Student credit card application. This allows a young person to establish a solid credit history. Start with credit cards for no credit, go on with fair credit cards and then succeed with cash back credit cards, credit cards with frequent flyer and other profitable rewards.

How do you rate in a creditors eyes?

Excellent Credit – 750-850

Good Credit – 660-749

Fair Credit – 620-659

Poor Credit – 350-619

No Credit – 0-0

Today among credit card applications for college & university students you can find 0% APR credit card offers, credit cards with balance transfer, instant approval, and more. There are many issuers for such credit cards. Visa credit card applications, Discover student credit card deals, American Express student credit card offers, Chase student credit card applications and others.

If you have decided to get a college student credit card and make a credit card application online, you should consider many things to make the right choice. First credit card application should be careful and apply for credit card that corresponds to your credit score. If this is your first credit card, choose your selection carefully from our no credit credit cards.

CREDIT CARD TYPES

Following are some of the most common types of cards:

Balance transfer credit cards let you transfer higher-interest credit card balances onto a credit card with a lower interest rate.Potentially saving you hundreds of dollars in interest charges.

Low-interest credit cards – Offer either a low introductory APR that change to a higher rate later or to a low, fixed-rate APR.

Cash-back credit cards – Give you cash rewards for making purchases with the card. Cash rebates range around 1 percent of the total purchases, excluding interest and finance charges.

Reward credit cards – Similar to cash-back cards, they offer frequent-flyer-miles, hotel discounts and other rewards just for using the card.

Airline mile (Airmiles) or frequent flyer credit cards – Award “mile” or “point” credits whenever you use your card, based on the dollar amount of your credit card purchases over a period of time. You can redeem your points for airline travel.

Pre-paid cards – Work like gift cards at retail stores. You can deposit any amount you want and then use the card to make purchases up to that amount.

Secured credit cards – Cards that are “secured” with a cash deposit or other collateral. Perfect for “poor credit”, ” very little” or “no credit” holders

Before applying for a credit card, you may want to speak with others and financial experts to guarantee your acceptance for a specific credit card. http://www.mycreditapply.com has a unique community forum which allows you to educate yourself to get you approved for a specific credit card. Applying for the wrong credit card will hurt your credit, and could stop you from being approved in the future. A bit of research on the internet first of all can save you a lot of cash in the future!

Credit cards are one of the many  innovations offered by the financial services of commercial banks. From 1950 the commercial banks and non-banking companies in USA adopted the idea of a credit card to develop their business. Barclays Bank was the first bank to introduce credit card in 1966 in Britain. The credit card business gained momentum in the sixties and a number of the other banks entered the field in a big way.

Credit card culture has become well established in western countries. The present trend indicates that the coming years will witness burgeoning growth of credit cards which will lead to a cashless society.

MEANING

A credit card is a card or mechanism which enables cardholders to purchase goods, travel and dine in a hotel without making immediate payments. The holders can use the cards to get credit from banks up to 45 days. The credit card relieves the consumers from the botheration of carrying cash and ensures safety. It is a convenience of extended credit without formality. Thus credit card is a passport to safety, convenience, prestige and credit.

WHO CAN BE A CREDIT CARD HOLDER?

The general criteria applied are persons spending capacity and not merely his income or wealth. The other criteria are the credit worthiness of the client and their average monthly income.

TYPES OF CREDIT CARD

According to the purpose for which the credit cards are used, they can be classified into three main categories.
1. Credit card
2. Charge card
3. In-store card
4. Corporate credit cards
5. Business cards
6. Smart cards
7. Debit cards
8. ATM card
9. Virtual card

PARTIES TO A CREDIT CARD

There are three parties to a credit card the card holder the issuer and the member establishments.

1. Issuer – The banks or other card issuing organizations.
2. Cardholders – Individuals, corporate bodies and non-individual and non-corporate bodies such as firms.
3. Member Establishments – Shops and service organizations enlisted by credit card issuer who accept credit cards. The member establishments may be a business enterprise dealing in goods and services such as retail outlets, departmental stores, restaurants, hotels, hospitals, travel agencies, petrol bunks.

Member establishments have to pay a certain percentage of discounts on the credit card transactions to the issuer. Some organizations charge a specified sum as service charge.

