These Charge Cards

The Credit Card Alternative

TheseChargeCards.com, the credit card alternative helps you search for the right charge cards and credit cards. Charge cards although similar to a credit card are not the same. A person with a charge card has to pay off the balance within a certain specified time frame, otherwise heavy fines and penalties are levied against them. A credit on the other hand is a revolving credit and as long as you meet the minimum payments you can continue paying for your purchases until the amount is paid in full.

The primary benefit of a charge card is that you don't carry a balance on your card since you are required to pay the balance at a set date. The negative is that if you don't have the money to clear your balance, the fines will be tremendous. The most popular charge cards that everyone might be aware of are the American Express Charge Cards and the Diners Club Charge Cards.

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Credit cards on the other hand have the tendency to lull you into a comfort zone and some people never pay more than the minimum amount due. In an extreme example a pizza pie might end up costing you a $1000 depending on how long you take to pay it off. The positive note about credit cards is that you can carry a balance and since most of us don't have the money to pay our balances off monthly, a credit card allows up the power to still purchase an item that we need when we need it and take our time paying it off.

If you are going to get a credit card, make sure that you don't lose sight of your charges. If possible a secured credit card might help you to better manage your finances. And if you do get a secured credit card, try to get a MasterCard or VISA Secured Credit Card that Reports to All 3 Major Bureaus. If your secured card reports to all 3 major bureaus it will help you build your credit score and credit history. If you really think about it that is all that really matters...building your credit score and credit history.

When you think of a charge card, what is the first thought that comes to mind? For some it is a business charge card. For others it is an airline charge card and still for others it is an image of store charge cards. While it is true that charge cards differ from credit cards in how they are used and how quickly the money charged on them have to be paid, in principle they operate in a similar manner in that they both allow the user, whether they be a business or an individual the opportunity to purchase something instantaneously and pay charge card issuer or credit card issuer at a later time. Granted the charge card time frame is much shorter, this ability to allow an individual to purchase something when they desire it and pay back at a later time offers convenience and makes life easier.  

It is important to note that store charge cards are essentially credit cards. Many types of businesses including Gasoline companies offer their own credit cards. Why is this? Simple, if you have a credit card for a specific gasoline brand, it is very likely that when you need gas, you will wait until you see that particular brand to buy gas. The same goes for retailers and any other type specific credit card or charge card offer. Airline charge cards, store charge cards, gasoline charge cards, are all branding their service with the customer to help ensure that the customer will return again and again. In addition, there are fees and interest rates and late charges that are incurred from the simple an regular use of these cards that can help drive revenue to the business charge cards even if the customer ends up using the card to purchase a competing product.  

When you think of the innovation of these charge cards, it is quite impressive. The ability of these business charge cards to still be able to make a profit from you even when you buy from their competitor simply because you charged the purchase on their charge card is in essence a very wise business model. You have to learn to discern from bad charge card offers and good charge card offers, just like you would when you search for the best credit card offers while trying to weed out the worst credit card offers. The bottom line is to be able to sign up for a great credit card offer or charge card offer and if you are approved to be careful enough to maintain an excellent credit rating. A high credit score or credit rating will save you money in lower interest rates and will increase your chances of being approved when you apply for a credit card, car loan, home loan, etc.

In order to continuing benefiting from the use of your credit cards or charge cards, it is imperative to maintain a high credit score. You do this by paying your bills on time in the case of a credit card or carrying only enough balance to be able to pay of the entire balance at the end of the billing cycle, in the case of a charge card. Use your cards wisely and they can be useful allies, if you become careless with either it could lead to financial ruin.  

Another alternative to a regular credit card is a prepaid credit card, like a Silver Prepaid MasterCard card, which is often called prepaid Visa or MasterCard. These are also commonly known as secured credit cards. The term secured credit card is used because you are securing your purchases with an initial deposit into the card. These credit card alternatives usually require no credit check. Even if you have a damaged credit history you can still qualify for a secured or prepaid credit card.  

Prepaid Visa Card - No credit check. Quick approval. Shop online, pay bills, use ATMs or secured credit cards are not to be confused with the debit cards that are given to you buy your bank when you open an account with them. Although the two function in a somewhat similar manner they do have their differences. When you make purchases with your bank debit card, the funds are immediately withdrawn from your account checking account. In that the funds come directly out of your account every time you make a purchase that is where their similarities end.  

With a secured credit card your credit limit is set by the amount, which you have already prepaid into the card. With a bank debit card, you can add overdraft feature to your debit card, so that if you run over the amount in your account the bank will for a hefty fee cover the amount that you went over. Secured credit cards allow you the convenience of making purchases just as you would a normal credit card. Another big difference is that secured credit cards are a viable option for people who have bad credit credit and are not able to get a regular credit card due to a poor credit score. Secured credit cards are also great for people who don’t want to pay interest monthly bills to their credit card company. What is really important is from whom you get your secured credit cards. Some secured credit cards and prepaid visas will report to all 3 major credit bureaus as mentioned above and some don’t. Check for clarification if you decide to apply for one.