Secured credit card introduction:
The credit card is an innovative service offered by bank and financial organization to the user on the concept of credit creation. The credit card also called as plastic money or digital money. These cards are used for safe and convenient purchasing. With credit cards, you no need to carry huge amount cards in pocket. It makes the payment procedure very safe with a single swipe. Proper money management skill is essential to get more benefit from the credit cards. The credit card payment directly influences your credit history and future loan terms. The credit cards are available in different types like general credit cards, secured credit card, unsecured credit cards and etc.
The secured credit cards are commonly used credit cards. As the name suggests, this credit card requires a security deposit with the credit card providers. This credit card can be used to build your credit score. Initially, the collateral agreement is made between the credit card provider and the consumer. You need to deposit some amount with the credit card industry. Your credit limit varies based on the credit amount deposited with the credit card providers. The credit card holders are restricted to use this card within the credit limit.
The card holder needs to deposit 100% cash to avail 200% credit value. You need to pay the used credit value in monthly installments. Paying installment on time will assist you to build your credit score and avail maximum benefits in the future. For example, if you make deposit amount of $500 to the bank, you can avail the features of $1000 per month. Using unsecured credit card might affect your credit score furthermore.
How to Use a Secured Credit Card:
With secured credit cards, you can enjoy all the features of traditional credit cards. Using a credit card with bad credit history is dangerous. In general, the secured credit cards involve higher interest rates. This credit card is used to build your credit score. So, you need to spend wisely and repay the monthly installment on correct time to build your credit score. With any type of credit cards, you need to repay the balance in correct time to reduce the interest rates and additional charges. It’s not advised to use credit cards negatively like buying alcohol, gambling or to buy unwanted things.
The secured credit can be used for paying medical bills, insurance bills, previous loan debt, and education bill and for genuine reason. Here are a few guidelines to follow when busying the secured credit card. Nowadays, several banks and financial organization offering credit card with different security deposit and interest rates. You need to select credit card providers offering the best credit card with less initial deposit, higher credit limit and lower interest rates.
With the advancement in the internet, you can get a secure credit card from your home with more convenience. Some organizations try to fool you with fake promises. You need to read the terms and condition, talk with the insurance provider and buy best credit cards offering excellent deals to you. In general, the credit card deals with your money. So, it’s advised to select a financial organization ensure transparent transaction, low annual charges, reward points, cash back guarantee and 24×7 customer support to the clients.
While buying the secured credit card, you need to check for APR rate percentages, interest rates, annual payment and credit limit. In general, service charge and credit limit varies based on your credit score determined by the dedicated Credit Bureaus. Follow this steps assist you to select the best credit card in the market.
Why to use secured credit card:
The secured credit card is getting very popular all over the world. It offers a wide range of benefits to the individual using the credit cards. Here are three advantages secured credit cards:
• It helps an individual to build his credit history
• Ensure spending amount based on your income or can afford
• Buying necessary products with the credit card and to increase the money management skills
The secured credit card is an excellent option to the person suffering from bad credit history in the past. The credit score influence getting a new loan or credit card in the future. Make use of this credit card on daily purchase; repay the balance amount in time that helps you to rebuild your credit history. You can feel comfortable in purchasing the belongings. The secured credit cards will assist you spend on your budget. It includes spending limit based on your collateral deposit. If you an over spender, get this credit card to cut down excessive expense. This credit card will helps you to learn money management skills and spend cash efficiently. This credit card helps card holders to make purchases not completed by the cash. You can use this credit card for car rentals, online shopping and hotel booking. It provides $0 fraud liability to you.
JP Morgan Chase secured credit card review:
JP Morgan Chase is one of the popular banks in the United States. Now, this bank includes several branches and servicing the customers from all over the world. Secured credit card offered by Chase includes Student, Airline and Platinum card. The application process varies based on the card type you opt for. The application fees start from $10 to $50, the annual charge starts from $25 to $300. The Chase secured credit card comes with 0% APR for the first year. This credit card benefit includes lower interest rates to the customers worldwide.
The Chase also offers various discounts, incentives and cash back guarantee to the credit card holders. If a customer spends $250 in 90 days, he will be offered with 25,000 bonuses with Chase Sapphire. When a card holder spends one dollar every day, they will earn two bonus points for every one dollar purchase. The points can be used for getting airline tickets, gift cards and cash. On sign up, customer will qualify for $200 credit limit. In certain bonus, the cardholder will get 5% cash back offer. For any purchase above %1500 with an online retailer, you will be offered with 10% cash back offer. Get this secured credit card, spend wisely and improve your credit ratings.
Tips To Choose Best Secured Credit Card In The Market
Secured credit card introduction: