Credit Card Quick

Managing Multiple Credit Cards Without all the Headache and Hassle

Introduction

A recent television commercial for a debt counseling and consolidation group states that the average American is walking around with eight credit cards in their wallet. While there is no doubt that there are some consumers out there carrying this many cards, the company’s statement seems a little far-fetched. The chances that the average working American, which makes up a high percentage of consumers, is juggling this many credit cards is both unlikely and a ludicrous supposition. Still, there are many out there who do carry more than one card and balancing them can become quite tricky.

While credit cards are almost a necessity in this day and age, it is probably not necessary to juggle  a bunch of them. Still, if you carry more than one or two, you will want a few tips to take the headache and hassle out of managing multiple credit cards.

Paying that Monthly Bill

You could wait for the statement to come in the mail, write out a check or money order, seal and stamp the envelope and wait for the snail-paced USPS to get it there, hopefully, on time. If you want to make the process smoother and avoid penalties and late fees, you have two options: pay online or set up automatic payments from your bank account. Paying online saves you time, sometimes money and will get the bill there much faster. Simply go to the credit card company website, open your account and click ‘pay online.” Then, you can manually transfer the payment from your bank to the company. This gives you control over when the payment is made and allows you to transfer the money once or each and every month yourself, without having to give out your account information. Automatic payments are perfect for those who can keep enough money in the bank to pay the bill. An automatic ACH withdrawal will be made every month. All you have to do is ensure the money is available and track you bank account balance.

Due Dates

If you carry multiple credit cards, you probably have multiple due dates. This can be a real headache. Decide what you can afford and when and try to coordinate these dates so the payments can be made at the same time or on certain dates you have chosen. Customer service at your credit card company is only a phone call away, and they are likely to work with you to maintain your business with the company.

Consolidation and Limitation

If you are one of those people carrying more cards than fingers, try limiting the number. Pay down your debt and cancel accounts or transfer balances of smaller cards so you do not have so many to manage. Consolidating your cards and transferring balances can ease the burden an headache of carrying so many as well as reducing fees and interest and making due dates and bill payment an easier task to handle.

In the end, there is no reason not to carry more than one credit card. In fact, with some merchants accepting only certain cards, it is a good idea. However, you don’t need eight, 10 or a dozen cards, nor should you want the headache and financial hassle attached to that. Hopefully, these tips give you a good idea of how to limit the number of cards you carry as well as how to manage them with ease.

How to Effectively Manage your Credit Cards in the Event of Possible Unemployment

Credit Repair

In today’s tough economy most of us have witnessed our family and friends facing unemployment. Unfortunately, an increase in unemployment is a direct result of the crumbling housing market and weakening credit sector.

Now, what happens when unemployment threatens your job?

If you find yourself on the receiving end of a possible lay-off or termination, there are a few things you can do to manage your finances, including your credit cards:

1. Take a good, hard look at your budget and find ways to cut expenses. Use that money to cushion your emergency fund so that you won’t be left without a savings account in the event of unemployment. Although many consumers’ first instinct may be to pay off their credit cards with this extra money, it probably isn’t the best idea. Instead, continue to make the minimum payments on all your cards as to protect your credit score, and put any extra cash into an interest-bearing savings or money market account.
2. If times are particularly tough, and you are finding it hard to even make the minimum payments on your credit cards, call the credit card company and ask about their forbearance policy. Many credit card companies will waive the monthly payment for a few months while you work on finding a job.
3. If you feel as if you might be facing unemployment, think ahead and consider a personal consolidation loan or consider consolidating your credit card bills onto one, low-interest credit card that will be much easier to handle if you lose your job.
4. Always pay your unsecured debt first. Although the last thing you would ever want to do is miss your credit card payments, the harsh reality is that, given the choice between paying your mortgage or your credit card payments, you must keep a roof over your head.
5. Contact an accredited consumer counseling agency. An accredited consumer counseling agency may be able to strike a deal with your creditors and give you a much more manageable monthly payment in the event that you can no longer meet your credit card payments each month.