Have you never paid your credit card bill late? Have you never gone over your credit limit? Do you pay the entire statement balance each month? Do you use your rewards card - and collect the rewards? Are your credit rating and your FICO scores rated "excellent?"
Then you, my friend, may be a "deadbeat."
That doesn't sound like my definition of a deadbeat, and I'll bet it doesn't fit yours either. But the credit card issuers have a different way of looking at things.
They think you're a deadbeat because they aren't making any money from you. All they get is the fee from retailers when you use the card. They get no interest payments and no fees from you - and they're giving you back rewards on top of it!
They'd like you a whole lot better if you carried a balance so they could collect interest each month, and if you'd pay a day late now and then they'd be pleased. They'd get to collect a fee. The same holds for going over the limit. Of course they want you to pay your bill, but if you mess up just a little now and then, it adds to their profits.
Why do you care about the label they give you? Because you're apt to be punished for it. That means you need to start watching all the notices that come from your credit card issuer - even when they look like junk mail, read them. Be on the lookout for lowered credit limits, higher interest rates, the cancellation of any cards you don't use regularly, changes in the terms of your agreement, and a set of new fees.
The card issuers are already gearing up to stem the losses they'll face when the "Credit Cardholder's Bill of Rights" goes into effect in February. And they're looking to their most creditworthy customers to take up that slack.
One practice that is predicted will put an end to the "free float time" you currently enjoy. Instead of paying interest only if you carry a balance from month to month, they may begin charging interest on each purchase the day it is made.
Experts are also predicting that all cards will carry annual fees or monthly access fees. They may also charge "inactivity fees" if you don't use your card in a given month or other set period of time.
Be alert and for God sake pay attention to your credit report and credit scores. These Laws could strip your credit score and you wont even know it.
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