Friday, August 29, 2008

5 Fees which can Avoid in eliminate credit card debt

Are you buried in credit card debt? One way to reduce and eliminate your debt is to avoid unnecessary fees, which can really add and connections, bringing your balance to become unmanageable. Learn to avoid these charges and obtain duty free.

Many people simply do not know about all possible charges and fines that may be incurred by the seemingly simple credit card use. Eventually, credit cards conditions are very long and very complicated - as many of us have ever actually read these words or seemingly endless stream of changes in circumstances that come in the mail?

However, if you are determined to eliminate your debt, you should really make sure and avoid the following charges, because they add quickly and may eventually lost your efforts to pay down your balance.

1. Declined Check Fee (or declined payment fee)

This board is much easier to bear than ever, thanks to automatic electronic payments. Even if you are using the same bank for your credit card and bank account, it is still easy to apply this punishment, if you have recurring payments to create and maintain most of its cash resources for the benefit of a savings account. If you do this, be careful, always add money to your current account a few days before the current charges will be charged and also set up overdraft protection, which will automatically transfer funds in cases where the balance check was too low. Such accusations overdraft is not cheap, but they are typically less than the payment of fees dropped, and they save you from the emergence of higher credit card interest rate.

2. Annual membership fee

There is simply no reason to stay at this annual amount, credit card companies when there are so many cards available this annual fee is not charged at all. Even American Express is currently available maps without any annual fee.

3. Cash advance fees

Currently, cash advance fees may be higher than 5% of the transaction or more. You are often much better juggling your finances so that you use your card to charge items for which you usually pay cash, and then take the money you save and use it in the place of cash in advance. This can save hundreds of dollars in fees and interest - as a rule, cash advances incur a much higher interest rates than the buyer, too, so that the cost not only in the short term fee for the transaction, but in the long term interest payments, as well.

4. Over the credit limit fees

This is perhaps silliest and the most annoying fees for all. Imagine charging its customers for this very thing you encourage them to do - use your product! Well, this is exactly what most banks credit cards do. So, if you're nowhere near the credit limit, make sure how to call to your bank and request an increased (which they often willingly gives you) or use different cards in full.

5. Late payment of fees

You really have to be careful with these additional charges now. Credit cards are often banks will levy these charges, if you so much as a day late. Worse yet, they will often raise the price of interest rates, but for a late payment. If you get a late charge, always try to call in and have it removed. This can save part of the changes and is now much more down the road - by avoiding increases in interest rates.

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