Overuse of credit cards can pile up an excessive debt burden.  But credit cards can also be used to reduce  debt payments.  This section lists some cards that have a low introductory rate, or a low permanent Annual Percentage Rate ("APR").  These cards can be used to pay off more expensive credit cards, high-rate auto loans, and so forth.  You can even find cash-back credit cards on this site that give you $30 to $75 just for acquiring the card.  And some other cards will reward you with rebates on your purchases of to 5%!

Keep in mind, the interest rates that credit card companies are usually their best rates, for people with good credit records.  The rate they'll offer you may be 3 to 5 points higher, if your credit record is less than excellent.  The tips and products in this section can really help you stay ahead of your creditors!

AnnualCreditReport.com gives you a completely free credit report once per year, as mandated by federal law.  There are three credit reporting agencies, so to make sure you constantly keep an eye on your credit data, I suggest that you order one free credit report every four months (rotating among the three agencies).  Also, if you are ever rejected for a loan or credit card, you are entitled to a copy of your credit report, free of charge (you must ask the company that received your application.)

Most credit reports contain inaccuracies, some of which could be damaging your credit rating.  Once you find out what's in your credit report, you can make informed decisions to build a solid credit rating.  The better your credit rating, the less interest rates you'll have to pay on loans and credit cards.  It's also quite possible that you'll find out about an account or deposit that you've forgotten about, and get that money back!

For people who are well off and would like a "watchdog" agency to constantly monitor their credit to assure their interest rates don't go up, ConsumerInfo.com offers professional credit monitoring services.  You get a free credit report, and you'll also receive a free 30-day trial membership in their CreditCheck Monitoring Service -- a service that continuously provides you with vital information about your credit.  If you decide on a paid membership (at last check it was $9.95 monthly), you'll be informed at least every month about changes to your credit record, and immediately by email if an important change occurs.

If you find that your credit record is inaccurate, you can dispute your credit record free of any charge.  You can also submit evidence or letters to be entered into your credit record.  Just the fact that you're trying to repair your credit record is taken as a positive sign by potential lenders.  Your first step should be to visit Kiplinger.com to read articles about repairing your credit.  After you've done that, you'll have a better chance of getting a good credit card.

	What To Do Now:   Time to complete:   5 minutes Money you'll spend:   $0 even for ConsumerInfo.com if you cancel the $9.95/month service What you'll get:   Ensure low interest rates, and find lost money by finding and removing errors in your credit record. Step-by-step instructions:  Visit AnnualCreditReport.com or click here: .   A new window will open with this page. Continue on to fill out the form and read the agreement.  If it's acceptable to you then click the button labeled Accept. Continue following their instructions and you will be able to view your credit report online. To avoid the $9.95 monthly fee, cancel anytime within 30 days after your visit to their Web site.  I recommend that you print this page, as a reminder.  If you cancel after  30 days, you can still get a partial refund of 1/12 per month left (example: cancel in 90 days, and get a $60 refund.) Further Reading: CreditScoring.com talks all about credit scores and how you can improve yours. Personal Finance Magazines, 90-day risk-free trials available How To Fix Your Credit Report Yourself, a top-rated book at Amazon.com. Credit Card & Debt Management: A Step-By-Step How-To Guide For Organizing Debt & Saving Money On Interest Payments, a top-rated book about credit card debt reduction at Amazon.com. What Every Credit Card User Needs To Know, a top-rated book about credit cards at Amazon.com.

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This site lists some of the best credit cards available.  Most of them are no-annual-fee cards, so you can get them for free.  It shows you ways to pay off your cards and improve your financial picture.  You should apply for no more than one or maybe two cards.  If you apply for more than one, it will temporarily reduce your credit rating for 6 months (because the card companies will suspect that your finances may be in bad shape.)  The more cards you apply for, the less likely you are to get any  cards.

When using credit cards, remember these important tips:

• Mail your payment to the card company at least ten days before the due date.  If you make late payments, card companies will charge you up to $30, and/or bump up your interest rate.  If you're accidentally late, call up the company to ask for the late fee to be waived.  They'll probably waive it on a one-time-only basis.
  
  Card companies can legally "hold" your payment for up to 5 days, just by claiming  that your handwriting is illegible.  So write very clearly and mail that check early!
  
  
• To keep your interest charges low, you can get cards with very low introductory APRs and switch them every six months to maintain the low rates.  However, this will make it harder to get new cards in the future.
  
  
• Cancel cards you don't use.  This can improve your credit rating.
  
