The Scams Associated with Secured Credit Cards (cont.)
Contributed by Stephanie Litaker
- the annual interest rate you will be charged - either on a secured credit card or an unsecured credit card. It is common for secured credit cards to have a significantly higher interest rate than unsecured credit cards. This is because secured credit card holders are considered to be a "higher risk" than other individuals, and will probably have trouble getting a card from other companies.
Don't be a chump - avoid secured credit card scams
As with other things in life, there are certain warning signs that you should be aware of when looking into getting a credit card. The warning signs you should look for include:
- "Easy credit." There's no such thing as easy credit, and there isn't a company around that can legitimately guarantee that you will get a credit card. If the credit card company is legitimate, they will have already checked your credit history before offering you a credit card.
- Avoid those "900" numbers. Unlike a toll-free telephone, any company that wants to charge you from the start is probably not legit. They will charge you, and you will probably never get anything but a large telephone bill.