MEMBER AFFILIATE

There is one more party to the credit card, in the case of the up arrangement, called member affiliate.

The issuer may sometimes enter a tie up arrangement for issuance of credit cards with other organizations. Such organizations are called member affiliates. In such cases, the organizations which have tie up arrangements also issue cards of the issuer to their clients. Credit cards issued by member affiliates contain the name and logo of the member affiliate on the face of the card, besides name and logo of the issuer. This arrangement enlarges the scope and operations of the credit card.

Many banks have tie up arrangement with master card international and visa international. These organizations allow cardholders of one bank to use their cards in member establishment of another bank. The bank in whose fold the member establishment falls, called the acquiring bank, pay the amount to the merchant less his discount and the transaction is routed through either master card or visa who act as the clearing agencies. Master card or visa route the transaction through their network to the issuing bank which in turn makes payment to the acquiring bank. The issuing bank gets a percentage of the merchant discount is stipulated by the either master card or visa.

PROCEDURE AT THE TIME OF PURCHASE AT MEMBER ESTABLISHMENTS

When a card holder intends to make purchases be presents his credit card for payment. The member establishment scrutinizes the card with reference to the following:
1. The validity period of the card has not expired.
2. The card has not been hot listed as per the latest hot list/warning bulletin. Whenever bank receives information about card lost/withdrawn/cancelled it issues a warning letter. The hot list gives the latest list of invalid cards and supersedes all warning bulletin.
3. The signature of the card holder tallies with the specimen signature on the credit card.
4. The card has not been tampered within any manner.

On being satisfied with the validity of the credit card the merchant proceeds in the following way:

1. Obtain the impression of the card with the help of the imprinter.
2. Obtain cardholder’s signature in the space provided and check whether signature tallies with the signature on the card.
3. Prepare a charge slip in triplicate giving all details. Give one copy to the consumer, keep one copy for records and forward one copy to the bank.

PROCEDURE FOR REIMBURSEMENT

The following procedure is followed for reimbursement to member establishments.

1. The merchant can claim reimbursement from the designated branches of bank.
2. All transactions emanating during the day are consolidated in the summation sheet cum bar in triplicate.
3. The summation sheet cum bar in duplicate along with the bank’s copy of the charge slip should be submitted to the designated branch for reimbursement.
4. Reimbursement should be obtained within 30 days from the date of charge slip.
5. The banks after deducting commission credit the amount of claim to the member establishments account or pay by DD as earlier agreed.

FACILITIES OFFERED TO CARD HOLDERS

The various facilities offered to cardholders are described below:

1. Making purchase/availing of services at any of the member establishments.
2. Cash withdrawals at any of the branches of the issuer/member affiliate of the issuer to meet emergent requirements.
3. Ass-on facility for family members. The spouse or children are entitled to use the card for making purchases.
4. Free credit period ranging from 15 to 45 days.
5. ATM facility at selected centres.
6. Wide range of insurance facilities are available which include personal accident insurance, cover for accidental death, baggage insurance, purchase protection cover against risk of fire, strike, theft, during transportation and concessional premium rates for personal accident insurance and mediclaim.

BENEFITS OF CREDIT CARDS

Credit cards confer a number of advantages on cardholders, issuers and member establishments. The benefits of credit cards to various parties are given below:
1. Card holders
a. Credit cards are simple to operate and easy to carry. The holders are relieved from the risk of carrying cash or cheque book with them.
b. A card is a convenient method of payment for goods and services. The holders have the option to purchase goods and services and pay conveniently at a later date in manageable installments compatible with their household budgets.
c. Owing to revolving nature of credit, the customer can take advantage of it as and when the pleases within the overall limit.
d. Cash can be obtained at any branch of the issuer. The ATM facility is extended to cardholders who need not stand in queues and spend time unnecessarily at banks. Be just inserting a card into an ATM the holder can withdraw crisp new notes at any time of day or night.
e. Overdraft facility is given to card holders who are entitled to spend more than their actual limit.
f. The purchasing power of the card holder increases to the extent of credit limit given in the card. If wisely used by consumers, credit cards can provide them extra money interest free. All that one has to do is to settle the bill in time.
g. Credit cards provide a certain degree of prestige to the holder. The status which one gets is not only because of his membership in a credit card organization but because the card at one makes him great in a part of wider phenomenon.

