The Allure Of Credit Card Offers


Educate Yourself on Credit

NEVER apply for a card without reading the fine print.  Introductory offers may seem great, but what happens when the six month grace period ends?  Does your APR go up?  Will you be charged an annual fee?  Not only do you want to avoid being hit with any surprise charges and fees, but depending on your credit history, canceling a credit credit could actually have a negative impact on your credit score.  Once your card is approved, even if you cancel it right away, it could show on your record for years. And if you’re planning on applying for a loan, opening and closing cards could be a red flag to lenders.  Nobody likes a fickle customer…

Shiny, Flashy Syndrome

If I haven’t hinted enough, getting a credit card (no matter how fabulous the perks) for the wrong reasons is always a BAD idea.  Unless you are fully prepared to handle the responsibility of managing another card, don’t risk putting additional activity on your credit report just to get 30% off one time at Banana Republic.  Is that beaded tank top really worth it?

Don’t Spend What You Don’t Have

We’ve said it a million times, but here’s a Fab & Fru friendly reminder:  If you can’t pay off your credit card balance at the end of the month – DON’T make the purchase, and DON’T rack up another balance on a new card you can’t afford!  If you can’t pay it off in full at the end of the month, don’t buy it.  End of story.

 

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