5 Secrets Your Credit Card Providers Won't Tell You


BANGALORE: Often credit companies are accused of keeping their customers in the dark about the rules and regulations on interest rates, late payment penalties, and the mire of minimum monthly payments. After the CARD Act of 2009, credit card companies have become a lot more transparent, but still there are several 'surprising' secrets they won't tell you about.

It turns out; your credit card company may not always have your best interests in mind when signing you up for one of their cards.

Let’s have at a look at few ways you can lessen your interest payments and avoid other unnecessary penalties that loiter in the fine print:

1. Reduction in Grace Period

Most credit cards used to come with an interest-free grace period of around 30 days. However, credit card companies are looking at new ways of generating profits, and shrinking grace periods are a direct consequence of that. You may be surprised to know that now, some banks do not offer any grace period at all and thus you will be liable to pay an interest from the very day you use your credit card.

Therefore, it is very important to know the grace period of a credit card before you sign up for one. Existing credit card users should also call up their respective companies to know if there is any change in the terms and conditions.