How to Improve your Credit Score

How to Improve your Credit Score

If you are suffering with bad credit there are things that you can do to improve your credit score. You may then wonder how to improve your credit score. Here we will show you some helpful tips for how to improve your credit score.

How to Improve your Credit Score

 

1. You will need to get a copy of your credit reports as you are not able to improve your credit score without knowing what it is that you need to work on. Your credit report will include a list of the accounts that are damaging your credit score. You should review the accounts that need to be improved.

2. If your credit report contains any errors then you should dispute these errors so that they are removed. You will need to write to the credit bureau or the creditor that has listed the account on your credit report and ask them to remove the error. Errors are able to severely damage your credit score so they should always be questioned.

3.  You need to avoid using your credit card to make new purchases as this will raise your credit utilization that is the ratio between your credit card balances and the credit limit you have. The higher that your balances are then the more your credit score will be effected. You need to reduce the credit card balance as this will improve your credit score.

4. Your credit score is made up from 35% of your payment history. Your credit score is then hurt when you are behind on your payments. If you are able to, you need to pay off these past due balances.

5. You should avoid making new applications for credit as even credit enquiries are able to hurt your credit score. Also opening a new credit account will lower your average credit age which will also damage your credit score.

6. You will be tempted to close the credit card accounts but before you do this you need to make sure that this will not negatively affect credit. The accounts that balance on should be left open and these will need to be paid off.

7. You should contact your credit card issuer to improve your credit score as they are able to help you. There are credit card issuers that have temporary hardship programs that will reduce the monthly payments until you are able to get back on your feet.

8. 30% of your credit score is the amount of your debt. Your credit situation will only improve once you start paying off your debts. You can opt in selling off some of your items if you do not have the money on hand.

9. There are help aids out there to help you to improve your credit score like the credit counselling agencies. Getting professional help can aid in prioritizing what needs to be done and how it can be.

10. When you are on the road to improve your credit score you will need to be patient as it will take time to improve it.

It is then possible to improve your credit score but it will take time to do so.

SureSwipe is a South African credit provider for merchants that offer free reporting for transactions processed each day.

Small Business Credit Cards

Small Business Credit Cards and How they Work

As a business owner you will want to keep your personal and business finances separately. A small business credit card is then a must. These work like a personal credit card but as the expenses will be separate from your personal ones, doing taxes become easier.

Banks, credit unions and credit card companies are able to provide small business credit cards and there are various options that you can look at.

In South Africa merchants are able to get their credit card machines and information from SureSwipe.

Why have Small Business Credits Cards

 

A small business credit card is dedicated to that of all the business purchases and expenses. They are important in both small businesses and also for home businesses as keeping track of transactions become easier.

When it comes to tax time having a separate credit card for your small business makes the period easier. The tax return forms have separate sections for personal and business. You will know exactly what is what as the transactions are kept separately.

All the business transactions should be kept on the business credit card and all personal transactions should be kept on your personal card. The receipts from each of these should also be kept separately. You will then just need to look at your business credit card statement at tax time and fill in the required fields.

You are able to get small business credit cards that will go a step further and categorise your expenses to make it even easier.

Finding a Small Business Credit Card

If you already have a bank account then you can talk to your bank about business credit cards and what they offer. This can often be the best idea in finding small business credit cards as you already have a relationship with the bank. You are able to get approval quickly this way as long as you have kept your account in good standing.

A great source of information is online as you can compare the terms of various offerings before you choose.

In order to apply for a small business credit card you will be asked for:

1. Name

2. Business Name

3. Contact Details – number, address etc.

4. Verification of Identity and

5. Annual Income

What to Look For

Credit card terms for small businesses will vary across providers. It is then important to research these so that you are making the right choice for what you need.

·         Sole Proprietor – you may make fewer purchases and just need a basic card that has low rates and no annual fees.

·         Business Owner – you will likely make more purchases so a card that offers reward points might be suitable, especially if travel is frequent as you can earn travel rewards which can be redeemed against accommodation and flights. These cards may have higher rates and annual fees. Ensure you know what you are paying before selecting the card and also compare reward cards.

·         Employees – you may need your employees to have their own business credit cards which will influence your decision. You can find cards that have spending limits and will track the transactions of your employees.

