Credit Card Help Center: Frequently Asked Questions

Frequently asked questions about credit card use.

1- Can I get a credit card in the United States without a Social Security Number?

In the United States, you cannot have a credit report without a Social Security Number, and consequently, no credit card company would issue you a card if you have no credit. The only option may be a secured card.

2- Should I close my credit card accounts that I am not using any more?

Technically no. However, a card with a zero balance can cause you a lot of trouble due to fraud - especially because you will not be checking its balance that often. A middle-way for this issue to call customer service, and ask them whether they can inactivate your card while keeping your account still open.

3- How many credit cards should I have?

Not too many. A lot of credit lines will affect your credit score badly. Since cards with high limits increase your credit score, the wise way to go is to choose three of your high limit cards, and cancel the rest. One other thing to consider is how long you have had the cards for. Because credit accounts with longer terms are better for your credit.

4- I am receiving a lot of card offers. I am afraid that someone else will open my envelope and apply in my name. What can I do?

You can dial 888-5OPTOUT (567-8688), or you can log onto optoutprescreen.com.

5- What information does my credit card's magnetic stripe hold?

The stripe holds most of the key information to the card: Your name, account number, expiration date, card type, and some other details.

6- How much do credit card companies charge merchants for charge sales?

Every merchant pays a percentage of the charge amounth to the credit card company. This percentage is highly negotiable, and there is a constant fight between merchants and credit card companies about this percentage. It be as low as 0.5% of the purchase amounth, and can go all the way up to 5%.

7- Is there a limit to the amount I can be held liable for if my card is stolen?

U.S. federal law regulates what you can be held liable for if your ATM card is lost or stolen. You are not liable for more than $50 if you notify the credit card company within two business days of learning that your ATM card is lost or stolen. The days you were unaware that your card was lost of stolen do not apply. For unauthorized charges, there is another federal protection. You are not liable for more than $500 if you notify the ATM card issuer within 60 days after a statement showing an unauthorized transaction is mailed to you. The 60-day period starts not when you receive the mail, but when the statement is mailed.