As the saying goes, “The devil is in the details.” For credit cards, this cannot be more true. Credit card companies are always sending out card deals that look too good to be true, and that is because they are. Some may say, “Get up to a $1,000 credit!” Yet, when you get the card, why does it say the credit line is only $200 or $300? And why is it that the balance is already up to $150, or even more, on such a low credit line?!
People with bad credit are great targets for credit card companies. It may not be the person’s own fault that their credit is bad, what with rising mortgage rates, rising unemployment, outrageous hospital bills, and divorces that all can strike without warning. There are still many, many more people with bad credit who got there simply by not being careful enough. Maybe they spent their money like water, living outside their means, never thinking that one day a quick swipe of the plastic might come up “denied.”
Others forget to pay bills, or simply skip a month or two just because. A lot of these people are inexperienced young adults, preyed upon by the credit card companies, but that is what they do. The average person with bad credit is what con artists call an “easy mark,” and the credit card companies know this. So, what do they do? They send you more credit! Just remember, buyer beware… the credit card companies want to make money, not just give you money for free.
Open up an envelope for one of these card deals and look at the little piece of paper that the terms are printed on. Credit lines may be smaller for people who have lower incomes, even if the advertised amount looked much bigger. You will probably get the low end of the credit line, which can be as small as $200 on some cards. It probably will not be higher than $500 for most people.
Next, there is the interest rate. Everyone’s rates are high nowadays, but these cards will be even higher. Some are around 30%! Finally, the fees. Maybe you are okay with paying $50 (some are more like $75, maybe even $99!) to start up the card. Now that is $150 you have left on the card, once it comes in the mail. Did you know that many of these cards charge monthly fees? Deduct more from that card, and there is barely anything left for you to spend… yet you are paying a whopping 29.99% interest rate on a couple hundred dollars worth of fees.
That hard-up for $50 or so? There are better ways to get it, like selling something on eBay, checking under couch cushions and in jeans pockets for loose change, and begging Mom and Dad (even if you are over 30, just show them the card you were thinking of using… that might scare them into forking out the small change!). Maybe instead of just reading articles on Helium, get an account and write fifty or more articles (it is not as hard as it sounds). Whatever you do, just do not fall for these credit card scams. They are not worth the trouble, and are only in existence with one goal in mind; to rip off poorly educated, desperate consumers.