Monthly Archives: June 2019

Personal Loans Can Help You Out Of Debts And Bad Credit

Every time a purchase is made, you pay for it either in cash or by a credit card. Each credit purchase leaves behind a trail and this information is documented as your credit history. This credit history of yours is used to determine a lot of things about you. It is said to be predictive and it is also said to be one of the most essential things that anyone looks at before they extend credit to you or give you a loan. It is for this reason that it is utmost important for you to maintain a good credit record.

What is credit?

Credit is your ability to buy or purchase goods or things by promising to make payment for them at a future date. It is also the amount of money that you can borrow and that will need to be paid off at a future date. It is thus your borrowing capacity and this is extended to you by several banks or lenders who offer you a particular amount of credit based on their study of your financial data and credit analysis. Sometimes, though, due to repeated non-payment of debts as they fall due for reasons best known to you, you could face a bad credit situation. This is when bad credit personal loan lenders come to your rescue and help you get loans despite bad credit so you can pay off your debts.

What is bad credit?

There are instances when there is continuous and repeated failure on part of people to repay their debts as they fall due. Such non repayment takes its toll on your credit records and credit score. Also, too much of this situation can put you into a bad credit situation. This situation makes it difficult to not only pay back debts but also to obtain fresh credit to do it. This is the time you need to take the help of bad credit personal loan lenders who give you loans despite your bad credit. The loans they are ready to advance help in saving you from situations like foreclosure or bankruptcy. The bad credit secured personal loans are a good way of getting rid of your debts despite being in a bad credit situation or having a bad credit score.

More about bad credit personal loans

The rule is that it is the best thing to keep your credit rating in good order. However, in the instance when this has not been possible, it is essential to look for alternatives that will make it possible for you to get loans or borrow some money that can help you get rid of your debts. This is where bad credit secured personal loans come to your aid. You need some asset to be placed as collateral when you take out a loan like this. Anything, be it your home, your car, any other property or any other asset can act as collateral to secure the loan amount that is advanced to you.

Credit card balance transfer deals

With nearly 200 balance transfer offers on the market, you may be misled into thinking that you have an infinite choice. However, in the search for a new service provider to take charge of your account balance, there are two obstacles to jump. First, you can not transfer balances between cards supported by the same supplier, or is part of the same banking group. For example, it is not just MBNA issue its own cards, it endorses and Virgin Money Card Alliance & Leicester, the name of a couple.

Card are seeking funds for new funds, rather than recycling the balance between its brands.

Secondly, most of the offers are only available for new customers, so we can not afford to complete the circuit card providers too frequently. Typically your account should have been closed between 12 and 24 months before they can be regarded as a new customer.

75% of the balance transfer offers available today are offered by vendors of just five, with Co-operative Bank to take a slice of 26% and 27% MBNA. So effectively, while 45 cards brands offer the balance transfer offers, when shopping for a new pact of your choice is more than halved, limited to only 17 vendors.

It is important to check the fine print to deal with a balance transfer, and to determine who is the provider of credit at the same time for your new credit card and address, otherwise you may find yourself with a new card and transfer your balance or to be denied the accused at the normal rate.

Not only do you have to navigate through the maze of credit providers and banks to find the address for you, that the tightening of credit criteria you may also find it more difficult to be accepted or you are perhaps much lower offered a credit limit.

This time last year, we saw the beginning of a new chapter in the long march credit card 0% war which took the life of balance transfer door to new levels. However this year, the market has remained relatively calm, with the same contenders longstanding retaining their existing offerings.

All of this said, it is still worth investing some time to find a competitive home for any existing balance, especially considering rates have increased in recent months and this is expected to continue in 2008.

On average, the rate of purchase is currently about 16%. By providing a 0% deal for 12 months (assuming you made a minimum repayment of 2% / 5), you could save up to 140 interest on a balance of 1K. And if your budget to pay off the balance of 0%, then the interest savings is still 64.

