In case you already own a credit card and happen to find a better rate with another credit card company, you can always call your credit card company and ask them to match the competitor's terms. Most of the credit providing companies want to keep your business and may be willing to adjust your interest rate and waive fees to keep you as a customer.

However, in case your existing credit card company does not match the lower rate offer, it would be better to pay it off, cut it up and apply for the credit card with the lower rate. And once you have selected a lower rate card, it would be better to put an end to the additional offers that you will surely receive.

In order to conduct efficient credit management with your credit card, it would be better to follow some guidelines on how to use your credit card most efficiently. In India, the trends in the usage of credit cards are changing rapidly. In fact, nowadays, the college students also own credit cards in India. Most of the college students are too young to understand the implications of credit and therefore 50% of college students in India have a very high credit card balance.

In order to maintain a positive credit management report, it is important to think of your credit card in the same way you do your checking account. Whenever you charge something to your credit card, make sure that you also deduct that amount out of your “cash in hand”. It would also do good to think long and hard about making the purchase. You need to ask yourself whether you really want to be paying for a steak dinner/outfit/gadget over time, while interest is accumulating.

 

~ Category editor Sakina Kadiwala. copyright data indianchild.com

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