2. Issuers
a. Credit cards offer high profit for the banks. They get commission or discount, usually 2.5 percent, on sale through credit cards. An interest charge of 1.5 percent is made on all outstanding. Thus, a single transaction through credit card, assuming the customer does not repay within the stipulated period will fetch income of 5 percent to the bank which works out as much as 60 percent per annum; miles ahead of the prime lending rate of many banks. As more and more take advantage of the credit facility the credit card service becomes more profitable.
b. Where the card is issued to non-account holders, it may help to get new customers.
c. A credit card system helps control bank cost as it reduces the number of cheques issued by the customers.

3. Member Establishment
a. The merchant has guarantee of payment and his account is credited immediately on submitting the charge slip into his bank. No bad debt arises in credit card transactions.
b. A good cash flow is established because of the speedy settlement of bills by banks.
c. The acceptance of card in lieu of cash reduces security risk.
d. Member establishments are able to offer credit facility to their customers without setting up their own credit arrangements.
e. More and more people accept the practical advantage of credit cards and turn to suppliers who accept the cards in settlement. This helps increase the volume of business to member establishments.

FUTURE PROSPECTS

There are 1 billion card holders world over. These cards have a turnover of $ 1500 million. Over 68,000 establishments in the country accept credit card

To realize the potential in the credit card market the following suggestions are made:

a. Reduce the membership and annual subscription fees.
b. Encourage member establishments to accept credit cards for routine items also.
c. Make the features of cards convenient to middle class people.
d. Enhance the cash withdrawal limits.
e. 80% of the card holders are in metropolitan areas. So, workout strategies to popularize the credit card among people in semi urban and rural areas.

Although it may be overstated, there is a lot of truth to people ruining their credit score due to missing payments and paying their credit card bills late. The fees can pile up and the interest rates can grow before you know it, and after a while you won’t even be able to pay the minimum amount of payment. If you don’t do something fast – it could be the beginning of the end.

To make sure this does not happen to you, you should always pay your bills on time, and always avoid missing a payment. Sometimes, it can be hard to make your payments on time, although you should always do everything in your power to ensure that you stay on top of things. Below, you’ll find some tips to help you with your credit card payments.

As stated above, you should always pay your bill on time. If something comes up and you aren’t able to pay, you’ll be penalised. Even though you may think what has come up will justify a late payment, it doesn’t justify the means in the eyes of your credit card company. Inside of your monthly bill, you’ll find detailed instructions regarding payment. You should always follow them as accurately as possible, pay where and when you are supposed to pay – and do it on time.

If you simply aren’t able to pay your entire bill, you shouldn’t worry about it – but instead pay the minimum amount possible. Even though you may be able to pay more later, you should always pay at least the minimum amount. Then, when you have more money, you can always add to your minimum payment by sending in an additional payment.

The easiest way to do this, is to always have the minimum payment amount set aside, so that you have it once your credit card bill arrives. Once you have assured yourself that you won’t be penalised or charged any late fees, you should look into paying a higher amount than just the minimum balance. By paying the minimum amount, you’ll also ensure that no other fees will be added to your next credit card bill. Set up a direct debit for the minimum amount to be paid each month and avoid the wrath of your credit card company.

Another option includes skip a payment, although you’ll need to check whether or not your credit card company offers it or not. This service will allow you to request a waiver regarding your payment, when something comes up and you don’t have the money to pay your bill. Make sure that you use this service wisely if you have it, as it can only be used once a year. Therefore, you should always ensure that the situation is truly an emergency and there are no other options available for you. This service will normally have a cost as well, and you’ll need to pay it the following month.

Although credit cards can be great for numerous reasons, you should always know your interest rates and have a good general idea of what your bill is going to be before you make a purchase. Many times, those who have credit cards will make purchases, knowing they can’t make the payments – then suffer when they get the bill and aren’t able to pay it.

Anytime you have a credit card, you should always make sure that you have the money to pay the bill, or the minimum amount, the minute it arrives. This way, you’ll remain in good standing with your company and your credit score will continue to increase. If you simply aren’t able to make your payment, you should contact your credit card issuer immediately and see if you can work something out.

