Credit Crunch:How Do You And Your Mate Score?

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By Mia Bolaris-Forget

One of the many perks of getting married is sharing life with someone and that includes the expenses. And, that also means keeping your mate in the loop about how you are going to spend your loot, including items you purchase on credit. And, while most would advise that paying in cash is preferably, some also suggest that credit cards may just be a necessary “evil” for establishing (good) credit.

Here are some smart strategies for money managing basics:

· While your vows encourage you to become one, an ideal that should hold true for most areas, experts note that credit may not be one of them. In fact, they suggest having at least three cards but no more than five, one or two of your own and a few join accounts. Just make sure to make only purchases you can afford to pay right away and to set a limit, even on your personal accounts for each of you. Note that joint accounts require you to pay only the fixed costs, just once.

· Keep a good thing going: Fight the urge to start over. They note that canceling multiple cards may have a negative impact on your credit score, especially if yours needs help, a rating you should know before switching to a card with 0 percent, since many will allow 0 percent for balance transfers or purchased but not for both, and that can mean big bucks.

· Research the rewards Know exactly what you are signing up for and what you are getting into say experts. In fact, they suggest looking for packages with perks that fit your lifestyle, salary and spending habits. Choose rewards that go toward travel if you’re travelers or cash-back if you are “savers”. Experts suggest looking online for specialized rewards programs that meet and suit your needs but add that you don’t have to sign up for a card with these perks, adding that they often charge higher interest rates and annual fees and may not be worth your while if you don’t much use your card.

· Read between the lines: Especially when it comes to the fine print. According to experts it’s best to have the plan clearly defined by calling the company and making inquiries. Ask questions about the current interest rate and what it’s expected to be in a year or two, the annual fee and about being charged interest regardless of paying the balance off in the first few days. Experts also suggest using your “bargaining” power and trying to negotiate. This can be especially effective if you already have good credit, asking about a better deal on interest rates or annual fees. And, while there may be nothing they can do, it doesn’t hurt to try.

· Get savvy about store credit: Many stores these days offer credit cards and pleasing perks for obtaining the. But, they generally come with a very high interest rate that frequently winds up working against you. In fact, experts suggest that you’ll likely pay more in interest than you saves. However, if there’s no other credit you can currently obtain, this may be the best place to start. Just make sure to use it only when you know you can pay it off right away.