Small business credit cards are ideal but remember you still need to aim to pay these off in full each month to avoid interests. You can easily rack up debt if you are not disciplined s ensure you pay each month.

 

Difference between Payday Loans and Cash Advances

Difference between Payday Loans and Cash Advances

If you are considering a short term personal loan then you can consider a payday loan and cash advances.

Payday loans allows you to take small amounts that need to be paid back in full come the next payday.

There are also personal loans that can be larger and the repayments can be stretched over a longer period of time.

SureSwipe are credit card merchant providers that you can talk to about cash advances.

The main short term loan solutions are payday loans and cash advances.

 

Payday Loans

A payday loan is also referred to payday advances and online personal loans are unsecured loans. This means that there is no collateral and there is usually no credit checks required for approval.

A payday loan is approved based on your income and they are designed so that they are paid back on the specific date that you receive your next pay check. Generally they are paid back in one repayment which is the full amount of the loan plus the interest on the loan.

You will also need a bank account that is in good standing in order for an online payday loan. This is because the loan will be transferred straight to your account and your repayment will be deducted electronically on the due date.

Your income will determine that maximum payday loan that you are eligible for. There are lenders that will decline your loan if they find that you already have unpaid loan with other lenders. If you are in bankruptcy or have ever filed for bankruptcy then your loan can also be denied.

Cash Advances

There are generally two types of cash advances. The first is where the term cash advance is used interchangeably with payday loan as it refers to an advance on your pay check.

This type of cash advance has the same structure as a payday loan in that the maximum that the loan can be will depend on your income. These cash advances are expected to be paid back on the next payday or within a month of taking the loan.

The other type of cash advance is those that are based on a credit card or a line of credit. The credit limit that you have available on a credit card will determine the amount that you can loan.

A credit card cash advance is generally treated like a purchase that is made with a credit card. This means that the repayment terms will follow the policies of the credit card.

A cash advance may offer or may not offer you a better deal than a payday loan as it will depend on your credit rating and the terms of your credit contract. There are credit card companies that will charge a higher interest rate on a cash advance.

Unsecured loans in general will have a much higher interest rate then a secured loan. The lender for an unsecured loan has a much higher risk of not being repaid.

When it comes to payday loans and cash advances it is hard to say which the best for a short term loan is.

You need to look at how much you will need to borrow and the interest rate that is attached.

If you need to borrow more then what a payday loan site is offering then a cash advance could be the better option. It is vital that you look at what you can afford, so you can ensure that you can pay it back.

 

Methods of Payment

Methods of Payment

There are generally three methods of payments, those being cash, debit card and credit card. It can be tough in deciding the best methods of payment but it mainly depends on your needs.



You need to take into consideration your spending habits and how well you keep track of your finance.

Cash is not always the best of the methods of payment as debit and credit can prove better depending on the situation.

Cash could be unsafe to carry, you may want to build a credit score or just keep a better track on your spending.

The methods of payment come down to you and what is best. Here is a look at all three methods of payment so you can decide.

Cash

Having cash on hand can be a great way to keep from over spending. You can decide how much cash you want to spend and only have this on you. Once the cash has run out so has the spending.

However for some having cash on hand increases the temptation for spending that they did not plan for.

The one flaw with cash is that it could be stolen or you could lose it. Cash is not insured so when it’s gone, it’s gone. Debit and credit cards are protected in the case of theft and loss.

Debit Card

Debit cards are accepted by many merchants as they will have machines like those from SureSwipe, so they are able to process them, which make purchasing easy.

Debit cards also have an easy record keeping so you can always keep track.

With debit cards the money comes out of your personal checking account, so you can only use the funds that are in there.

You then have to know what is in your account so that your card isn’t declined or you incur an overdraft fee. This then forces you to know your finances and what you have and don’t have as well as how much you can spend.

You need to know and understand your debit cards security. There are some that have similar protection to a credit card. If your debit card is lost or stolen, you will need to report it so that fraud can be stopped and you are not liable for purchases you didn’t make.

Credit Card

A credit card is the best way to create and build your credit score as long as you use it responsibly.

You can use your credit card to make purchases, but you need to be aware of the repayments and interest.