But you have to consider more likely to suffer a tax balance transfer. The average is now 2.56%, and 96% of these costs are uncapped.

Virginia writes for the Virgin credit card. is still one of the best UK credit cards and offers 0% on balance transfers. The Virgin credit card could be the perfect solution if you have other credit card balances to transfer. Get 0% on balance transfers for 20 months! With the Virgin credit card, you could get an instant decision today!

Automobile Brand Loyalty Important Factors And Why Porsche Is A Reliable Luxury Brand

If you’re in the market for a luxury vehicle, a certified pre-owned Porsche is a good choice, as evidenced by the fact that owners of new and used Porsche vehicles demonstrate brand loyalty.

In a recent JD Power & Associates survey, the Porsche 911 was the top ranking model, as determined by the number of reported problems per 100 cars. This kind of dependability is common in new and used Porsche models. Porsche drivers also appreciate the powerful performance and luxurious driving experience that a new or used Porsche delivers.

However, not all brand loyalty is based in such practical reasons. The 2012 New Luxury Vehicle Loyalty study, from Polk and, asked brand loyalists why they stay dedicated to a certain automobile brand. According to respondents, the most important factors in brand loyalty are:

-Brand Affinity. (44% of respondents Brand Affinity as the top determining factor in brand loyalty.)

-Quality/Reliability, as cited by 33% of respondents.

-Driving Performance (24%)

-Price/Finance/Value (16%)

-Styling/Design (16%)

An interesting corollary of this study is that brand loyalty motivations shifts according to the brand at hand. For instance, Acura drivers list innovation and technology as one of their top five reasons for brand loyalty. In contrast, Cadillac owners cite Brand Affinity more frequently than any other group of drivers. For BMW drivers, Driving Performance is the top reason for brand loyalty. Mercedes-Benz and Lexus owners reported that dealership loyalty is most important to their brand loyalty.

Car manufacturers track brand loyalty very carefully because it guarantees they will enjoy a steady stream of return buyers.

That same set of research results from Polk and found several explanations for why luxury car buyers switch brands.

The Main Reasons Why Car Buyers Switch Luxury Vehicle Brands

1. Price/Finance/Value (24% of surveyed car buyers)

2. Size/Body Style (20%)

3. Brand Affinity (17%)

4. Time to Change (14%)

5. Driving Performance and Styling/Design (both cited at 13%)

These are the reasons why a loyal Cadillac man might switch to a new or used Porsche.

How Age and Gender Impact Brand Loyalty

Age and gender demographic splits demonstrate significant differences in brand loyalty. For instance, considerably more women (17% of women compared to 11% of men) remain dedicated to a luxury brand because they feel loyalty to a certain dealership. In other words, a woman is more likely to continue driving her new or used Porsche because she loves the welcome she gets at her local Porsche dealership. Women appear to value vehicle safety more than men as well – 10% cited safety as a factor in brand loyalty, as compared to 5% of male respondents.

Age also influences brand loyalty. Brand affinity is important among those who are older than 55 years of age. 47% of 55+ respondents rated affinity as important, versus 37% of those younger than 55. Quality and reliability are key for younger drivers, 54% of whom cited these factors as important to their brand loyalty. In contrast, just 31% of drivers over 55 cite quality and reliability when explaining why they stay loyal, according to the Polk/ study.

Clearly, several factors drive automobile brand loyalty. For a reliable, fun car, you can’t go wrong with a used or certified pre-owned Porsche. Call your local Porsche Dealership to learn about their available inventory of new and used Porsche vehicles.

Bad Credit Personal Loans The Best Way To Get Approved Online

What is the biggest financial debt any of us is possible to cheerfully accept? It is a loan, a debt that regularly reaches over $200,000, but exclusive of which we cannot secure our relatives. For lots of financing borrowers, the opening to protect an insistent deal are small, but appreciatively, there is forever a possibility of receiving bad credit personal loans. How is this achievable? Well, as with each loan, achieving loan approval fall to the potency of your plan more than the status of your financing. For example- is a likeness of past refund way of life, and lots of lenders give the sense of being upon it as so. While it comes to giving way finance receiving, there are other factors that take priority over a credit ranking score. And, it is for this basis, present a loan plan – even with finance – can end blissfully.

