Here are five things credit card companies may not share or emphasize:
High interest rates: They often highlight rewards but downplay the hefty interest rates that kick in if you carry a balance. This could potentially lead to long-term credit card debt.
Hidden fees: Some companies have fees like annual charges, balance transfer, or foreign transaction fees. Being aware of these can help you cut down on extra costs.
Credit score impact: Maxing out your credit card or missing payments can harm your credit score. Maintaining a low credit utilization ratio and making timely payments is essential.
Marketing tactics: They can use persuasive techniques to tempt you into spending more. Understanding their tactics helps you make better decisions and avoid impulsive purchases.
Negotiation power: You can negotiate better terms, such as lower interest rates or waived fees, if you have good credit. Being proactive and advocating for yourself can save you money.