Credit Cards...secially for Youngsters...

Credit cards can pave the way for a bright financial future for youngsters specially students. When managed well they provide an opportunity to build the credit history they may need upon graduation to rent an apartment or purchase a car. Unfortunately, without care, credit cards can also pave the way for financial disaster and burdensome debt. Here are some useful tips and information if you are thinking about choosing a credit card:

Credit card = loan agreement

Essentially, a credit card is a loan agreement. When you apply for a Credit Card, the creditor will establish a spending limit from which you borrow for purchases and/or cash. Each time you make a purchase your creditor pays the vendor (for example, Visa will send a check to the Gap for your new jeans). You then owe that money to the creditor.

To Inspect : Fees

There are fees for the privilege of credit. When you purchase an item on credit you will pay more than if you purchased the exact same item with cash. Remember that when you use credit you are borrowing. The creditor makes money by charging interest each day that you carry an outstanding balance. You limit the amount of money that you repay if you pay your balance in full each month.

Credit card right for you?

Before you decide if a credit card is right for you:

• Examine your reasons for wanting a credit card (will you use it for emergencies or impulse buying?).

• Honestly assess your current level of financial responsibility (do you now maintain a budget and handle money/bills/other accounts responsibly?).

• Read and understand the terms of the credit card you are considering carefully (How will late payments affect your interest rate? What terms can you expect after the introductory rate expires? How much are the associated fees? How long is the grace period?).

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Extra Credit Cards is a consumer's guide to online credit card offers. If you are looking for a business credit card for your small business this site will show you which the best card offers are. If your credit is not the best and you need a bad credit credit card then www.extracreditcards.com can help you to find the right card for you.