Credit card companies want to keep their clients happy, and they’ll often be flexible about fees, rewards, and interest rates.
However, if your credit card has high fees, or the cards charge a high interest rate, you should consider switching. For more financial related posts, check out Skrumble website.
Credit card companies like SoFi have very specific fee policies. Make sure that your card offers your best rates, and that you’re getting the maximum benefit out of your credit card.
Overuse of debt
It’s not exactly fair to make some people’s credit cards with higher interest rates, with no sign-up bonus, only to make others’ credit cards with less money and a larger interest rate except, maybe, for those of us who have no choice.
A recent study found that credit card customers who have been using their cards excessively for a long time are far more likely to carry high balances.
Unwillingness to pay off your balances
Your credit card company may have interest rates you don’t want to pay in which case, it may be worth deciding to pull out of your card. (And again, your credit card company should never, ever ask you to pay off your balance.)
It may even be worth trying to default your card and use a lower-interest, lower-rate credit card, so that you can have an open line of credit for anything you need. If you have this mindset, then just imagine how hard it is for your credit card company to come up with new lines of credit for you.
Unwillingness to use good credit cards
If your credit card is an old one, it probably won’t be all that useful to you.
That’s one reason to hang onto a card from when you were young but there’s a silver lining. As a young credit card applicant, you can get a card that will allow you to move faster through the credit card pipeline.
Other than the usual interest rates, you’ll be able to make use of features and protections for which you may not be eligible.
Not paying credit card bills
If you aren’t paying off all of your debts, you could be contributing to a lot of debt that could soon become impossible to pay off.
Think about the late fees you’re paying on your credit card, or the purchase debt you’re bringing onto your credit card for the future you’re helping add to the balance that now owes the credit card company.
Similarly, if you’re avoiding your credit card balance, then you’re indirectly hurting your credit score. The good news is, when you pay off your balances on time, you’ll get back the money that you put into your credit card, with which you can pay your bills, and maybe save some more by signing up for rewards cards or financial plans that offer a lower interest rate.
Being open to hard credit
Some credit card companies will offer customers a hard credit offer a non-zero interest rate for 15 months.
But you don’t have to accept this offer to sign up for your card. The hard credit offer is just a sign that the company is trying to help you become debt-free.