Credit Cards

Credit cards are a form of unsecured credit. The issuer is extending a line of credit, usually tacking on all kinds of little surprises in the fine print. This type of credit is probably the most commonly used. If you have a great credit rating, chances are bombarded with offers of new cards. They usually do not carry annual fees, interest rates are reasonable (to the extent of credit cards GO), which is close to a grace period of one month and could not be some fetching initial offers such as lack of interest in six months on balance transfers and new purchasers. Others who are not so lucky, you might have to pay $ 20 or more per year for a card, interest rates will be higher and less attractive come-ons or non-existent.

Grace periods can be as short as 20 days and may need to ensure that payment is received in time for that the credit card company will take into account that paid on time. Still others may not be able to get anything other than a secured credit card, one where you make a deposit and then are allowed to charge to the extent of the deposit. This type of card, although costly, can be helpful in rebuilding credit if you have had credit problems. Then there are the cards like American Express, Diner's original Club cards, which are expected to pay the entire bill each month as it comes due. This type of card forces you to be more careful with expenses, but is becoming more common in a line of credit to be given to them as well, allowing you to pay for some purchases over time.