Credit card is actually a free service.Simply spent buying things that you need and then continue discipline yourself to pay of your balance at the end of each month.Everything’s going to be just fine.All you have to do is bare in mind that do not spend more than you have (just like a checking account).If everyone did continue discipline themselves to pay of their balance at the end of each month , the bank would start losing money.Perhaps credit card company could not get any profits.However, the facts is, a lot of people tend to keep credit cards balance at the end of each month .So, it end up horribly awful and sometimes turns into a nightmare.There are some rules that you should know about credit card company.It might guide you to choose the best credit card company, and also to avoid loses money and tied with debt.

Here it is Credit card companies rule that you should know:

1) Credit Card Rate hikes

Credit card interest rates increased steadily within these 5 years.As for now we can see almost 36% annual percentage rates. The fact is, As of February, issuers can’t arbitrarily raise rates on outstanding balances. But credit card holders can still facing interest hikes for late payments and also other infractions that we might not know.Basically any credit card company able to raise their rates as high as they desire almost without restrictions.This inludes for future purchases even after the reform bill kicks in completely.

However, Act will bring protections for new customers legally; issuers will no longer be able to hike rates on new accounts in the first 12 months, unless the borrower is delinquent by more than 60 days or the increase is stated in the contract.

2) Credit card New fees
The truth is, credit card fees is rising and multiplying. Credit card holders can simply be charged for various new fees and some of it rarely heard of.For instance banks or credit card company can charge a new annual fee.Some might charge a fee for inactivity fee for customers who don’t charge anything for 12 months.Some banks also fix a minimum money they must spent annually.

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