Bad Credit Financing, And Why It Is A Negligible Feature

The biggest fault that candidates make is to consider that their history of credit ranking is the explanation to getting receiving. What this implies is that receiving bad credit personal loans with financing is always a possibility. However it would be similarly wrong to consider that money can be disregarded finally. This is since if the interest rate charged is high sufficient, then the installments will likely become too elevated to be deemed reasonably priced. It can come as no revelation that affordability is a type issue in achieving loan receiving. Get instant bad credit loans providers would like to put the low scores in their proper circumstance, which indicates that they need to see how the ranking was considered. This indicates they will check out your financing (in great detail), but showing an improved circumstances – possibly a new job, recently payment some current financial obligations etc.

Increase Your Arrangement

Regardless of having a minor pressure more events, it is glowing value creation progress to increase your financing. It fact in spite of all, assist to lower installments and, thus, make giving method bad credit personal loans a modest more convincing. There is only one method to get better a financing, and that is to observable current financial debts. What is more, it requires some time to accomplish this, and so some suspicious pre-planning is necessary. Attractive out a loan consolidation makes the task simple, let for all financial debts to be paid off in one go and present a possibility to lower the range of the necessary installments. This kind of debt reform can considerably assist in get loan receiving as by business out current financial debts, the financing progress. And with the total financial debt efficient during loan consolidations, a lot of extra money is free up to utilize to in any loan installments.

Other Traditions To Progress Approval Probability

Therefore, other than improving the finances, what traditions are there to get better the probability of getting a plan for Bad Credit Personal Loans Approved? Well, it is essential that the correct impression is given to the belongings mortgage lender. The most excellent impression is to prove a large responsibility through the assurance that comes with borrowing such large amounts of money. Payments time to save a large down payment is a good way to get that message across. If a payment of 20% can be made, it indicates the size of the required bad credit loan is reduced to 80%. Any more progress that can assist in obtaining loan approval is to look for a longer finance term. These specify the possessions finance main is separated into more but smaller shares, so lowering the amount of the installments.

Andrew Robinson publishes informative articles about instant bad credit loans and fast bad credit loans and get instant personal loans with bad credit offering online bad credit personal loans. Just apply

Five Huge Advantages To Credit Card Processing For Small Businesses

With the right product or service, even the little guy can take on his competitors and win. But in order to compete against the big guys, the small business owner needs to be able to offer customers the same conveniences other merchants are offering. One of the biggest conveniences you can offer your customers? Accepting credit card payments. And with the development of merchant accounts, that step is easier than ever.

As a business owner, you can establish a merchant account through a bank, credit card company or other payment processor. There are three types of merchant accounts to consider:

Retail merchant accounts charge the lowest transaction fees, but are often restrictive. If youre a retail merchant, you will pay a high percentage of your credit card sales and the card must be presented and swiped through a credit card terminal. These are best for bricks-and-mortar operations like a hotel, restaurant or grocery store. They are not designed to process payments through the mail or online.

MOTO merchant accounts which stand for Mail Order – Telephone Order accounts are used by merchants who sell their goods through the mail or over the phone. The merchant enters the customers credit card payment information into a terminal installed on a personal computer or a Web browser on a payment service providers Web site. MOTO accounts charge a higher transaction rate than those of a retail merchant account.

Internet merchant accounts work similarly to MOTO accounts, but are used, obviously, by those with an online business. The merchant uses a virtual terminal or payment service gateway to process the credit card order. These payment service gateways are part of many business Web hosting packages.

As a small business owner, you need to explore which merchant account is right for your business and find the company that is the right fit. Look at the fees you will be charged on transactions, ask questions of the company and ask others in your line of work which account they chose. You will be paying money to use the service, so make sure it fits your needs.

