Credit Cards

30. To avoid late payment fees and possible interest
rate increases on your credit cards, make sure
you send in your payment a week to ten days
before the statement due date. Late payments on
one card can increase fees and interest rates on
other cards.

31. You can avoid interest charges, which may be
considerable, by paying off your entire bill each
month. If you are unable to pay off a large balance,
pay as much as you can. Try to shift the
remaining balance to a credit card with a lower
annual percentage rate (APR). You can find listings
of credit card plans, rates, and terms on the
Internet, in personal finance magazines, and in
newspapers.

32. Be aware that credit cards with rebates, cash
back, travel awards, or other perks may carry
higher rates or fees.

Auto Loans

33. To save as much as several thousand dollars in
finance charges, pay for the car in cash or make a
large down payment. Always get the shortest term
loan possible as this will lower your interest rate.

34. Make certain to get a rate quote
(or preapproved loan) from your bank or credit union
before seeking dealer financing. You can save
as much as $1000 in finance charges by shopping
for the cheapest loan.

35. Make certain to consider the dollar difference
between low-rate financing and a lower sale
price. Remember that getting zero or low-rate
financing from a dealer may prevent you from
getting the rebate.

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