Thursday, August 30, 2012

Chase Credit Cards: Advantages of an Instant Approval Program

A huge advantage with the Internet is the sheer speed with which practically every kind of transaction can be completed. Whether it is to get a home loan, buy a car or seek credit cards, the process can be completed in a matter of minutes. But recent developments have seen access to Chase credit cards slashed to the minimum of time, with applications approved instantly.

Known as the instant approval program, Chase bank is one of two key card issuers in the US - the other is Bank of America - to encourage consumer activity in the economy by removing many of the hurdles that normally make life difficult for applicants. All applicants need to show is that they have a reliable source of income and be over 18.

The purpose is to help qualifying individuals on the road back to financial recovery by offering credit cards that can be properly managed. If cardholders can get to grips with the mistakes of the past, then their future credit rating can be vastly improved too.

Advantages For Applicants

Like all cards, Chase credit cards come with a range of incentives that effectively make using the card less expensive than it seems, and provide a reward scheme from which real discounts can be enjoyed. This is pretty much par for the course when it comes to seeking credit cards, but there are basic incentives that should be expected.

As well as the advantages of being part of an instant approval program, qualifying cardholders benefit through an introductory offer that includes 0% APR and no annual fees. There are also 0% charges on purchases and balance transfers for the first 6 months, though this can sometimes extend to 12 months depending on the card itself.

As with all credit cards, of course, once the introductory offer ends, then APR of as much a 14% is typically charged, which is competitive. And as is always the way, repaying the bill on time vastly reduces the overall cost of the card, so sound card management will save money too.

Other Key Incentives

There are more incentives to enjoy through Chase credit cards. For example, by getting immediate access to a card it all but removes the stress that can come with seeking vital extra funds fast. An emergency bill might need to be paid quickly, and a credit card can provide the much-needed funds in a matter of minutes.

So, through this instant approval program, any additional stress otherwise associated with the application process, is removed. That extra peace of mind is hugely beneficial. But perhaps the most significant advantage that is provided by this program is the opportunity given to bad credit applicants to rebuild their status.

It might seem strange since credit cards are synonymous with bad credit scores and financial problems, but if the cardholders take a mature attitude to using the cards then it provides them with another chance to master the responsibility of handling access to credit sums.

Managing Your Card Maturely

So, is it very difficult to manage your Chase credit card maturely? Actually no. For those cardholders who have suffered real financial hardship at the hands of their cards, the reality is that such problems are down to the spending habits of the cardholder - nothing else. Once this truth is accepted, then it becomes easier to police ones own spending habits.

By taking advantage of the instant approval program from Chase, or from Bank of America, the chance to exercise that self-control is made simple. Usually, some simple rules are applied, like restricting card use to a limited number of specific purposes. For example, maybe use the card only to meet bills on time, and not for shopping. When this kind of plan is adhered to, the benefits of using credit cards become clear very quickly.

Tuesday, August 14, 2012

Balance Transfer Cards - How to Make Use of Them

Many consumers today put their faith in credit cards. For some, the trust is a categorical thing. They pay their bills on time and in full month after month to boost their credit scores. They also use credit cards to reap purchase benefits as part of a rewards program. On the other hand, many are not so credit-savvy; depending on credit cards as an additional source of income, which classically has the opposite effect on a credit score.

Largely, credit cards can be gainful, if used correctly. One feature of credit cards that has abeen misused for long is the balance transfer.

What is Balance Transfer?

This is an incentive offered by credit companies where a customer can transfer existing balances from other cards to a new credit card. This consolidates outstanding debt on several credit cards, thus making it easier to pay off debts with higher interest rates. The flip side? Credit card balance transfers do not come free. Credit card companies usually will allow a balance transfer but charge a transfer fee and other fees for carrying balances over.

Furthermore, the APR on a balance transfer is typically higher than traditional purchases. Many consumers do not realize it because they are usually given a promotional rate that comes with validity. Post promotion, the APR goes way up.

Make Balance Transfer Work!

As cited, balance transfers can be advantageous for those looking to merge debts, making them easier to remove. By removing debts, you can clear out your credit score and reduce your debt-to-income ratio, making it easier to secure financing and better insurance rates in the future. Making one work in your favor is not tough if you stick to a few guidelines.

Number crunching

Before applying, check out the interest rate of the new card. Make sure you are clear on the APR before and after promotion, so there are no shockers later. Check against several cards. It may not be worth it if the fees are higher than you can afford to pay.


Remember you will need to contain all applicable fees in addition to your total debt to get an accurate number. In correlation to the ending date of the lower interest rate, you need to prepare a plan that will coincide with paying off the total balance before the promotional APR expires. Or else you are just totaling more debt onto your shoulders. If you cannot create a plan for paying off the full balance in the allotted time period, a balance transfer is not a practicable option for you even if it promotional rate is 0%. If you don't do that math, the chances are good you are not making a financially-savvy move. 

Never do a balance transfer without a sincere commitment to eliminating your credit card debt. Treat this as your one chance to pay less for reducing debt. If your plan for eliminating the balance in the promotional time frame, you need to dedicate all available cash to ensure that happens, even if it means finding a source of complementary income to expedite the process.