Each month you are required to pay a minimum repayment on your outstanding balance. Interest is charged on any remaining balance at the end of the month.

The interest can be reduced by paying more than the minimum or you can avoid interest by paying the full balance off each month.

Rewards programs and credit cards seem to go together nowadays. You are able to earn points that can be exchanged for items or travel. There are also cash back programs, which give you a certain percentage of money back for each purchase that is made using the credit card.

If your aim is to improve or build your credit score then you need to be careful with how much you spend and also make timely repayments each month. It is a good idea to rather make small purchases at the beginning with your credit card and pay them off in full each month, so that you can start a good credit history.

Credit cards offer a certain protection on items bought.

The best thing to do is to read all the terms and conditions before you sign up for a credit card and sees if it’s the right choice for you.

There are no best methods of payment as each differs and some will find one better than the other.
You may find that a combination is best. It all comes down to your individual circumstances.

It is best to consider the benefits of each of the methods of payments before you buy, so you can keep track of your money better.

How do Prepaid Credit Cards Work

How do Prepaid Credit Cards Work

If you are thinking about a prepaid credit card then you will need to know how do prepaid credit cards work so that you know exactly what you are getting and what is expected of you.


How do Prepaid Credit Cards Work

1. When it comes to how do prepaid credit cards work, you need to know that they are a hybrid. A prepaid credit card works more like a debit card. The amount that is on the card is what you have loaded onto it, which can be topped up. These cards can be used anywhere like with SureSwipe, as they are associated with one of the major credit card providers.

2. A prepaid credit card makes things easier as they are not linked to a bank account, so you will not need to deal with the banks.

The prepaid credit card allows you to do things that usually require a credit card like hire a car or make hotel reservations.

3. If you do not have a credit history or a low credit score, you can still get a prepaid credit card as there is no credit check to qualify. This also means you can’t build a credit score.

It is then a way for you to use it like a credit card but it is your money that you load and spend.
4. Prepaid credit cards will usually allow you to make purchases, withdraw from an ATM, pay bills online, and authorize payments to creditors and other features.

It is important to check the features on offer to understand how do prepaid credit cards work.

5. The card can be reloaded either by:

• Transferring money from a bank account
• Ask your employer to make a direct deposit onto your card with your pay check.
• Transfer from PayPal or
• Reload in a retail store that offers the service.

6. How do prepaid credit cards work in terms of fees could be a question on your mind as there is usually an interest attached to credit cards.

Prepaid credit cards have some pretty hefty fees so shop around.

The fees attached can be to buy the card, to add more cash to the card, to withdraw from an ATM and also to check your balance. Also there could be a monthly fee for the card as well.

Check all the fees associated with the card before you take one.

7. A prepaid credit card can help in managing your money. You could use it as a budgeting tool where you can load the grocery budget on and only use it as such. When the money has ran out, and then you’re spending also stops.

8. Even though a prepaid card is not strictly a credit card you will still receive theft and loss protection.

If you report a loss or theft of the card then the original balance will be restored and a new card issued.

When it comes to how do prepaid credit cards work it is an alternative and whilst it has the properties of a debit card it still acts to some degree like a credit card, which gives you more flexibility

Credit Cards for Students

Credit Cards for Students

As a student you live on a budget as best you can with tight finances, but are credit cards for students the best way to go? How do you apply for credit cards for students and how do they work?



There are some banks that offer credit cards for students. These cards do not have a huge credit limit on them as it is assumed that a student isn’t earning enough money or any at all to repay any debt.

The interest rates on these cards are quite high, but they are useful under the right circumstances.

Credit Card Advantages

When you make a purchase with your credit card you are more protected then with a debit card. If there is a problem with the purchase and the supplier won’t handle the situation you can claim a refund from your credit card provider.

Also having a credit card as a student means that you can start to build up a credit history which you may need in the future so that you can apply for loans.

Your credit history and score will depend on you repaying the balance each month and on time. As a student you need to be sensible and also know that this will impact your future finances.

What are Credit Cards for Students?

When you apply for a student credit card, lenders know that you will not have a credit score. Credit card providers will have specially designed credit cards for students so that you are able to build a credit history.

Credit cards for students will often have promotional bonuses and reward points. Also you will need to shop around so that you are able to get the best interest rate which can be high as you are considered a risk still.

