should i apply for a credit card?

Question

a bank is offering me 9 months interest free credit card. its rate will then be a rate of 9.9% APR (variable).

with the same bank, it as another credit card with 9 months interest free. its rate will then be a rate of 5.9% APR (variable).

my question is which one shall go for? and why?

Answer 1

check these links, then decide what you want to do, they might even get you to change your mind!
see the FAQ on the first link down but really there's plenty of advice throughout if you have time to read:
http://credit-cards.ebookorama.com
http://finance.ebookorama.com
http://credit.ebookorama.com
http://credit-repair.ebookorama.com
good luck!
if it helps please remember me cheers

Answer 2

Do not consider any variable rate offers... go with fixed even if it's higher unless you will pay off completely within the nine months and never use the card again. Credit cards are great to have for emegencies but they should not replace your income. So many people are in the credit card trap. Also ask yourself if it's worth paying 5%, 8%, 12% or whatever for anything you may want versus what you need. Instead of paying $50 a month to pay something that you bought in the past that has decreased in value, put that $50 a month into an asset that brings in interest or value. I would rather make 3-5% than pay any percent to a credit card for things that I don't necessarily need. If you want the card just for ID or emergencies, either card will work. Make sure there are no annual fees attached to either card. Variable cards are just to lure you in. They will go up... and up... an up.

Answer 3

There are a few good reasons why you might want a credit card:

1. You need one to fly, rent a car or book a motel.
2. It's handy for emergencies, for example, car repairs.
3. It's convenient for ordering on-line or by phone.

And there's one good reason why you don't: self-control.

Many people can't handle temptation. They want instant gratification - have the toy now and pay for it later. Except that later never comes. The bill comes, they can afford to make only the minimum payment, interest is charged on the balance, the balance keeps growing...and before you know it, you owe more than your annual income.

APR = Annual Percentage Rate. This is the amount of interest charged on your unpaid balance. As one writer pointed out, it can go as high as 23%. That's huge. Most people who get into credit card debt take years and years to get out from under - once they stop spending.

So the short answer is sure, go ahead and get the card, on one condition: PAY OFF THE BILL EVERY MONTH. NEVER CARRY A BALANCE. Keep your receipts, reconcile your monthly statement, and never spend more than you know you can pay at the end of the month. This way the APR is immaterial, because you are never going to have to pay interest to the credit card company for the use of their money. If the day ever comes when you can't pay the balance in full, that's the day to cut the card in half. K?

Answer 4

Variable means they can make that APR whatever they want to.
Find out if there is a cap where it can't go any higher than a certain amount. Otherwise you could be looking at an APR as high as 23%. If that happens, so little of your payment goes for principle that you'll feel like your never going to pay it down let alone off. Be Careful.

Answer 5

Most of the time, you shop around for a lower interest rate, so my first instinct would be to go for the 5.9%. However, you may want to read the literature that came with both, and see what the benefits of each card are and choose the one that appeals to your needs or desires.

Here is a link that can give you some tips on using cc's responsibly. http://www.deni.net/credit_cards.cfm

Answer 6

I'm going to answer you first question. Do not apply for a credit card if you don't want to pay thousands in interest for the next 30 years. Check out the website below thoroughly before you decide.

Answer 7

NO....dont apply

If you have a credit card make sure you manage them wisely

Answer 8

this is what my business teacher told me. if your don't have to pay any annual fees, then get as much credit card as possible. since you will never know when you will need money, if you suddenly need money, those credit cards will come in handy.....