Some small business owners may still be struggling with why they have to accept credit cards. After all, they must pay a processing fee every time a customer presents plastic for payment. Here are five big advantages for business owners who accept credit cards:

1.In the long run, you will make more money by accepting credit card payments than you will pay in processing fees. Studies confirm that when people can pay with a credit card, their orders will be larger than if they paid with cash. One study by renowned accounting firm PricewaterhouseCoopers estimates that the average credit card order is up to three times higher than orders paid for with cash or by check. Customers online and in store fronts want to be able to pay with a credit card and they will reward your coffers for the privilege.

2.Merchants and customers will experience real-time processing. Transactions are completed automatically and instantly. If time is important to your business, this can be a real boon. The transaction is done and the product and service (or the receipt for product or service) is delivered within minutes. If, however, your business involves offline sales meaning you do not deliver product or services over the Internet you may prefer deferred processing. This allows you to review orders for accuracy before charging the credit card and shipping. And if your online system goes down, a deferred system will not hold up sales because the customer wasnt online waiting for confirmation.

3.Credit cards are not just a convenience for customers. They are also a convenience for the merchant who can technically stay open for business 24 hours a day, seven days a week. If you operate your business out of California, a client on the East Coast does not need to wait three hours for you to wake up in order to place the order. Its ordered and paid for before you even got out of bed.

4.Credit card processing can mean fewer trips to the bank for deposits or to resolve bounced checks. You no longer have to wait to see if the check will clear because your payment is usually guaranteed by the credit card company.

5.Enlarge your customer base by adding an online component to your business one that receives payments through credit cards. Even if yours is a local shop, you ought to have an online presence. With the right tag words, your site may be the first one to pop up with the merchandise sought by someone across the country. That customer does not have to come to your store to pick up and pay for the product and you, the merchant, have just enlarged your customer base.

Is Paid Credit Card Payment Protection Only For Those That Don’t Need It

It’s the quandary that people in debt face every day: How do I spend as little as possible on debt and still manage my risk? Lenders might offer a person taking out a credit card extended credit card payment protection for a small monthly fee, but people may feel they don’t have the spare cash to spend on securing a balance. In their mind’s, paid credit card protection is for those people who are rich enough not to need it, because they can afford the additional cost of carrying it. However, this type of thinking is exactly the opposite of what should be going through someone’s mind when they’re offered payment protection. Instead, they should be weighing the risk of defaulting on debt more than the cost of the small monthly payment used to make sure they can continue making payments if they get ill or are made redundant in their jobs.

How the rich might weigh the risk of not carrying payment protection

First, rich people would figure out how much of a balance they typically carry and whether they have enough savings to cover the balance should they suddenly lose their business or get seriously ill. If they are already carry disability or life insurance, this might help in the case where they were suddenly diagnosed with an illness or suffered a major accident. It would not help them if they lost their business and the associated income. For that they would need to rely on their savings or investment accounts to help repay outstanding debts.

Or, rich people with huge outstanding balances may decide that claiming bankruptcy would be the better option if their hope of repaying their debt in a few years is miniscule when compared to the size of the debt. For those that don’t have the option of a large bank account or business investments to cover an outstanding credit balance, the paid credit card payment protection can offer some peace of mind when they lose a job or get sick or injured. This is much truer for someone who is depending on an employer and a healthy economy to keep from being made redundant. Business owners might decide that claiming bankruptcy makes more sense.

When bankruptcy is not an option

If your livelihood depends on being able to work in your profession, it may be a very bad idea to file bankruptcy to get rid of credit card debt – even if your business fails. Bankruptcy in the UK can bar certain professions from practicing if that individual is declared bankrupt by the courts. In such cases, a payment protection plan can offer some peace of mind that debt payments will be made and creditors will not force that individual into bankruptcy through non-payment. This will give them time to work out an individual voluntary arrangement to resolve all the debt without a bankruptcy declaration. This can not only save their credit for a time, but also save their potential earning power for the future when thing might be a whole lot better.

