9 Scary Credit Moments

Whenever you are dealing with credit there can be certain unpleasant surprises that can spring up on you when least expected.

Increase in the interest rate.

The credit card providers can increase interest rate on a credit card from several number of reasons. It can be because of a late payment or because of the changing conditions in the economy. Usually a creditor is required to inform you 45 days in advance and give you the option of opting out of the increase in the interest rate. While you may be tempted to opt out of the increase you should be aware of the fact that it may very well lead to the credit card being cancelled by the creditor.

Credit card is declined.

It happens every now and then that your credit card can get declines at merchants store for no good reason. You should be prepared to be able to pay for the transaction in cash or to just walk away from the purchase. Of course it will be that much difficult to just walk away if you are trying to pay for a dinner that you have already eaten.

Forgetting to pay your credit card Bill.

If happens to us some time on the other when we forget to pay the credit card bill for no good reason. If you can remember well in time you should call your creditor and ask him to waive the late charges and interest fee especially if you have been a regular customer of all this while.

Applying for a loan when you have bad credit.

It is recommended that you review your credit history and credit score at least six months in advance before line for a major loan. If you are going to be applying to particular creditor it may help to find out the approval criteria that the lender uses such as the credit bureau that he is going to withdraw your credit report from and the credit score that uses for the approval process.

You lose your wallet or purse with your credit card in it.

This is a situation that you always need to be prepared for. Always have the number of your credit card and the contact number of the customer care cell off your credit cards somewhere securely written. If you lose your wallet all your purse with your credit cards in it you should be able to access the card numbers as well as the customer care service quickly so that you can report the credit card is stolen and reduce your liability for any fraudulent charges that might occur.

Having your credit card application denied.

Applying for a credit card that first time can be specially nerve racking. However, if you are not aware of your credit score you should be prepared for the eventuality that your credit application may gets denied for some reason. It happens to a lot of people. If your credit applications denied based on some information present on the credit report that was used by the lender then you will be provided with directions by the lender as to how to access a free copy of your credit report from the same credit bureau.

Fraudulent charge on your credit card.

It may be possible for a person to make fraudulent charge on your credit card just by using the credit card number without the use of the physical card. The first thing you should do when you find a mysterious charge on your credit card account statement is to check whether you remember all the transactions that you made and whether or not you land the card to a family member or friend. It is also possible that someone you know used the card without your permission. However if you have good reason to believe that the charge made is fraudulent you can report the billing error to the editor and even dispute it.

Letting your Teenage Child Use Your Credit Card

Something that you should only do after educating the child on the importance of proper and responsible use of credit. Many people add their children as joint account user or authorized user to help build a credit history for them.

Checking your credit report.

Some people to not check their credit report even though it is available for free to every consumer in United States of America provided that they have a credit history simply because they are scared to find out what it may contain. If you have reason to believe that your credit history may not be all that you would like to be a, check your credit report as soon as possible rather than avoiding it to avoid an unpleasant surprise. Dealing with bad credit file is the best way of fixing it will not doing anything about it will just make the repercussions of having a bad credit come around to you one way or the other sooner or later. Instead of being faced with an unpleasant surprise when you least want or expect it is better to fix your credit report now.

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