If your credit ratings have been at the receiving end for all the reasons that can attract bad ratings you need to stop and assess your debit situation. You could write to the credit reference agencies for the latest copy of your credit rating report. This will help you assess your debit situation and arrive at a decision on how to improve it.

You will find that there are basically four reasons for you developing a bad credit rating with the agencies and your reason will be one of the following:

• You have failed to pay a bill on time. This could be a utility bill, repayment of a loan or even your rent.

• A county court judgment against you.

• Failing to turn up on the electoral roll register.

• Your residential address. Believe it or not you could bear the brunt of the collective history of the house you live in.

So if you are refused credit you should ascertain the reason and then decide on measures that you could possibly take to improve your situation. You may possibly have to take the assistance of a debt consolidation professional to get out of your bad debt situation. Ask the debt consolidation pro how can a bad credit credit card improve your credit. Though the costs of a bad credit credit card can be high, but then again a person with a bad credit history will not get any other credit card.

A person with a bad credit history will not get a credit card with a low Annual Percentage Rate or APR as it is commonly known. With more and more people moving into the domain of poor credit rating and increasing number of financial institutions and organizations are designing bad credit credit cards and educating the masses on their proper use by explaining how can a bad credit credit card improve your credit. Many bad credit credit cards can prove to be of great advantage to people with bad credit history if used wisely and payments made on time. However, one late payment and ‘poof’ goes your credit rating, you will end up doing more bad than good to your credit history. Bad credit credit card companies are not concerned with the reasons for your bad credit history, which, could stem from unemployment, illness or just an inability to manage finances efficiently. They charge you higher rates where no one will offer you rates at all, but they do open for you an avenue to improve your credit score.

There are a few ways of how a bad credit credit card will be able to improve your credit ratings:

• Use your bad credit credit card to make at least one purchase every month and make sure to repay the entire amount of every month.

• Always keep the minimum balance on your card. In fact, keep a balance that you can easily pay of at the month end.

• Use only half the balance the credit card offers you the more debt you accumulate on your card the less worthy you are for future credit offers. This also saves you cash by keeping the APR low by keeping your payments low.

Apart form these procedures it is always a better option to buy what you can with the cash in your pocket. But if you have gotten into bad debt and need to straighten out your debt history because you are finding it increasingly hard to even get a place on rent to hide your head then the bad credit credit card is the best way to get your bad credit history on the right track once again. However, use it diligently and in no time at all your bad credit will begin to straighten itself out offering you a fresh start.

The honor of coming up with plastic money went to the early American capitalists.  From the time John Biggins, the inventor of a first bank issued card, had his first eureka moment in 1946, credit cards have evolved to become one of the most versatile ways of paying, and this is why.

Once issued with one, the need to carry around unsafe, dirty and bulky cash is significantly diminished. I say diminished because some small scale merchants (who perhaps are scared of technology) will still insist on being paid in cash. Further, credit cards enable you to build up a credit history, but only if you always pay on time.

Some places, like the United Kingdom, allow for reimbursement you if you make a credit card purchase and the items are not in the expected condition, if you make a claim within a set amount of time, usually 2 months or so. Credit cards are very secure, and even if you are attacked and robbed, you can later phone the issuer of your cards and cancel any cards that were stolen. Also, credit cards make it easy to keep tabs on your spending, as they log every purchase.
Does the credit card work for you or do you work for your credit card? Most people’s answer to that question will depend on how they treat their ‘old plastic’ as credit cards are known.
Credit cards offers often are presented in a deceptively good light. Many consumers end up in dire financial circumstances when they use these cards. Advertisments which almost make the use of a certain card seem like charity are often ruses used to cheat consumers out of their money.
And this is not a hate campaign against credit cards.
They certainly have their benefits; American car rental companies require a major credit card before you are allowed to rent a car.
But, consider this scenario:
Often you generate an offer in the mail that sounds nice, maybe a new style TV or fridge. But the cost is $2000. But wait, you have a credit card that has a $5000 limit, and without thinking purchase the item. Usually, this is how your repayment schedule will work out. Most credit cards charge a minimum of the total balance, usually being two percent, of the total per month. If the interest rate is 18 percent and you only choose to repay that minimum amount of $40, then $30 of that will go towards your interest and a mere 10 percent towards the actual principle. Furthermore, it will take you 30 years to repay it and you will end up paying over $5000 in interest. The moral of the illustration is use the credit card the same way porcupines make love; very, very carefully.

