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my favorite credit card  Uploading ....Credit and debit cards essentially come in three types - unsecured credit cards, secured credit cards, and prepaid cards. We'll go over the intent of each to help you better recognize which will fit your needs best.
Let's first go over the unsecured credit cards, as they are the typical cards that nearly all consumers are accustomed to. Unsecured credit cards consist of all those cards that propose extraordinary incentives such as low interest, introductory APRs (Annual Percentage Rates), balance transfer offers, and bonus points and cash. These credit cards don't involve a security deposit and nearly all have low rates and little to no fees. In general, unsecured credit cards call for average to good credit, although there are several issuers that cater to folks with less than stellar credit. If you're not in any credit trouble, apply for these first because they provide the best benefits plus help to grow your credit history.
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Secondly, prepaid cards are not credit cards as the issuer does not report to the credit bureaus to help build your credit. Your available spending on the card is whatever quantity you deposit towards funds for that card. Prepaid cards are much like secured credit cards in that they're accepted anywhere credit cards are accepted. Prepaid debit cards allow you to basically make purchases anywhere that accepts credit cards, rather than you having to carry cash around. Teens are good examples of consumers intended for this type of card, as parents can control what their little ones spend and several allow online reloading of the prepaid card. Other representative prepaid card holders are those who either can't get a checking account (sometimes according to location) or people who just want to avoid banks.
Lastly, secured credit cards are geared towards individuals who either haven't established good quality credit or have fallen into credit woe in the past. Your credit limit is determined by a security deposit that you simply send to the credit card company, rather than the limit being based on your credit standing (i.e. a $500 security deposit would indicate your credit limit is $500). The amount which you deposit is kept in a savings account and will not be used towards paying off your month-to-month balance. You get the deposit back once your account has been closed. Secured credit cards report to the credit bureaus, so this might be the main reason people desire this type of credit card to improve their credit.
Most consumers will want to stick to the unsecured credit cards that offer rewards and other great benefits, along with building a solid credit history.
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