Annual Fee
An annual fee is associated with your credit card. Some credit cards may have an annual fee. Please see the terms and services agreement with your card carrier for more information. This fee is usually seperate from your bill.


APR stands for Annual Percentage Rate. APR is the amount of interest you are going to pay on your card annually. Every credit card varies. Your first credit card will always tend to be a high APR rate. The same goes with bad credit as well. The better the credit score, the better your APR usually is.


Balance Transfer
A balance transfer is when you take funds from one credit card and transfer it to another. Sometimes banks will offer promotional rates to get you to switch.


Credit Limit
This is the limit that you are allowed to charge. If you charge more than this amount, penalty fees usually are applied.


Grace Period
A Grace Period is the time the customer has to pay off their balance. Grace period can range anywhere from 20 to 30 plus days. If a payment isn't made after your grace period is up, late fees can be applied. Late fees vary depending on the credit card issuer.


Interest Rate
An Interest Rate is the rate the borrower must pay for the use of the money that he/she doesn't own.


Introductory Rate
An Introductory Rate is a rate that is temporary. These rates tend to be anywhere from 6 months and up. For this period, you will be expected to pay this rate. Make sure you reference the terms and conditions because these may be tricky.


Minimum Payment
The minimum payment is the amount you must pay each month to avoid late fees or hurting your credit score. This number is relatively low to your overall balance most of the time. Once again, this depends on the card issuer.


Penalty Fees
These are the fees a credit card companies usually charges you. These can vary from going over your credit limit to paying your bill past it's due date. Penalty Fees will vary.


Secured Credit Cards
A secured credit card is a card that usually requires collateral for approval. A deposit is usually required. Typically the deposit is the credit limit. Secured Credit Cards are ideal for people with bad or no credit.


Unsecured Credit Cards
An unsecured credit card don't require collateral for approval. These are based on your credit history, earnings, etc.

Credit Report Scores
Below is a chart of credit report scores. Credit report scores are important when it comes to applying for a credit card. To find out what your credit report score is, please click on the link below.
Great Credit
Good Credit
Fair Credit
Poor Credit
No Credit
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