  
• Always use a cash-rebate card for purchases, paying off the balance monthly (or transfer the balance to a lower-rate card.)  When you transfer balances, always read the fine print to make sure you're not getting charged a fee for the transfer.
  
  
• When you receive notices from the credit card company, look over the "changes of terms" carefully.  It's likely that costs such as annual fees, interest rates, grace periods, late fees and cash-advance fees have increased.
  
  
• If you need to lower your monthly payments, look for credit cards that require you to pay only 2% of your balance per month.  Some cards require you to pay as much as to 4% of your balance monthly.

If you carry a balance, the best thing you can do is call up the credit card companies to get them to lower your rates.  Here's how to do this:

	Save $$$ By Using Credit Cards Wisely   Time to complete:   3 minutes per card. Money you'll spend:   $0 using toll-free numbers. What you'll get:   1% to 15% off your APR ($50 to $150 per year, if you carry a $5000 balance.) Step-by-step instructions:  Read this article: Money-Saving Credit Card Choices: How to find the best credit card deal, and how to get rate reductions on your current cards. Call up your credit card company (their phone number is probably printed on the back of the credit card or on your statement.) Mention that you've been offered a great promotional rate from another company. Haggle with them for a minute or two, to try to get the rate down a few percentage points. Repeat steps 1-3 for your other credit cards. Further Reading: Money-Saving Credit Card Choices: How to find the best credit card deal, and how to get rate reductions on your current cards.  Call them up, mention that you know of a great promotional rate from another company, and try to get the rate down to 12% to 13%. Staying Savvy About Your Credit Cards: If your credit card issuer changes owners, they can impose whatever interest rate they choose, without clearly notifying their customers.  To stay competitive, many card issuers are increasing fees and rates. Personal Finance Magazines, 90-day risk-free trials available What Every Credit Card User Needs To Know, a top-rated book about credit cards at Amazon.com.

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When you get Blue Cash(SM) from American Express with Express Approval®, you'll receive up to 5% cash back on all purchases you make with this card.  That's more than the Discover Card pays you and it's more widely accepted than the Discover Card, so you'll have more cash-back buying opportunities.  The last time I checked, you'll receive 0.5% for the first $2,000, 1.0% for the next $4,000, and 3.0% in excess of $5,000.  If your account is carrying a balance, you will receive an additional 2.0% rebate for that billing period.  I advise you to carry a small balance each month, so you'll get this bonus without having to pay much monthly interest.  The drawback to this card is that the interest rate is a little high after the first six months; if that's a problem for you, check out the standard American Express Blue card.  Here are some other benefits you'll receive with this card:

• You can apply online for Express Approval and find out in moments if you are approved
• 0% introductory APR (at last check) on purchases and balance transfers for your first 6 billing periods.
• No annual fee
• Credit line of up to $100,000.
  
  
• Online Shopping Guarantee, covering you against Internet fraud
• Buyer's Assurance Plan: Warranty periods are automatically doubled, up to one full year
• Purchase Protection Plan: Purchases are insured against accidental damage or theft for 90 days, up to $1000
• Personal Assistance at over 1,700 Travel Service locations
• Automatic $100,000 Travel Accident Insurance for all travel ticket purchases (plane/train/ship/bus) made with your American Express card
• American Express Customer Service 24 hours a day, 7 days a week
• Emergency Card Replacement, usually within 24 hours
• Fee Free Additional Cards for people close to you

Some other good rebate cards are:

• Toys 'R' Us:  4% back, to use on toy purchases.  Apply at your local Toys 'R' Us store.
  
  
• GM Card:  5% back, to use on car purchases.  You can find this card at GMCard.com.

Here's how to get an American Express Blue Cash rebate card:

	Get A Cash-Rebate Credit Card   Time to complete:   10 minutes Money you'll spend:   $0 (most cash-rebate cards have no annual fee.) What you'll get:   Up to 5% cash back per year.  Step-by-step instructions:  Click here:  Express Approval®-Get Blue Cash(SM) from American Express. Read about this card's benefits, then continue to follow the online instructions to apply for a card. Further Reading: Chase Credit Cards has over 100 partner cards for airlines, entertainment interests, stores, sports teams, magazines, associations, animals, colleges and the military. A credit cards article suggests interesting ideas for cash-back credit cards. Many more cards are listed at CardWeb.com. Personal Finance Magazines, 90-day risk-free trials available What Every Credit Card User Needs To Know, a top-rated book about credit cards at Amazon.com.

