Some “Credit Crunch”. Last week, with my tongue firmly in cheek, I deceided to buck the trend, and run a small experiment.
So, I simply applied for a Credit Card. I did not expect my application (which I filled out online) to be accepted, having heard horror stories about how people with perfectly sound Credit Scores are being knocked back by Lenders at this time.
Your Flexible Friend.
Yesterday, I recieved a (genuine) e.mail from my Bank to tell me that my application has been successful!
I was astounded! My “Credit History” has been, in the past, rather checkered to say the least.
But, for the past three years since retirement, I have worked hard at trying to repair my Credit Score, and to run all my accounts sensibly.
It does, indeed, seem to have paid dividends, and as I say, I was very surprised and quite shocked when my application for a new card was accepted.
I have been doing loads of research as to the best way of not only managing my finances, but also how to “run” a Credit Card “properly”, and how to get the best from it, and make it work for me.
The “secret” behind having a card is simply not to use all your Credit Balance up, to keep it flexible, and not to go over the 30% “self-imposed” limit of the total amount.
So, for example, say your card has a “max” limit of £250. Provided you only go as far as £62.50 per month, then pay off this balance in full every time, you will pay very little or no interest on the debt, and you will not overeach yourself, and get into difficulties.
You see, you can learn a lot from the many Financial Websites, read them carefully, find out what works, and what doesn’t, before you take the plunge.
It’s too late once your into debt to try things out then.
A friend of mine, had four Cards, which he used to “max out” regularly, mostly at the Bookies!
He is a perfect walking example of how not to do it!
