When in search for a credit card, you will be confronted with a lot of choices. And with so many options available, selecting the best one can be tough. The new credit CARD law was created to protect consumers against unexpected changes in the terms and conditions. However, the new law does not prevent credit card issuers from making their offers more enticing to the public. In this post, we talk about the most common credit card traps that consumers must watch out for:
Indistinct words or phrases.
Credit card deals may sound attractive at first. But if it includes the phrase “up to” or “as low as”, you should take a closer look at what the deal truly entails. Perhaps you see reward credit cards that offer “up to” 5% rebates or “as low as” 1% interest rate on purchases. Sounds like a great deal? Check the fine print and you’ll see that maybe it’s not so great after all.
Phrases like “up to” and “as low as” are often conditional. For instance, you can earn the maximum 5% rebates or enjoy “as low as” 1% interest rate but only if the conditions stated in your contract are met. You may discover that in order to qualify, you must purchase from affiliated merchants. Upon closer look, these affiliated merchants could turn out to be high-end shops that only sell expensive goods.
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