NerdWallet: How most do we know about credit cards? Try this quiz—it might assistance save we money.

A recent NerdWallet survey found poignant gaps in consumer bargain of credit cards — gaps that can be costly.

“The act of regulating a credit label is so simple, though they can be difficult products,” says Sara Rathner, a NerdWallet credit cards expert. “Knowing what your label offers, and what we can ask for, can make it significantly some-more profitable for you.”

Test your believe by holding a same ask given to consult respondents.

1. True or false:

Moving credit label debt to a label with a reduce seductiveness rate or a 0% rate will always save we income in a prolonged run.

balance transfer can assistance we compensate off debt some-more quickly, though it isn’t always a best option. Moving debt from one label to another customarily incurs a price of 3% to 5% of a volume transferred. That price could be some-more than you’d have paid in seductiveness if you’d left a change where it was and paid it off. So we have to review costs. A change send is effective customarily if it saves we income altogether — and we use a income we save to compensate down your debt even faster.

Answer: False.
Survey respondents who answered correctly: 22%.

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2. True or false:

Credit label issuers concede we to ask for an boost in your credit limit.

You can always ask your label issuer for a aloft limit, nonetheless there’s no pledge you’ll get it. The issuer will cruise several factors over your comment record, including your income, debts and credit history.

Answer: True.
Survey respondents who answered correctly: 76%.

3. True or false:

Credit label issuers concede we to ask for a reduce seductiveness rate.

Similar to seeking a aloft limit, we can positively ask your label issuer if we validate for a reduce rate. You competence not get it, though it’s value picking adult a phone to ask, generally with an comment in good standing. A reduce seductiveness rate means evident assets if we typically lift a monthly balance.

“If your stream label isn’t operative for you, it could be value pursuit and seeking for a change we want,” Rathner says. “If you’re a longtime patron in good standing, a answer competence be yes. But if it’s a no, afterwards we can opinion with your wallet and emporium around for a label that’s a improved fit for your needs right now.”

Answer: True.
Survey respondents who answered correctly: 50%.

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4. True or false:

Credit label issuers make financial hardship skeleton accessible to anyone struggling to make payments.

Some credit label issuers will temporarily reduce seductiveness charges or relinquish fees by a financial hardship plan for cardholders who can’t make payments due to resources over their control. For instance, we competence be authorised if you’ve mislaid your pursuit or had a family emergency.

But while some issuers offer hardship plans, they don’t make them accessible to everybody who asks. You’ll have to validate formed on your circumstances. No one is guaranteed to be accepted.

Answer: False.
Survey respondents who answered correctly: 18%.

5. True or false:

If we wish to switch to a opposite label from a same association — for example, to get a reduce annual price or improved rewards — we contingency ask a association to tighten your strange comment and open a new one.

Switching cards from a same issuer is called a product change. Since issuers don’t widely publicize product changes, it’s not startling that many people don’t know how they work.

If you’re unfortunate with your stream credit label given of a fees, rewards or other features, we can ask a issuer to switch a comment to a opposite label that’s improved matched to your needs. You keep a same account; it customarily has a new credit label trustworthy to it. Keeping a comment open can advantage your credit given scoring models cruise a length of your credit history, including a age of your accounts.

Answer: False.
Survey respondents who answered correctly: 23%.

6. True or false:

Credit label issuers relinquish late fees.

Issuers don’t promote that they’ll cruise waiving late fees, so it’s not startling that many people don’t know it’s an option. Not all issuers will relinquish fees. Those that relinquish them will do so during their discretion, and they’ll cruise it customarily if we ask. It’s not surprising for an issuer to relinquish a initial late price for an comment in good standing. If granted, that’s a intensity assets of adult to $30.

Answer: True.
Survey respondents who answered correctly: 37%.

7. True or false:

You can use a credit label but ever carrying to compensate interest.

You won’t be charged seductiveness on purchases if we compensate your credit label on time and in full monthly. If we lift a change from one month to a next, on a other hand, you’ll catch financial charges unless we have a promotional 0% annual commission rate duration in effect.

Putting purchases on your label and profitable a check in full any month avoids seductiveness while still reaping a advantages of a credit card, such as rascal protection, rewards and others.

Answer: True.
Survey respondents who answered correctly: 54%.

Related: Stuck in a cycle of credit label debt? Try these strategy to mangle free.

8. True or false:

Making a smallest remuneration each month on a credit label allows we to compensate down debt quickly.

Paying customarily a smallest on a credit label each month can take years to get out of debt. The smallest is customarily adequate to cover a seductiveness accrued over a past month, and customarily a tiny fragment of a tangible debt. Look during your credit label matter to see how prolonged it would take during that rate. You’ll see a list that shows how prolonged it would take to compensate off a change if we done customarily a smallest payment.

Answer: False.
Survey respondents who answered correctly: 64%.

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Melissa Lambarena writes for NerdWallet. Email: Twitter: @LissaLambarena.

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