A credit card debt consolidation program is one of the safest way to get rid of an unmanageable debt problem. The program helps you to consolidate all your credit card debts into one single consolidated,  affordable monthly payment.

What makes this program  special is its ability to help you get your finances back on track while you pay off all your debts simultaneously. Plastic money is very popular because of the comfort it provides. However, a careless approach towards managing personal finances and credit card usage is something that puts you  into trouble when credit card debts keep on accumulating and becomes a heavy burden. This is where a credit card debt reduction program can be a great help to you.

The Best Program For Debt Reduction

If you want to get away from the pressure of the huge amount of credit card bill dues and debt burden, the first thing is to look for a credit card debt consolidation program that fits your specific debt situation and various financing needs. It is always prudent to do comparison-shopping before you choose to go for a specific program from a specific company. In order to do comparison-shopping, the first step is to get free debt consolidation quotes from more than one company offering debt reduction services.

This will put you in a better situation where you can prudently decide which credit card debt consolidation program is right for you. The good news is that, when you decide to get consolidation of credit card dues, you avail the services of debt consolidation professionals who specialize in consolidating other debts and loans as well. They also educate you regarding debt management and managing your finances in a proper way so that you could regain control over your finances and avoid being caught in the vicious cycle of credit card debts again in future.

The experts offering Credit card debt consolidation program also negotiate with your creditors to extend the duration of debt repayment. You end up making smaller payments for a longer period of time. This way, you get enough time to manage your finances so that you could achieve your short-term and long-term financial goals along with paying off the debts.

Debt management help is in fact available in various formats. Bad credit debt consolidation is also becoming very popular today. In fact, Credit card debt consolidation program is an important program to help you out of the crisis and repair your credit score besides helping you to become debt free.

As you probably already know, there are many credit cards out there.  The one you choose however, should reflect your lifestyle and your ideal spending amounts.  If you are looking for the best possible deal and the best company for your credit card, you’ll obviously need to look around at what you have to choose from and what works best for you.

The first thing you’ll need to decide when choosing your credit card, is why you need one in the first place.  Some people choose to get a credit card for cash flow purposes.  With a credit card, you can make purchases and buy things, leaving your paycheck or other source of income in your bank account to draw interest.  This way, your money will continue to grow while you continue to buy the things you need.  Then at the end of the month, simply pay your bill.

Others will choose to get a credit card and use it for instant cash purposes.  This way, they can use their credit card at an ATM and get instant cash, which is great for travel or going on a long and extended vacation.  If this is why you want a credit card, you should look for one that has the lowest rate possible for instant cash transactions.

With a credit card, you’ll also need to think about the payments.  You’ll need to decide if you want to pay the balance in full each month, or only the required amount.  When you select your credit card, you should look at the introductory rates, balance transfer rates, and other offers that may apply to new credit cards and new holders.  Some will offer you truly amazing deals, especially if you have good credit.

Another important area to look at when choosing your credit card is the incentives.  There are several cards out there that will give you incentives, such as reward points and even cash back with purchases that you can use towards paying back what you owe.  There are several incentives out there with credit cards, all you have to do is look around and compare.

The key area you’ll need to look at and compare is the APR (Annual Percentage Rate).  The APR is what you will pay on what you purchase when the incentive period runs out.  APR rates will vary among credit cards, so it is always in your best interest to compare and shop around.  The lower APR rate you get, the better off you’ll be.

Another concern with choosing your credit card is the minimum payment amount.  Most minimum payment balances will start around 3%, although some can be lower while others tend to be quite a bit higher.  The interest free period is a concern as well, as you will obviously want to choose the longest period that you can keep the payments down.

When you make that final decision and choose your credit card, you should always make sure that you know exactly what you are getting. Credit cards are great to have, although they can lead to a downfall if you don’t choose them carefully.  If you put some time and research into choosing your credit card, you’ll find the best one for you.  As long as you take care of your credit card and pay the bill on time, you’ll help raise your credit and eventually be able to purchase even bigger things – such as a car or even a house.