Friday, February 06, 2009

Applied Bank Credit Cards

By Dan Moskel

The Applied Bank credit card is a secured card. This is how it works; you open an account with Applied Bank, you make a deposit, and you are then issued a credit card.

It will have a limit equal to your deposit, minimum deposit is $200 maximum $5,000. The deposit secures your account in case of default.

You will still have monthly payments and a fixed APR of 9.99%. Additionally your card will report to the credit bureaus.

Because your account is secured by the deposit, no one will be turned down and there is no credit check required. The annual fee for the card is $50.

Because the card is issued as a Visa card, it is accepted anywhere you see the Visa logo displayed. Making regular, on-time monthly payments can help you create a history of positive payments.

While this can help repair a damaged credit score, we also advise that you take steps to remove derogatory items from your credit report.

Many people think that you just have to live with a low credit score, but this is not true. It is possible to contest the negative items with the credit bureaus and request that they be erased.

Speaking with the credit bureaus is the best way to improve a below-average credit score. Many people have read or heard that a negative item needs to stay on your credit report for seven years.

This is not true! The Fair Credit Reporting Act states that seven years is the maximum amount of time that an item can remain on your credit report. It makes no mention of a minimum amount of time.

Many law suits have been filed and fines assessed to debt collectors who have violated this law. Some have manipulated the system and left a negative mark on a credit report for longer than seven years.

It also is not uncommon for a credit report to contain errors. In fact, it is believed that one-quarter of all credit reports contain incorrect items.

Despite the fact that having a credit card can help you build credit and have a positive reporting account, it is important to get rid of the harmful marks as well.

Never underestimate the importance of your credit score. It can impact your employment, financial health and self esteem. Hearing the words Im sorry, but youre declined from a loan officer is an extremely humbling experience.

All is not lost, however. If you build positive reporting accounts and eliminate the damaging items, you can improve your credit score and live the lifestyle that you truly deserve.

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