Due to global economy crisis, many people are suffering from bad credit. Having poor credit history is unfortunate. In order to rebuild it, you need to put in extra effort. One of the constructive ways to improve your credit history is through obtaining a new credit card. In general, this specially designed card charges the card users higher interest rate compared with the normal cards.
It is reasonable for the card providers to request for higher interest because it is always riskier to offer credit card for people with low credit score. However, it is still possible for you to obtain a card with low interest rate. Although it is a challenging task, with the right technique, you will be able to get a card with very reasonable interest rate. Let me tell you the secrets:
- First thing first, you are advised to open a saving account with a local bank or a credit union which you are familiar with. You are required to set up direct deposit for your monthly pay check, if possible.
- Secondly, after opening a saving account, you have in fact established your financial trustworthiness with your "potential" lender. You can start submit your credit card application with your bank or credit union. You stand a high chance of getting a card since your potential lender has got your record with them.
- Thirdly, the total amount of your saving may not be a lot. Hence, the lender will normally offer you a very low credit line. You are advised not to reject but to accept the low credit limit with open arms. In actual fact, a card user is able to enjoy a good interest rate if he or she has a lower spending limit at initial stage. Don't be upset with the credit line. If you make your monthly repayment promptly every month, your card provider is more than willing to increase your credit line gradually.
- Before you make your final decision, you are reminded to read all the terms and conditions carefully. Make sure that you are able to enjoy normal grace period like normal card users.
- If you are not being offered a good interest rate, don't be disappointed. In my personal point of view, you should accept the offer as long as it suits your financial needs and you can really afford to pay. Again, by making your payment consistently, sooner or later your card provider will still reduce your interest rate.