digital divide network - article database

Everybody likes cheap credit and everybody wants it too. Most credit card and loan schemes force you to pay exorbitant amounts as interest thus making it even more difficult to repay the loan. Only a select few are able to enjoy cheaper credit while the rest have to make do with loans and credit cards that come with huge interest rates. However if you take the following steps and follow our advice rightly then you can greatly enhance your chances of securing cheaper credit options.

Create and maintain a good credit history

A good credit history is most crucial to your future chances of securing cheaper credit. A good credit history validates the fact that you repay the credit well on time and is a responsible borrower and therefore sends across a positive message to your prospective creditors who then become ready to present to you the cheaper credit ( Billigere kredittkort ) options. However you don’t stand much chance if your credit card history reflects your inability to repay loans on time.

You can create and maintain an appreciable credit history by applying for a credit card and then making sure that you make the monthly credit card bill payments well on time.

You can also maintain a good credit card history by opting for direct debit which means that a certain amount will automatically be paid to the credit card company every month and will be deducted from the billed amount. This will ensure that you won’t get late with your credit card bill payments and will be able to maintain an impressive credit history.

One is also advised to split the bills with one’s spouse which means that you and your spouse should respectively pay some percentage of the household bills via your separate credit cards. This will create a good credit history for both of you and you will stand good chances at cheaper credit individually as well.

Don’t seem too desperate for credit

One of the most common mistakes that people seeking credit commit is that they apply for loans at too many places all at once hoping they’d get a reply from at least one of those places. However they forget that every time they apply for credit, the application is not just visible to the bank they are applying to but also to other creditors which makes them assume that they’re too desperate to get credit which is why they’ve applied to so many places in a short period of time. Therefore to improve your chances, make sure you seem a confident borrower and not a desperate one.

Apply for credit well in advance

If you are going to move house in just two-three weeks and are now thinking of applying for credit, then it’s a very bad idea because it reflects your lack of responsibility and an erroneous planning. It is strongly recommended that you begin the credit application procedure well in advance especially when you know it very well that you’re going to need credit in near future. This will not only help you secure cheaper credit but will also put lesser burden on your mind.