Other risks that demand that you take out credit card payment protection

Other types of risks that can help you decide whether you should pay the monthly fee for extra credit card protection is whether your loss will affect more than yourself. It may be one thing to lose a credit rating, but quite another if the loss of a job or an unexpected illness also puts your family at risk. If you can cover a mortgage with unemployment benefits for a period of time, but not the additional credit card payments, then you might want to consider taking out extra credit card payment protection. If you happen to be made redundant through no fault of your own, the benefits can mean that you will be able to keep your family fed and housed, even while maintaining a good credit history. This will undoubtedly help you if it takes a bit of time to find a new job or if a job offer is dependent on a good credit history. It can also save you from having to dip into retirement or investment accounts to make up the difference. When the risk of non-payment affects more than just you because you are the primary bread-winner, it makes sense to add extra protection to your accounts to keep you solvent even when things don’t go exactly as you had planned.

Explaining Credit Card Debt Counseling

Sometimes a debt piles up so high because of interest rates that a person’s monthly income becomes virtually nil and he finds that just this month’s salary isn’t enough to cover the

bases on his expenses. The most immediate course of action that a person can do is to opt for credit card debt help, in this case, credit card debt relief programs or to avail of credit

card debt counseling. The question, though, is why exactly should one opt for debt counseling?

This is just one step in the effort to reduce debt…and, possibly, virtual credit card debt elimination. This method seeks the help of a professional debt counselor, or a financial shrink, if

you will. What they will do is to negotiate with the credit card company with the aim to possibly alleviate you of your plight, in other words, reduce your credit card debt drastically to

levels payable with your money at the time. There are some who might tell you to avail of a debt consolidation program after they’ve assessed that it would somehow ease your

financial burdens and at the same time, facilitate credit card debt elimination.

Typically, you’d start off with basic money management…manage your finances properly, kind of like functioning as a kind of credit repair services thing…then they’ll help you out to

map a solid budget plan. The general idea is to not only help a person rise out of their current indebted situation but also to improve the way he or she manages his or her finances to

guarantee a person’s permanent rise out of his debt situation.

A person’s choices for debt relief are quite numerous. Which is why it’s very hard to decide whether debt counseling is the best solution or not. Each credit company has his or her own

counselors that are the best in what they do, and is responsible for handling the budgeting, consumer credit and debt management aspects. Which is also why it is important to have a

reliable debt counselor to handle your financial organization.

Deciding can be quite hard, so you should ask your local debt counseling agency these questions so that you can figure out if this debt repair service is for you:

– Will the service cost you much?

– What is the percentage of payments or are there any hidden fees?

– Will the services you offer meet my debt relief needs, and what are they?

After you’ve pinpointed a reliable debt counseling agency which would provide services that are suited to your needs and will still leave you with some money after you’ve paid for the

program, then it shouldn’t be that bad an option for debt relief.

A ddebt counselor’s advice can really make a difference. It could help pump some life into your financial management strategies while also helping you realize a greater insight into

how you can work at resolving your other debt problems. If you feel you are still undecided about choosing credit card debt counseling to provide the financial relief which you

How to Stay Secure When Using NatWest Credit Cards

Credit cards offer a convenient way of paying for goods and services, whether you are shopping online, on the high street, or travelling abroad. They are also generally considered to be a secure method of payment, and most card providers put systems in place to protect you against fraud. However, you still need to take a few basic steps to protect yourself and your money when using a credit card.

Keep Your Card Safe

You should always keep your card in a safe place, and do not give it to anyone else to use, even members of your immediate family. You should also avoid disclosing your PIN to anyone.

When you are shopping on the high street, or withdrawing cash at an ATM, shield your PIN with your hand as you enter it to prevent anyone standing behind you learning what number you use. Also look out for suspicious looking devices fitted around the card slots of cash machines, as scammers occasionally use such devices to clone people’s cards so that they can use them to extract money from your account. If anything looks suspicious when you are using an ATM, withdraw your card immediately and notify the bank that owns the machines that something may be wrong.