Applying for a student credit card and being approved is far easier than for a normal credit card because of they will not need a lengthy credit history or any at all and also they do not need to you to have a certain income.

If you have little to no credit history, it might be better to look at a secured credit card. With this card you can still build a credit history which will help in the future.

Good Credit Card Habits

As a student this will most likely be your first credit card, so you should get into some good habits if you are going to have the responsibility of a credit card.

• Each month you are required to pay a minimum repayment, but rather try and pay the balance in full each month. This way you will not need to pay any interest.
• You need to avoid withdrawing from an ATM with your credit card as the fees attached to doing this are extremely high. Also cash withdrawals bring about a higher interest than purchases.

If you earn a steady income as a student then it might be wiser to apply for a standard card instead of a student card.

You will have more flexibility, lower interest and other perks that you may not see with a student credit card.

Credit cards for students can do more damage than good, because if you are unable to clear your balance each month you will not only have the interest but also late payment charges, charges for exceeding your limit and also if you use it overseas you will most likely be charged for this as well.

You need to ensure that you pay the full balance each month on your credit card for students so that you get a healthy credit score built and you are in control of the card, not the card in control of you.

SureSwipe in South Africa are merchant credit card providers, but they can offer great advice in various areas.

Credit Card Security Tips

Credit Card Security Tips

You are able to reduce the risk of fraud by taking some precautionary measures. These are credit card security tips that you can use on a daily basis’s to protect yourself.

SureSwipe in South Africa is a secure credit card merchant that allows your business to accept credit cards and your customers will feel safe in doing so.



Credit Card Security Tips

Security Online Tips

1. When you receive an email with attachments ensure that the attachments come from a trusted source. If you are sent a hoax or a suspicious email rather delete it from your mailbox.

2. You should have an anti-virus on your computer, so that your computer is constantly scanned to detect and remove viruses as well as spyware that can damage your computer, steal your personal details and documents.

3. If you are looking at downloading software especially when it is free, you will, you will need to ensure that the download source is a reputable one.

4. If you go online in a public space then you need be careful when you enter passwords and personal details as you cannot always be sure as to who is watching.

5. If you are using a shared computer, then you should always select no when the computer asks if it should remember the password for the next time that you visit.

6. A wireless connection should be secured and should only be accessed with a security code or a password.

7. If you access websites that require passwords regularly then you should use different passwords for each of these.

8. The passwords that you use should not be obvious ones like your date of birth. You should also never give your passwords, login details or user names to anyone.

9. Before you leave a computer, ensure that you have logged off.

10. Before you visit any other website, ensure you always log off from online banking.

Credit Card Security Tips whilst Shopping Online

1. When you are shopping online, you should not send your credit card details to retailers via email.

2. Your PIN should never be disclosed at any time when you are shopping online or by phone

3. When shopping online, you need to use reputable businesses so that if there are any problems then can be sorted with ease.

4. Confirmation emails and receipts should be printed and kept.

5. In the bottom corner of the site that you are using to make a purchase from, have a look if there is a padlock icon. This shows that the site is secure.

Credit Card Security Tips at Home

1. All confidential letters, account statements and receipts should be shredded.

2. Before you go on holiday, it is a good idea to inform your credit card providers of your traveling plans. This is so that they can verify the transactions that you are making whilst on holiday and not have your credit card blocked.

3. When you get a new credit card, it is important to sign it immediately

4. Your old credit cards should be destroyed by cutting through the chip and the magnetic strip.

5. You need to memorise your PIN.

6. There are retailers that will need your credit card number, expiry date and CVC number, but they will never ask for your PIN, so make sure you are dealing with a reputable business.

7. When you are selecting your PIN, you should choose a number that is easy to remember but is also not obvious.

8. The credit card cheques should be kept in a safe place, separate from your credit card.

9. If your credit card is slow at being delivered, then you can report it to the credit card provider.

10. If your monthly account statements are slow or if you receive your statement but it appears to be tampered with, then you need to report this to your credit card provider immediately.

11. Have a look at all your account statements for any transactions that you do not recognise. Also check online regularly.

These are simple credit card security tips that you can employ so that you can keep your credit card safe and avoid being a victim of credit card fraud.