Roundup, MT (PRWEB) June 3, 2006
Most bad credit credit card companies charge annual membership or participation fees. They often range from $25 to $50, sometimes up to $100; "gold" or "platinum" cards often charge up to $75 and sometimes up to several hundred dollars. Choice Credit gives many options, compare plans at: http://www.badcreditcreditcards.biz/badcreditcreditcards.php. A credit card for bad credit may include other costs. Some issuers charge a fee if the card is used to get a cash advance, make a late payment, or exceed a credit limit. Some charge a monthly fee whether or not you use the card. Choice Credit gives all the info needed to make a wise choice.
If there is not a free period, it's important to know what method the bad credit credit cards use to calculate the finance charge. This can make a big difference in how much of a finance charge will be payed - even if the APR and the buying patterns remain relatively constant.
Examples of balance computation methods include the following.
Average Daily Balance: This is the most common calculation method. It credits the account from the day payment is received by the issuer. To figure the balance due, the issuer totals the beginning balance for each day in the billing period and subtracts any credits made to the account that day. While new purchases may or may not be added to the balance, depending on the plan, cash advances typically are included. The resulting daily balances are added for the billing cycle. The total is then divided by the number of days in the billing period to get the "average daily balance."
Adjusted Balance: This is usually the most advantageous method for card holders. Bad credit credit cards balance is determined by subtracting payments or credits received during the current billing period from the balance at the end of the previous billing period. Purchases made during the billing period aren't included. This method gives the holder until the end of the billing cycle to pay a portion of the balance to avoid the interest charges on that amount. Some credit card for bad credit issuers exclude prior, unpaid finance charges from the previous balance.
Previous Balance: This is the amount owed at the end of the previous billing period. Payments, credits and new purchases during the current billing period are not included. Some creditors also exclude unpaid finance charges.
Two-cycle Balances: Issuers sometimes use various methods to calculate the balance that make use of the last two month's account activity. Read your agreement carefully to find out if your issuer uses this approach and, if so, what specific two-cycle method is used. If you don't understand how your balance is calculated, ask the bad credit credit cards issuer.
Most people get their share of offers for bad credit credit cards, and credit cards for bad credit like this, re-establish credit with pre-approved bad credit credit cards, regardless of credit history, some with low introductory rates and other perks. Many of these solicitations urge to accept "before the offer expires." Before you accept, visit Choice Credit and shop around to get the best deal. A credit card is a form of borrowing that often involves charges. Credit terms and conditions affect the overall cost. So it's wise to compare terms and fees before agreeing to open a credit or charge card account.
Choice Credit can help in making a wise decision.
Visit: http://www.badcreditcreditcards.biz to compare plans and get the right card.