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Thursday, January 15, 2009

Extension Cards

Extension cards are credit cards whose accumulated charges are passed on to a Hawaii Lemon Laws credit line. These cards are accessory cards that allow others to use Government student loan consolidation credit made available on the card. How then can one avoid the abuse of this credit line? Here are some tips to go about it.

1) Set a ceiling for the extension card

An extension card, being a secondary card, can be effectively controlled. The first way is by setting ceiling on the card, either on a per transaction limit or a total transaction basis. In this way, the charges on the card can be controlled as to the total credit available on the main card.

2) Have a verification notice on charges on the card

In this control mechanism, the main cardholder's mobile or office phone is called for each transaction made on the card. In this way, the main cardholder can either accept or veto the charges on the card. Rather harsh, but this is but one way that the main cardholder can control the expenses charged on the card.

3) Give the card to trusted people

Since this is about money that one will need to pay later, give the extension card only to people who can be trusted. This is to avoid the financial burdens involved if spending is unabated on the card. So trust is important in a credit card and once that trust is broken it is best that one void the extension card right away. This controls the debt accumulated for another person's spending habits.

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