Beware of Scammers

Sadly, in today’s world there are some criminals who will try to trick you into parting with your credit card and your personal details. Be wary of anyone who phones or emails you pretending to be from your bank, the police, or another source of authority. None of these organizations will ever require you to reveal your PIN or the login details for your account.

One worrying scam that has emerged lately is for scammers to phone the customer pretending to either be a police officer or a bank employee. The customer will be told to put the phone down and call their bank or the local police station to verify that the call is genuine. However, the scammers will hold the phone line open so that the customer’s call redirects to the scammer. The scammer will tell the customer that there is a problem with their card and that a courier will come around to their house to collect it. Through this method, customers can be tricked into handing over their card and personal details to criminal fraudsters. If you receive this type of call, put the phone down and do not engage with the scammers.

Stay Secure When Shopping Online

Many people worry about security when shopping online, but banks have been working hard to make sure your details are secure. NatWest Secure is a simple browser application that the bank uses to verify your identity when you make certain transactions using your credit or debit card online. By asking you to enter digits from your PIN or online banking password, the bank can be sure that it is you that is using your card, not a fraudster.

Of course, you should continue to take basic security precautions when carrying out financial transactions online. Never share your PIN, card number, security code or account login details over the internet. When shopping online, stick to reputable sites that you are sure you can trust, and look for a padlock symbol in the address bar of your browser. This symbol shows that your details are being transmitted securely, which means that they are protected from hackers.

Look Out For Suspicious Transactions

It pays to keep an eye on your credit card statements so that you can spot fraudulent transactions soon after they occur. If you see anything suspicious on your statement, call the bank to report it. If you lose your card, you should also report it as lost or stolen as soon as possible, so that the bank can cancel the card and prevent any fraud from occurring.

NatWest offers a free fraud text alert service, in which customers receive text messages letting them know when a suspicious transaction has taken place. This service allows you to let the bank know quickly if you did not authorize the transaction.

Knowing The Advantages And Disadvantages Of Credit Score Information To Receive A Home Finance Loan

Negative credit worthiness can easily harm you in many ways. If you have endured complicated economic times and ended up with bad credit scores, in foreclosure process on your home or ended up declined for a loan, well then you realize owning good credit usually means access a better life. At this moment that you’re trying to improve your credit rating scores, this short article is going to allow you to begin.

For anyone who is in search of important information on fixing your own credit ranking, then you must realize the dynamics of the steps and start using the basic principles. Number one you need to get access to your main credit rating with the main three credit bureaus, Equifax, Experian and Trans Union. After you obtain it, try to find irregularities or unreliable particulars of which shouldn’t be there.

The big three credit agencies use to charge a payment to individuals just for the statements. Now, all of us have the ability to obtain a 100 % free copy of their credit score once a year since the FTC passed additional law regulations offering individuals further protecting legal rights. Getting this done all takes place using this type of by understanding the basics.

Consumers generally hold varying sentiments as for handing over their credit ranking dilemmas to a service provider. Despite the fact that thousands happen to have been aided because of the information and assistance of a credit repair company, nonetheless some people seem reluctant. Some great benefits of permitting an established provider cope with your professional credit repair are too numerous to say. You can have a significant turnaround in your life any time you learn to rely upon the assistance of professionals.

The important locations to find out credit repair aid is via the internet. There are numerous blogs that often publish answers on how to begin improving your credit rating. Always execute a search inside your preferred search engine to receive credit repair service help. Aside from acquiring a handful of excellent recommendations on rectifying your credit, you will observe resources for the most suitable credit improvement specialists in america.

The Ftc web page of course gives in depth resources on repairing your credit score. Mentioned, one can find samples of forms and letters intended for disputing faults, correcting issues, eliminating obsolete information and disputing data that is definitely thought not true.

The Public Library can be another great supply of guidance. Simply ask the Librarian for references to the consumer credit score industry and furthermore actually tell them what you would like to find out. They will be able to point you within the correct course. Libraries are usually also tremendous options with regard to text books and how-to guides created by professionals related to credit repair service.

