Maryland Credit Card Offers

Along with the everyday junk mail, your mailbox probably has at least 1 or 2 offers from a credit card company in it each week. How can these companies offer such great rate and still stay in business? They can't. What they offer is an introductory rate that disappears and is replaced by a much higher rate or they have buried in the fine print catches that will soon drive your interest rate up even higher than their normal rate.

There are also the offers that promise that you can transfer your other debts to their card at a low rate. What they forget to tell you or bury deep in these solicitations is there is a "balance transfer fee" that can range into the hundreds of dollars. The credit card also most likely has an annual fee that it charges to your new account in the first billing. If you transferred an amount equal to the credit limit they offered you, guess what, you have exceeded your credit limit and there is a $29-$39 fee added to your statement for that, and probably worse news to come. Read the fine print. Don't find out after you have agreed to accept the card that you have also accepted some terms that you will later regret.

What the small print probably says and how other consumers have been caught in the trap of these credit card offers. First, a credit card company can raise their rates at any time. If the offer does not specify exactly how long the rate you want to sign up for lasts, don't sign. Make sure your rights are spelled out as to what you can do if the interest rate is raised. Usually it is nothing but pay off the debt and go elsewhere. Why will your interest rate go up? Most likely you agreed to it when you signed up for the card. In the fine print where statements that said they could raise your interest rate (1) if you missed or were late on a payment (and that means a payment to anyone not just the credit card company); (2) if you exceeded your credit limit (see Above); (3) you 'broke' some other rule or if they just feel like it.

Watch for the bait and switch. Banks use this tactic just as often as your local appliance dealer. The credit card offer says you are pre-approved. All that means is you fell into some category that the bank specified to the person they bought your name from. Often the bank when they have checked your full credit history will decide to offer you a card with a much higher interest rate. They will send it to you just like it was the card you thought you signed up for. When you receive the credit card, read the fine print again before you use the card. Also check your credit limit. Most offers say "up to" $15,000, etc.. That may not be the credit limit you get when the credit card arrives. watch out for cash advance fees and interest rates for cash advances. The interest rate for cash advances is much higher than for purchases. Usually , it is the highest interest the bank can charge around 20 to 23 percent.

Finally, never pay a fee in advance for a card. This is a scam.