1. Unsecured Credit Cards
There are many different types of credit cards. Some are designed for people with a good credit history. These types of cards are called “unsecured” cards, and usually offer a major benefit, like airline miles, gas rebates, and low APR (Annual Percentage Rate) to attract the “good” customer with good credit. These often have an annual fee associated with them.

2. Secured Credit Cards
There are cards designed for people with poor credit. These are called “secured” cards. Secured cards are a way people re-establish their credit when they have a poor credit history. A secured card requires a deposit to be made by the cardholder, and held by the credit card company usually for a one-year period. During this period, the cardholder can borrow against his deposit. After this period the cardholder may be granted unsecured credit depending on his or her agreement with the issuing card company. After the period of a good payment schedule, most companies will offer the cardholder an unsecured card.

3. APR
Annual Percentage Rate, or “APR” is a major factor when discussing credit cards with customers. This is the rate of interest the card company will charge on the balance owed. Most cards will offer a low APR for an introductory period, after that period it will increase. This is a major point to look at when analyzing cards.

4. Balance Transfers
A balance transfer is when an individual “transfers” the balance of one card to another. This usually happens when the cardholder is being charged a high APR, and competing companies will offer a very low APR on balance transfers to obtain the business. Most balance transfers are subject to a time period of six months before an APR increases.
This makes anyone with a balance on a credit card a very strong potential customer.
The 0% Balance Transfer feature is a tremendous selling point, and can save customers hundreds of dollars. Tell them you can give them up to 9 months relief from their current interest charges by transferring the balance to a new card with 0% APR! Who will say no to saving hundreds of dollars?!

5. Annual Fee
Most of the premiere cards that offer a 0% balance tran sfer, or Airline miles will charge an annual fee. This annual fee, in most ca ses is insignificant compared to the money they will save with the benefits of the card. If a customer currently has a large outstanding balance on their credit card, they will pay more than this annual fee in penalties each month! So be prepared to explain this issue with your customers. Ask how much interest they pay now each month, and show them the savings you can provide!