Credit card interest is often talked about, but not always understood. Despite the number of people who keep a credit card (or several) in their wallet, not everyone can explain the math that goes on behind the scenes.
Understanding how your monetary tools work is an important part of financial literacy, which is why in this article, we’ll break down credit card interest into basic dollars and cents.
In this series, we take a look at the inner workings of the Credit Union and meet some of the champions who help our members in every facet of their financial lives. This month, we met up with expert Bryan Eichenbaum, an expert on all things lending at American Heritage.
Credit cards are one of the most versatile tools you can carry in your wallet. From getting extra rewards when swiping at gas stations or grocery stores to building your credit score, these pieces of plastic can impact your financial health. With so many options available, how do you choose?
The right loan or credit card can give you more financial freedom and open up exciting opportunities – from traveling the world to buying your first car or home. But borrowing money is a big responsibility, and it’s not a decision you should make lightly. Failing to use credit responsibly can damage your credit or lead to serious financial problems.
It’s no surprise the credit and debit cards are so popular. They’re simple, easy to use, and accepted almost everywhere. But this popularity has also made them a common target for thieves and fraudsters. In 2019 alone, more than 270,000 people fell victim to credit card fraud. The consequences can be serious, from financial loss to damage to your credit (not to mention the stress).
Meet Ashley. Ashley is a 20-something year old homeowner who is interested in a home renovation project, and also has some debt that she may need to consolidate at some point in the future. She’s owned her home for a few years and has built up a nice bit of equity.
Based on Ashley’s situation, she has a few financial options that she can explore. Two options at the top of the list? A home equity loan and a home equity line of credit, also known as HELOC.
When it comes to managing finances, too many of us make terrifying mistakes that can cost us money, hurt our credit and impact our financial future. In order to survive, we offer this brief list of financial terrors. Avoid them, and you may get out alive.
A credit card balance transfer makes a high-interest credit card balance (or balances) more manageable by transferring that balance to a new credit card with a lower interest rate. For added savings, some balance transfer offers include a lower introductory rate for a limited amount of time or sometimes even the life of the balance. Balance transfers can help you get out of debt faster and make multiple payments easier to manage.
The process of comparing your financing options and choosing the right one can sometimes feel overwhelming – especially with all the financial jargon and concepts associated with loans and borrowing. Fortunately, many of these concepts are less complicated than they seem. Here’s a quick overview of some of the most important borrowing terms you should know. Learn them now, so you can make smarter borrowing decisions later.
When you’re looking at a big-ticket purchase, one question always comes up: Should you pay with your savings or finance it? Or, if it’s a new home or car, how much of the purchase price should you pay up front, and how much should you borrow?
Sometimes, we get lucky and are offered a 0% interest rate promo for a specific term. This rate is frequently seen at auto dealers, mattress stores, furniture stores, and for credit card promotions. For these big-ticket items, paying no interest could mean a massive savings on each payment. However, should you ever pay off a 0% interest loan early?
Credit cards are a valuable tool for building credit, making large purchases, or earning rewards. Still, a tool this powerful must be used carefully to prevent avoidable or unmanageable amounts of debt. If you ever find yourself in deeper than expected, don’t worry – there are several ways to tackle credit card debt, one way being debt consolidation.
With so many types of credit cards on the market, it’s more important than ever to find the right card for you. Since credit card features are fairly easy to compare and contrast in a grid format, it should be easy to figure out what the best card is, right? But, as it turns out, there is no such thing as the “best” card for all credit card users. What determines the best card for you is the type of spender you are, how often you pay off your balances, and how you like to be rewarded.
Becoming an adult opens up a world of new opportunities, as well as new financial responsibilities. Fortunately, there are a few straightforward ways to start building credit when you’re young, solutions that can work even if you have little or no credit history.
If you just got your first credit card, or soon will, you have probably heard that credit card debt is a major risk to avoid. While that is true, you shouldn’t be afraid to properly use your credit card. The fact is that like most tools, credit cards can be helpful when used responsibly and can lead to problems when used irresponsibly.
It’s a good idea to do a midyear financial checkup. Think of it as an informal self-review of your personal finances that will help you determine how effectively you’re spending, saving, and managing money and supporting a bright financial future.
You’ve seen the commercials explaining how important it is to check your ever-fluctuating credit score. You’ve investigated, learned your score, but now what? Knowing your score is the first step to having good credit, but having a good score takes further steps.
A balance transfer can be a great way to pay off high-interest credit cards with one lower-rate card, giving you an easier way to pay off this debt while cutting your interest payments (and stress).
When you check out at the store, there are usually lots of ways to pay: debit, credit, cash, or even check. For most people, paying by check is too much hassle, and paying by credit card will add to your monthly bill. That leaves cash and your debit card. So, which is right for you?