’re looking for a job or a place to rent, you won’t have any problem with employers or landlords who may doubt your credibility. On the other hand, a low credit score may cause hindrances to your plans. You may get denied with your credit application just because you have a poor credit rating.
Is there a secret to maintaining a high credit score? The fact is, it isn’t too hard to get a high credit rating as long as you know how to manage your finances responsibly. Let us consider these important steps to avoid having a bad score in your report.
Take advantage of the automatic payment system. If you have loans, arrange an automatic payment system that enables your bank to submit your monthly loan payments on time. This way, you can be assured that you’ll never miss a single payment and that your money is efficiently allocated. This is great especially for people who have trouble controlling their spending.
Check your credit report at least twice a year. Personally checking your credit report will ensure that no unauthorized transaction was made in your account and that all your payments were properly reported to the major credit bureaus. Consumers are entitled to receive a free copy of their credit report each year. Obtaining a second copy shouldn’t cost you so much and it’s definitely worth spending for.
Being swamped in debt can really bring stress and emotional pay and sometimes the best way to get through this situation is to seek credit counseling. A credit counseling agency can be a big help for people who are losing control over their finances. What can a credit counseling service do for you?
A credit counselor can negotiate with your creditors for easier repayment terms or reduced monthly payment fees. In some instances, a credit counselor may suggest that the client enroll in a debt repayment plan.
Debt Repayment Plan and Counseling What is a debt repayment plan? A debt repayment plan is when the credit counseling agency distributes the client’s monthly payments to the creditors along with negotiation. As a borrower, you will be submitting your repayments to your credit counseling agency and the agency would be the one to pay off your creditors.
Under a debt repayment plan, debts with the highest interest rates are often paid off first to keep debts from further building up. However, bear in mind that enrolling in a debt repayment plan or debt management plan is not always applicable for everyone. Do you really need a credit counseling agency to do this? OR would it be better to do repayment on your own?
Help, I Need Money! Have you found yourself saying or thinking these very words?True, all of us could face financial crisis at one point or another.And when this need arises, where do you find the appropriate help?Most people turn to commercial loans or bank loans for help rather than borrow from family or friends.True, applying for a loan is often the best option for financial help.In this article, let’s discuss some of the points you must carefully consider before applying for a loan.
What do you need the money for?
First, what is your purpose for getting a loan?Usually, home loans or mortgage loans are obtained before purchasing a home.Others need to get a loan to help them pay off debts from different creditors.This type of loan is known as debt consolidation loan.
If you’re planning to get a loan for debt repayment, it would be wise to consider other possible alternatives first.For instance, have you tried negotiating with your creditors?Talking with creditors and requesting for new repayment terms can help you keep up with your monthly bills more easily.Most lenders are willing to modify or adjust their terms to help a customer recover from debts.If you can work out a new repayment term with your lender, it may not even be necessary for you to apply for a consolidation loan.
What about auto loans?
Are you planning to get a auto loan?If yes, make sure that you’re purchasing a car out of necessity, not luxury.Some people are tempted to get a bigger loan amount so they could purchase the latest model of the vehicle they want.Always consider the consequences.If you can get a car at a lower price, then you can get a reasonable car loan as well.This means repayment of your car loan would also be a lot easier on your part.
If you’re a credit card holder, you should be interested in learning the tricks of cutting down your interest rates. Is it really possible to lower interest rates of your credit card? The answer is yes, if you know the right steps. Here are 5 practical steps to help you cut down those high credit card interest rates.
1.Review your credit card’s terms and conditions. Even if you’ve had that card for a long time, there may be some terms in your contract that you’re not aware of. Does the “universal default” clause apply to your credit card? If yes, your credit card company can increase your interests at any time without warning even if you’re on time in submitting your payments. All it takes is one late payment to any one of your creditors (not necessarily your credit card) and you could be paying more on your next credit card bill. Therefore, it’s important to understand every statement in your credit card agreement so you’ll know exactly how to handle your card.
2.Find out what other credit cards have to offer. Competition among credit card issuers is definitely a good thing. Check out what other credit cards have to offer and you may find one with a better deal. Of course, you’ll want to be careful about choosing and signing up for a new card. Aside from a low interest rate, make sure that the rest of the fees and terms are reasonable.
Listen, you've got bad credit -- it doesn't necessarily mean you have the plague and that you're forever destined to apply for bad credit cards. Of course, it could mean exactly that if you don't take the appropriate steps right away. Here are a few things to keep in mind.
Bad Credit Cards Are The Means To An End
Okay, you've messed up your credit. Don't expect to get a platinum card with a great interest rate. You need to hit the bad credit cards first - the ones with the annual fees and the higher-than-usual finance charges.
It's not the end of the world and you can use these cards to build your credit back up. Once you do that, go ahead and apply for the cards with the better terms. In the meantime, however, bad credit credit cards are all you've got.
You'd Better Change Your Wayward Ways
Those $4 lattes and happy hour runs are going to be a thing of the past till your credit gets in order. If you don't have money to get yourself completely out of debt, you don't have money to be throwing away. The majority of your extra cash needs to go towards paying down your debt. If you don't, you'll be at the mercy of bad credit cards forever.
