The myths of the no credit credit cards are plentify. If you've received an offer recently and are planning to apply for it, then it is strongly recommended that you reconsider your decision.
The fact is that with these zero-credit card offers, its highly likely that you will end up paying interest at rates that are much higher than the market rate.
"There is no comparison between that which is lost by not succeeding,
and that which is lost by not trying."
- Francis Bacon |
Credit card companies may claim that they are there to help those who do not have a positive credit history. However, if you investigate fully you will soon realize that all they want is to earn huge profits through interest that customers like you pay on your credit card bills.
Credit card companies know very well that people who do not have a positive credit history are those that are the most desperate for credit and will do anything to obtain additional credit resources.
This is why they make it a point to charge high interest rates on 'no credit credit cards', knowing very well that people with a negative credit history have no other option but to give in to their unrealistic demands.
You might say that the credit card companies are just trying to insure against increased risk by charging high interest rates. However, if you analyze the rate schedule properly, you will realize that the rates are high even after providing appropriate cover for the potential risks involved.
The only purpose then it seems is to make huge profits, knowing very well that people with negative credit history are highly unlikely to pay their installments in time and will have no other option but to bear with the high interest rates and late fees being charged on their credit cards.
The above information indicates greed on the part of credit card companies; that they do not mind exploiting the desperation of people with bad credit for improving their own profitability. These are reasons enough for you to think twice before applying for a 'no credit credit card'.
If you are experiencing a bad credit situation and are in need of funds, then instead of opting for more credit card debt, it is recommended that you try increasing your income.
Attack with a vengeance the income side of your financial statement. Invest as much energy into making more money, as you would historically invest into obtaining additional credit resources.
There are many ways of increasing your income. You can start your own online home business, which is very achievable for anyone willing to overcome there learning curve.
Your financial problems will be resolved automatically once you take back control over your finances and you start earning more money.
At this point you will have no problem whatsoever in saying NO to 'no credit credit card' offers.
"Financial peace isn't the acquisition of stuff.
It's learning to live on less than you make,
so you can give money back and have money to invest.
You can't win until you do this.”
- Dave Ramsey |
|
Debt is NOT your friend. It's not a wonderful "tool" for building wealth. That's a myth.
