In recent times, numerous people have started using plastic money. This is definitely a sign of prosperity but it has negative aspects too. There are certain sections of people who are not having control over their expenses and end up landing in debts. They buy products from credit cards but eventually fail to pay the interests. Generally, the rate of interest of such a loan is higher and people over-estimate their buying capacity. In order to come out of this trap you can take assistance of consolidation loan, as it is one of the best methods to deal with situations related to loan non-payment. Following are some of the best methods to pay off the dues related to credit card. You can choose either of them and get rid of the mess.

Credit Counseling: A majority of these companies are not for profit organizations but they get remunerated along with the companies they have attachments. If you take the assistance of these companies, then they can help you to reduce the rate of interest on your personal loans. A majority of people take credit cards, but are not able to handle its interests, so taking assistance from these companies is advisable. It has been seen that the success rate of the people dealing with these companies has been exemplary. A majority of people pay off their dues of credit cards quite easily.

Debt Management: You may come across companies which offer to manage your debts by taking over all your monthly installments and interests at once and paying off your creditors the due amount at lower interest rate because they have dealing with them for a long time now. Here, the major hurdle is that your credit score card will look as if you filed Chapter 13 Bankruptcy. If you choose this method as an option to quash your loans, then the mortgage company will not have any problem whatsoever. This needs to be the last option because this will leave a blot on your credit score card. When you have tried all the possible methods, then you need to opt for this option.

Debt Settlement: In this case, the creditor agrees for settling your debt for approximately 50-80 percent of the overall amount owed by you. You can get this done all by yourself; else there are companies which can work on your debt. This method may seem perfect for sealing off the debts at once because taking burden on your shoulders is truly demotivating. There are various other options for solving the problem but they are all complex and may push in further more problems.

Debit Reduction: Debit reduction of the debit can turn out to be the best deal for you because in this the company talks with the creditors and reduces your unsecured debt up to 60%. Thereafter, you can pay the newly set amount without any monthly interest. Since this is an agreement on repayment rather than debt settlement so you may not have to face any tax consequences.

An Insight on Acquiring Personal Loans:

Personal loans have come a long way to assist people and take them out of problematic situations. Here’s a practical guide for applying personal loans. This may certainly accelerate your chances for being granted the credit.

Applying for Personal Loans:

You need to put a serious thought on your basic needs and financial capacity. Before you begin the quest for attaining personal loan, you need to have a clear picture about your need, expectations and budget. Analyze your financial position and determine the amount required by you and the loan amount that is required at the moment. Take into consideration rate of interest, terms of payment, fees and other additional payments while analyzing your monthly budget. This procedure may also help you in determining the type of loan you need to go for.

Before putting a finger on a particular personal loan, you need to put in intensive research of the market and try understanding offerings of different loan providers. The more information you gather, the easier it would be to get the best deal in the market. This will clarify many doubts and at the same time simplify the decision making process. You can give a miss to companies offering personal loans at exorbitant rate of interest and stringent loan requirements.

You can research for potential companies capable of offering credit at a reasonable rate of interest. Discuss your friends and family members in order to know their experiences with loan companies they have dealt with in the past. They can refer you banks, credit unions or other genuine resources which are bankable and at the same time provide you with personal loan.

Comparison websites are the best bet in such cases because you can get a fair idea about credit rating, policies of different companies at one place. Take time to perform intensive research online and acquire information about different companies on the Internet and their positive and negative aspects. You need to remember that by performing such a thing you’re indirectly increasing your chances to get a loan at the best possible rate of interest. There is no need to run behind a company which is offering low rate of interest instead look for a company which is flexible in monthly installment payments. In case of problem, you would not be able to pay the loan amount and by choosing a personal loan company which is flexible, you are preparing for this situation.

Have a look over the fine print of the credit program. Read it carefully and intensively because even the minutest detail can lead to problems in the future. If you are well-aware of the terms and conditions of a credit company, then it would become easier for you to get personal loans through them. In case, you are having doubts in the agreement clause, then you need to have a one-on-one chat with company officials and clarify the doubts. Certain companies intentionally make such policies which are ambiguous and confuse the customers, so you need to be wary of such companies and avoid them as much a possible.

When a credit card is lost or stolen, it remains usable until the holder notifies the issuer that the card is lost. Most issuers have free 24-hour telephone numbers to encourage prompt reporting. Still, it is possible for a thief to make unauthorized purchases on a card until it is canceled. Without other security measures, a thief could potentially purchase thousands of dollars in merchandise or services before the cardholder or the card issuer realize that the card is in the wrong hands.

The only common security measure on all cards is a signature panel, but signatures are relatively easy to forge. Some merchants will demand to see a picture ID, such as a driver's license, to verify the identity of the purchaser, and some credit cards include the holder's picture on the card itself. However, the card holder has a right to refuse to show additional verification, and asking for such verification is usually a violation of the merchant's agreement with the credit card companies. Self-serve payment systems (gas stations, kiosks, etc.) are common targets for stolen cards, as there is no way to verify the card holder's identity.

A common countermeasure is to require the user to key in some identifying information, such as the user's ZIP or postal code. This method may deter casual theft of a card found alone, but if the card holder's wallet is stolen, it may be trivial for the thief to deduce the information by looking at other items in the wallet. For instance, a U.S. driver license commonly has the holder's home address and ZIP code printed on it. Visa Inc. offers merchants lower rates on transactions if the customer provides a zip code.

In Europe, most cards are equipped with an EMV chip which requires a 4 digit PIN to be entered in to the merchants terminal before payment will be authorised. However, a PIN isn't required for online transactions.

Requiring a customer's ZIP code is illegal in California, where the state's 1971 law prohibits merchants from requesting or requiring a card-holder's "personal identification information" as a condition of accepting the card for payment. The California Supreme Court has ruled that the ZIP code qualifies as personal identification information because it is part of the cardholder's address. Companies face fines of $250–1000 for each violation.[6] Requiring a "personal identification number" (PIN) may also be a violation.

Card issuers have several countermeasures, including sophisticated software that can, prior to an authorized transaction, estimate the probability of fraud. For example, a large transaction occurring a great distance from the cardholder's home might seem suspicious. The merchant may be instructed to call the card issuer for verification, or to decline the transaction, or even to hold the card and refuse to return it to the customer. The customer must contact the issuer and prove who they are to get their card back (if it is not fraud and they are actually buying a product).

Stolen credit cards

Credit and Debit Cards

The sheer number of credit and debit cards on the market can make selecting the right ones appear daunting. But everyday purchases can really pay off if you earn frequent-flier miles or other bonus points through loyalty programs. Articles on how to select cards and how to use them