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Here's a great cash-bonus credit card offer:  at NetFlip you can sign up for a variety of credit cards that pay you $5 to $30 cash back when you're approved for the card.  You should apply for only one or maybe two cards (more than that will harm your credit rating for 6 months.)  Here's the cards I saw there the last time I visited NetFlip:

• Discover Card:  Earn $20 on the first purchase, balance transfer or cash advance you make using your new Discover Platinum Card.* Sign up now!
• Shell Platinum MasterCard:  Sign up and earn a 5% rebate on Formula Shell Gasoline purchases made with your Shell Platinum MasterCard from Chase! A low 5.99% introductory APR.
• iAdvantages MasterCard®:  Enjoy as low as 5.9% fixed intro APR on purchases for 5 months and as low as a 12.49% variable APR on purchases thereafter.
• Juniper Bank:  Have excellent credit? If so, apply for and use the Juniper Mastercard with a 0% Intro APR and free balance transfers. Approval in as little as 30 seconds.
• Chase Platinum:  Chase Platinum offers you value, good times, and a host of valuable benefits, services and rewards. No Annual Fee. Credit line up to $100,000
• Blue for Students:  from American Express, No annual fee, Pay over time, Special airline and retail offers, Built-in Smart Chip for Internet Security
• First USA:  Get all the convenience, value and benefits of a traditional First USA Platinum Visa credit card plus 5% cash back at select online merchants.
• Aspire Diamond Visa:  Enjoy the privileges and benefits of the Aspire Diamond Visa - the card a cut above the rest! Credit lines to $10,000 and low monthly payments.
• Fleet Titanium Cash Rebate Visa:  Earn up to 2% cash back on purchases! No annual fee, credit lines up to $50,000.00 and enjoy a great low 2.99% fixed intro APR on balance transfers.
• Discover® Card for students:  The Discover® Card designed for students offers no annual fee, Cashback Bonus® award, a competitive APR and 100% On-line Fraud Protection.
• Fleet ePlatinum Visa:  Enjoy a low fixed rate of 9.99% on purchases and balance transfers, no annual fee, credit line up to $50,000, plus superior platinum benefits.
• Household Bank Mastercard:  Household Bank Gold Mastercard - Instant online approval! Apply Now!
• Orchard Bank MasterCard:  Build or re-build your credit with a MasterCard from Orchard Bank. Apply Now and choose from a low-fee unsecured or secured MasterCard!

I've seen no tricks from NetFlip.  They get paid by major companies to sign people up for offers, and they pass a share of that money on to their customers.

	Get A Cash Bonus For Acquiring A Credit Card   Time to complete:   15 minutes Money you'll spend:   $0 What you'll get:   A cash bonus and a good credit card, and up to $250 in savings on interest.  If you transfer $5000 from a 12.9% credit card for six months, that's a 10% cut for half a year, saving ($5000 x 10% x 1/2) = $ Step-by-step instructions:  Click here to visit NetFlip:  NetFlip.com. Sign up as a member of NetFlip and start earning free cash. Further Reading: Balance Transfer Tricks and Traps Can Sap Savings, an article at Kiplinger.com detailing how to choose a credit card if you're using it mainly for the low balance-transfer rate. Personal Finance Magazines, 90-day risk-free trials available What Every Credit Card User Needs To Know, a top-rated book about credit cards at Amazon.com.

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Household Credit Services (HCS) is one of the top 10 issuers of MasterCards in the United States.  Under their Household Bank and Orchard Bank brands, they offer credit cards to consumers who otherwise would have trouble qualifying for a credit card.  They have a reputation for good customer service and modest fees.  Additionally, they focus on credit education to enable their customers to rebuild their credit record.  Orchard Bank approves almost all applicants for a credit card, yet often the card is unsecured (meaning it requires no deposit.)  If your credit isn't so good, this is a good way to establish or re-establish the credit you deserve.  They offer an online "MasterCard Selector" that allows you to apply online, so you can almost immediately gain a recommendation for the credit card that best fits your needs... a "custom fit" solution!

	Get An Unsecured Credit Card, Even If You Have No Credit   Time to complete:   5 minutes Money you'll spend:   Setup fees are over $100, and there's also about a $5 monthly fee. What you'll get:   Financial power, convenience and flexibility that a credit card provides. Step-by-step instructions:  Click here:  Orchard Bank MasterCard Continue with the online instructions. Further Reading: High-risk borrowers face sky-high rates, but cards can be used to create good credit, an article at BankRate.com. 10 questions to ask before getting a secured credit card, another BankRate.com article. Personal Finance Magazines, 90-day risk-free trials available Credit Card & Debt Management: A Step-By-Step How-To Guide For Organizing Debt & Saving Money On Interest Payments, a top-rated book about credit card debt at Amazon.com.

