MYTHS (THE INDEX)
- Your credit card account isn't opened until you activate it using the issuer's toll-free number.
- You can stop unsolicited credit card offers by sending them back in the postage-paid envelopes.
- Merchants may require identification, such as a driver's license, when you pay with a credit card.
- If you pay your credit cards in full and on time, you don't need to worry about your cards' effect on your scores.
- High credit card limits are bad for your credit scores.
- A credit card company can't change my rate unless I mess up.
- Rewards cards are pretty much the same.
- After Bankruptcy, I will never get credit again.
MYTHS (THE TRUTH)
Myth No. 1:
Your credit card account isn't opened until you activate it using the issuer's toll-free number.
False. The ding to your credit scores -- typically 5 points or less -- happens as soon as the issuer pulls your credit.
Myth No. 2:
You can stop unsolicited credit card offers by sending them back in the postage-paid envelopes.
False. That won’t do it. Go to OptOutPrescreen.com.
Myth No. 3:
Merchants may require identification, such as a driver's license, when you pay with a credit card.
False. Merchants' agreements with Visa, MasterCard, American Express and Discover specifically forbid them from requiring identification.
Myth No. 4:
If you pay your credit cards in full and on time, you don't need to worry about your cards' effect on your scores.
False. You can still mess up your credit even if you're diligent in doing both.
How? By using up too much of your credit limit.
Myth No. 5:
High credit card limits are bad for your credit scores.
False. And you certainly shouldn't ask a credit card company to lower your credit limits or shut down cards, since either action could hurt your credit scores.
Myth No. 6:
A credit card company can't change my rate unless I mess up.
False. Many borrowers have seen their rates double or triple even though they haven't been late with a payment or suffered any other credit setbacks.
Myth No. 7:
Rewards cards are pretty much the same.
False. Consumers who shop around will find big differences among rewards card.
Myth No. 8:
After Bankruptcy, I will never get credit again.
False. .
People who have just emerged from Bankruptcy are interested in 2 things: "WILL I EVER GET CREDIT AGAIN?" and "WHEN?"
These are the wrong questions. You can get credit right after you emerge from Bankruptcy. But you will wind up doing business with sharks.
The questions you should be asking instead are: "WHAT KIND OF CREDIT WILL I BE OFFERED?" and “WHAT KIND OF CREDIT SHOULD I ACCEPT?"
Questions on credit? I can help. Call me on my cell now. I am a lawyer and I give advice on Bankruptcy and Foreclosures in Louisville, Kentucky and Southern Indiana. CALL ME ON MY CELL NOW. I WILL PERSONALLY PICK UP OR CALL YOU BACK WITHIN 20 MINUTES. TEST ME! 502.592.9771.