At the same time, the online world is a great location to locate a credit restoration specialist. There are many to pick from. Merely perform a search on the web for the most respected agencies and connect with a handful. Do a list of concerns and ask each person a question. Take note of the responses offered from each representative and wait to see which one makes you feel good internally. A person don’t have to do it all by yourself. The type of talent that you need is oftentimes simply a computer mouse button click away from you.

Credit Repair And Unsecured Credit Cards – Boosting Credit Scores Fast

If youre credit challenged and need to raise your business or personal credit score in the quickest amount of time, I would strongly recommend that you employ a legitimate credit repair service (yes, they do exist) and get a guaranteed merchandise card. Ill explain what this kind of card is shortly. Anyway, whether you use a legitimate credit repair company or do your own credit repair you cant go wrong. Why? Because various studies over the years have documented very high error rates among the credit bureaus, which translates into the high probability that your own credit file contains erroneous information. In fact, a 2004 study found that 79% of all credit reports contain errors of one kind or another! So credit repair is a no-brainer when it comes time to decide on what one should do first. And as I mentioned earlier sub-prime merchandise cards will be the other book-end of your new effective strategy, building your credit score in the two ways, which Ill outline below.Sub-Prime Merchandise Cards represent the single most cost-effective way for consumers (and businesses) to add positive accounts to their credit files for fast credit score boosting while at the same time lowering their debt-to-credit ratio. Lowering ones debt-to-credit ratio is without doubt one of the most effective ways to accomplish credit score repair or even to build your business credit fast. These cards provide you the business owner with a valuable, unsecured and revolving business line of credit. When used along with legitimate credit repair (do-it-yourself or using a credit repair company) you kill two birds with one stone by removing negative items from your credit report while adding positive ones.Basically, a sub-prime merchandise card is a credit card which is to be used exclusively with a particular merchant or through that merchants on or offline catalogs. Sub-Prime (Guaranteed) Merchandise Cards work very simply and in the following manner: the company provides you with a card holding a $2,500 to $25,000 credit line and does so with no credit check and no cosigner. The amount of your purchase determines the amount of the credit line you receive. This occurs after you make an initial merchandise purchase from that companys catalog. Once you are approved (the approval process is very easy) you charge a minimal amount on your card to activate it and are then given a liberal (nominal) repayment schedule to pay back the amount charged on your card. Please note that a legitimate company will then report your payment history to at least one of the major credit bureaus. Just be sure to check to see that they in fact report to one of these bureaus. Heres how you do this. if the merchant is not clear and concise in its advertising (on or offline) about credit bureau reporting, you should not deal with them. Ill now move on to the benefits of how to build credit using a sub-prime (guaranteed) merchandise card. Sub-prime (guaranteed) merchandise cards are credit cards for folks with challenged credit or no credit, and are the single most cost effective (and powerful) tool for businesses and consumers to increase their high credit limit and decrease their debt-to-credit ratio. Debt-to-credit ratio is the amount you owe in relation to your credit limit. So if you owe $6000.00 and have a credit limit of $10,000, your debt-to-income ratio is 60%, which is way too high! A debt-to-income ratio this high will surely lower your credit score. Lowering your debt-to-income ratio to say, 30% is much better and will give you a much higher score. Using a Sub-Prime Merchandise Card will go a long way toward accomplishing this for you.On the other hand, paying off your bills in full each month is wrongly thought of by most people to be a best practice. But this is not at all true. Bankers and credit card companies actually prefer that you NOT pay off your debt in this manner because they dont get to charge you interest when you pay off all of your debt in full and on time. The bottom line is that you have to strike a balance between owing too much and too little. As I mentioned earlier, 30% is a very good debt-to-income ratio and will RAISE your credit score. I know, it sounds counterintuitive. But when you consider how banks and credit card companies make their money from interest charges it makes perfect sense.