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If your debt is over $10,000, you may wish to get a debt consolidation loan.  This is a long-term loan that pays off all your current debts, combining them all into the new loan.  You will lower your monthly debt payments significantly, because of the long term of the loan.  Of course, you can always pay off the loan early, once your financial picture improves.

The best type of debt consolidation loan is a home equity loan, because that normally has the lowest interest rate you can get (usually under 10%.)  Often, no application fees will be charged for a home equity line of credit.  If you don't have any home equity, you'll probably have to settle for a interest rate of 14% or higher.

Here are some other ways to consolidate debt:

• You can borrow against your 401(k) plan at a low interest rate.
• You may be able to borrow against your life insurance policy at a low rate.  Sometimes you can "cash in" the policy, or even sell it for 5% to 60% of its death-benefit value.
• EDebtConsolidation is a non-profit site that will put you in touch with a trained professional counselor, who will negotiate with your creditors to:
  
  
  • Consolidate your bills into one low monthly payment
  • Lower your monthly debt payments by 40-60%
  • Save thousands of dollars in interest and late charges
  • Improve your credit rating and end creditor harassment
  • Give you access to a free downloadable do-it-yourself kit, and help you decide whether bankruptcy may be the best alternative for you

Whichever method of debt consolidation you choose, it's essential to realize that you need to concentrate on paying off that loan if you want to get ahead.

	Lower Your Debt Payments, With Debt Consolidation   Time to complete:   10 minutes Money you'll spend:   $0 What you'll get:   Debt consolidation loan info  Step-by-step instructions:  Click here: EDebtConsolidation.com.  A new window will open with this page. Follow the online instructions. Further Reading: Personal Finance: Debt Consolidation Loans, an article at BankRate.com. Personal Finance Magazines, 90-day risk-free trials available Credit Card & Debt Management: A Step-By-Step How-To Guide For Organizing Debt & Saving Money On Interest Payments, a top-rated book about credit card debt reduction at Amazon.com.

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The Blue Card from American Express is the most advanced credit card that is widely available.  It has a 0% Introductory APR, and a Fixed APR as low as 9.99% on purchases and balance transfers.  Here's a list of its other features:

• Buyer's Assurance Plan:  Warranty periods are automatically doubled, up to one full year
• Purchase Protection Plan:  Purchases are insured against accidental damage or theft for 90 days, up to $1000.
• Return Protection:  This lets you return a covered item purchased with your Card within 90 days for a full refund up to $300 per item, even when the merchant won't take it back.
• Best Value Guarantee:  assures that you'll pay the lowest available price.  Just send them a printed, dated ad with a lower price within 60 days, and you'll receive up to $250 cash.
  
  
• Worldwide cash access at more than 300,000 ATM locations
• Personal Assistance at over 1,700 Travel Service locations
• Global Assist® Hotline offers toll-free emergency medical and legal referrals worldwide
• American Express Customer Service is available 24 hours a day, 7 days a week
  
  
• Automatic $100,000 Travel Accident Insurance for all travel ticket purchases (plane/train/ship/bus) made with your American Express card.
• Free Car Rental Loss and Damage Insurance.
• Emergency Card Replacement, usually within 24 hours
• Fee-Free Additional Cards to share the benefits of Blue with those close to you
  
  
• A Smart Chip is actually located within the card, and a Chip Reader that you attach to your computer that makes online purchases more convenient and secure.
• BlueLoot Rewards Program:  This lets you earn points toward great rewards for every dollar spent.
• American Express Online Shopping Guarantee protects you from fraud when shopping online
• Free online access to your Card account, with online statements that download into Quicken® and Microsoft® Money
• Online financial management advice and tools:  saving for college, net worth, retirement planning, debt reduction calculators and more.
• Free Year End Summary:  useful for tax preparation and personal money management
  
  

Here's how to apply for a Blue Card:

	Get The High-Tech Blue Card  From American Express   Time to complete:   15 minutes Money you'll spend:   $0 What you'll get:   The most advanced credit card available, loaded with benefits Step-by-step instructions:  Click here: Blue Card from American Express.  A new window will open with this page. Read about this card's benefits, then continue to follow the online instructions to apply for a card. Further Reading: Balance Transfer Tricks and Traps Can Sap Savings, an article at Kiplinger.com detailing how to choose a credit card if you're using it mainly for the low balance-transfer rate. Personal Finance Magazines, 90-day risk-free trials available What Every Credit Card User Needs To Know, a top-rated book about credit cards at Amazon.com.

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