A Review Of The Total Visa Credit Card
Everyone likes a credit card with fabulous rewards, such as miles, points or cash back. But a consumer needs good or excellent credit in order to be approved for such a card. So many people have low credit scores and would not be eligible for a good rewards card. If you are a consumer with fair or poor credit, you may want to look at a card like the Total Visa® Credit Card.
What Bank Issues The Total Visa Credit Card?
The Total Visa® Credit Card is issued by the Bank of Missouri, an independent community bank that was first established in 1891. It was originally known as the Bank of Perryville, becoming the Bank of Missouri in 1997. It has a reputation of being financially conservative and sound, and presently has 23 branches throughout the state.
About The Total Visa Credit Card
But the Total Visa® Credit Card does have some substantial fees and interest rates. The APR on the card is one of the highest in the industry. Once you are approved for the card, you will be assessed two fees: a one-time program fee, and an annual fee, which lowers your initial $300 credit line. In the second year of card membership, there is a slightly lower annual fee, but there is a monthly maintenance fee that cardholders will have to pay.
Is The Total Visa Credit Card Right For Me?
One of the ways for consumers to build their credit score is to show responsible use of a credit card. Credit cards for people with bad credit usually come with high fees and interest rates. That is the case with the Total Visa® Credit Card. But if you use this card prudently—make all payments on time and keep within your credit limits—you may start to see your credit score increase after a period of time since this card reports to the three major credit bureaus.
Taking Steps To Improve Your Financial Situation & Credit Score
It is vitally important for all consumers to strengthen their financial position. If your finances are not buttoned up, it adds tremendous stress and affects nearly every area of your life. Here are some steps you can take to properly use your card:
Step 1 – Understanding The Reporting Process
It is important to have an understanding of how credit card companies report your payments to the credit bureaus. Every month, an issuer will report your account activity to the three major credit reporting agencies: Experian, Equifax and TransUnion. Using the card recklessly will not go unnoticed since these reports are sent each month. Each issuer reports at different times. It’s good to know what time of the month they report so you can make your payments before that day. Your account activity may take a number of days to appear on your account.
Step 2 – Start Using Your Card
A credit card will only help you build credit if you use it, and use it properly. Instead of paying cash for everyday items such as groceries and gas, charge them to your card. Charge only things you can afford to pay off in full and on time each month. By all means, do not spend money you do not have.
Step 3 – Pay Off Your Balance on Time
The worst thing you can do is charge items and not be able to fully pay for them at the end of the month. Carrying a balance from one month to the next is a damaging move since you’ll be paying a significant financial penalty called the APR on that balance. Maintain the money you need to pay off your credit card balance in a bank account. Well before the payment is due, simply transfer the money from your bank account to your issuer. Do not wait to pay this close to the due date. You do not want to risk a late payment since one of the most important elements of your credit score is your history of on-time payments. Consistently paying the balance on time should slowly begin to increase your credit score.
Step 4 – Increase Your Credit Limit
If you responsibly use your credit card for a period of time, you may be eligible for an increase in your credit limit. Your credit card issuer may provide the increase for you, or you may be able to call the company and request it. If you are granted a higher credit limit, your credit score may benefit since you will have more available credit. This will result in a decrease in your debt utilization ratio which is another one of the major factors in a credit score.
Step 5 – Stick to the Plan
Adhering to a plan like this may start to develop good spending habits. It’s important to stick with your plan. And while you’re at it, maintain your credit accounts. There may be a tendency to cancel a credit card account. But this can actually hurt your credit score since one element of your credit score is the longevity of the accounts you hold. The longer you maintain a line of credit, the better off you will be. Closing an account also decreases the amount of credit available to you, which can increase your debt utilization ratio.