Easy Credit Cards That Pays Back Favorites

With retailers are cutting back on physical purchases and turning more towards credit and debit cards, companies are able to establish more rapport with customers by aligning their retail business model to that growing trend. There are several advantages to using cards, which include security, convenience, building credibility and rewards (i.e. airline miles.) There is also a greater opportunity to manage and track spending. With so much at risk in the retail industry, it is easy to understand why a good card can provide all these benefits to cardholders.

But if there is one thing you have to watch out for when shopping for easy credit cards, it’s the annual fee. High annual fees can put a considerable financial burden on your monthly spending. These charges may not seem like a big deal at first, but annual fees eat into your savings each month, reducing them each year. For example, if you do not carry a balance transfer fee, then you will end up paying an annual fee of $6.00 per year. Compare this to the cost of a prepaid debit card, which does not charge any annual fee. With either type of card, you can easily pay off your balance more quickly.

Another disadvantage to easy credit cards is that many retailers tout added activation value without providing any tangible benefit. Increased activation value is often credited to a percentage of your purchase price. However, if the purchase amount is lower than the credit card’s maximum credit line, you may only receive the portion of the activation value you paid for. So while adding activation value is a convenient way to get additional purchases without spending more, it can be quite an expensive misstep.

If you have difficulty finding a good interest rate or low APRs on easy credit cards, a debt consolidation loan might be the best alternative. Debt consolidation loans are great for people who need a little help in establishing a credit limit, high enough to get started, but low enough so that the interest rate is not so high. These loans take all your existing outstanding balances and lump them together, creating a single monthly payment for all of your debt. The beauty of a debt consolidation loan is that you can consolidate multiple credit cards at once into one easy credit card. With a low interest rate and a single monthly payment, you can save hundreds of dollars per year in interest charges.

Easy credit cards with no annual fee and no activation value are available for those with decent credit ratings. These cards offer cash back or coupon spending privileges for a limited time period, usually of one year. Before you apply, it is a good idea to get pre-approved. Banks require a minimum deposit to sign up, and a pre-approved status can significantly reduce that requirement. A pre-approved card gives the applicant an opportunity to prove they qualify for easy credit cards without providing information that could make them disqualified.

Another way to get approved is to pay down the balance. As you pay off your old debts, you’ll find your credit rating begins to improve. With continued payments you can increase your score enough to get approved for a new credit card. If you already have a credit card, it may be time to let it lapse and establish again. A fresh start will also help you re-establish your household budget.

A popular myth is that you can only get approved for a unsecured credit card if you currently have a mortgage. This myth is just that – a myth. In fact, you can easily qualify for an unsecured card even if you don’t have a house or car to use as collateral. The only type of credit card that requires collateral is a signature card, which is granted only after you complete a five to seven day application process. This hot tip will work best with those who have excellent credit scores but who do not have good credit history.

An easy credit card is out there. You just need to know how to find one with the best terms. If you’re willing to pay the annual fee and make the extra effort to make all your payments on time, you should be able to find a credit card with a cash-back option that suits your needs.