1. Credit card loss or identity theft, what can owners do about?
Unforeseen, vicious or just clumsy end result of an event, credit cards can turn your day into a frustrating lifetime. So what is to be done if reality strikes again? We suggest grabbing a telephone as soon as possible and reporting the event to those officials who initially issued you the plastic. The reason why to do this is because, they are the only ones who can actually intervene: first what they do is to close the credit card account, in order to prevent further transactions from being charged to the very account. For security reasons, some card companies can ask customers to give a written statement under oath, according to which, it is not their person who actually made the purchase.
Customers outside their country are advised to contact the emergency services provided by the same financial institution that issued the card.
2. What are paramount aspects when applying for a credit card for the first time ?
If the number of queuing credit card companies weren’t confusing enough, each of them ads a bit by promoting several types of its own kind. No financial expert could give a more satisfactory advice than the proverb itself: “A stitch in time saves nine”.
Chose a well promoted bank - with frequent headline appearance and supported by trusted financial experts – and then avoid multiple applications as they could jeopardize the future of your credit card. Take into account that various rejections may qualify you as desperate for a credit.
Don’t jump into an offer if only the main lines were discussed; make sure that you know all the details of a certain credit card as the latter one can play tricks on you later. Essential queries should be like the ones below:
a) Does the card bear an annual fee?
If it does and you are only looking for a low rate card possibility, don’t waste precious money for an annual fee. Although the annual fee is most of the time history - due to competition between banks – in some cases it is worth taking it as very up-to-date. When dealing with a low rate credit card it might be worth the annual fee, depending on the limit imposed by the company. The greater the limit, the lower the temptation to use the money.
b) What is the credit card’s annual percentage rate (APR)?
Practically a customer faces two possibilities: variable or fixed APR.
Most of the cards have a variable APR, so when the index increases, the card rate increases as well; and the same the other way around. The rest allow customers to pay the same percent for quite a while as it does not fluctuate from a month to the other. Still, bear in mind that a fixed rate card offer does not last for an eternity. The only positive thing from all this moment is the issuer’s obligation to announce the customer in written form, 15 days before the new rate is activated.
c) What does the grace period stand for?
Everybody knows about it in general terms, the period between the statement and the time-limit till the payment must be done. The goal of the cardholder is to respect it as no interest is charged, on the other hand the companies’ financial purpose dictates emphasis on customers exceeding this period.
d) What kind of fees does the package include?
You should be curios about this question shortly before taking a final decision for a credit card.
Before the transfer itself, how about you ask your issuing agent about fees? It pays off asking and yet customers become aware of the fee only after they get charged for it.
e) What exactly happens if I exceed the CC limit?
Hope for a merciful treatment without forgetting that the issuing officer can only perform his job if he sticks to internal policy. Either they grant you the transaction in exchange for an extra fee, or they can easily decline it as well.
We have mentioned several times the authority that governs the credit card world. Thus please be very attentive and do not take these lines as axiomatic. Much can change from a day to the other, especially nowadays when we face very delicate financial periods.
FAQ only give an idea about a certain situation; it is undeniable that they reflect a general outline and not the precise answer you wanted to hear in some cases. Official and valid statements are exclusively provided by the originating credit card companies.