Good Credit Score

Category: Finance, Credit.

When teenagers or young adults receive their first credit card, they must be taught the rules and strategies of using the credit card.

Good Credit Score. Educating these new credit card customers will protect them from unwanted fees and unfortunate financial trouble. Another important rule includes securing a high credit score. Obviously, maintaining good credit and thus increasing your credit score will make it much easier to gain the trust of credit card companies, in turn, who, will feel more secure in raising your credit limit. This not only comes from paying off your credit cards, but also from properly upholding every other credit investment that you become involved with: car payments, businesses, mortgages, etc. This may seem like an easy and even apparent rule to remember, but most people are rejected from increased credit limits because they fail to follow this simple rule.

Another way to improve your chances is to maintain a good financial relationship with the credit card companies. No Late Payments. Making your credit card payments on time is the first step, but by also consistently making big payments on your credit cards, companies will be more than happy to continue to increase your limits. Beating The Credit Card Company. Consistency in making large payments on time is the key to constantly gaining the approval of enlarging your credit card limits. When making ordinary purchases, people mostly use cash and/ or debit cards, which is a safe yet unrewarding way to increase personal benefits.

When buying gas, getting new clothes, going grocery shopping, paying bills, and making other ordinary purchases, remember to use your rewards card. If people would simply switch their usage of cash and debit cards for reward cards, their amount of skymiles and other financial rewards would automatically increase. Higher Credit Card Limits. Surprisingly enough, raising the limits, however of your credit cards can be done by anyone, no matter what type of income you have. Some people believe that increasing your credit card limits is too difficult and can only be accomplished by those with at least an upper middle class income. This simple technique will help you earn skymiles that would otherwise not be gained, with cash or, obviously debit cards.

Other ways to maximize the skymiles on your credit cards is to apply all your major purchases to the credit cards. Although credit cards can cause people a lot of pain when used unwisely, they can also be very rewarding when used properly and wisely. Wisdom must be used when this technique is used, but when used properly, it can harvest huge skymile rewards. A brand new credit card customer can be very naive and sometimes suffers the unfortunate consequences of credit card penalties. Such major investments on credit cards include buying new or used motorized machines such as cars, dirt bikes, motorcycles, boats, etc. If teenagers simply follow the rules stated above, they will be able to avoid unfortunate late fee charges and actually gain real life rewards and advantages in the credit card business.