Dear Clever Credit,
I’ve been working on my credit, so my score has picked up. But ever since that’s happened, I’ve been getting more and more credit card offers in the mail. Should I pay attention to these? Or just toss them out? What’s the likelihood that I’ll get something worth applying for?
Signed,
Muddled Mailbox
Dear Mailbox,
Kudos on picking up your score! As far as figuring out whether those mailers are worth a second glance, that’s up to you.
If you’re in the market for a new credit card, these mailers could be a good first step. They’ll give you an idea of what kind of credit cards you’re preapproved for. For example, maybe you’re receiving offers for cards with an annual fee for the first time. This means you could be ready for premium travel rewards now.
Just remember a preapproval isn’t a guarantee of approval. It just means you’re more likely to be approved.
[Read: Best No-Annual-Fee Credit Cards.]
If you’re thinking of applying to one of the mailed offers, you need to keep a few things in mind. Here’s what to consider when choosing an offer:
— Card issuer. Make sure it’s a reputable issuer, preferably one you’re already familiar with. Check reviews online to see what customers have to say about the card and/or bank.
— Fees. If you’re getting offers for cards with annual fees, make sure the perks and benefits outweigh the cost. Do you travel internationally? If so, make sure you find a card with no foreign transaction fees.
— Rewards. This is the exciting part. What do you want your card to do? Do you want to earn cash back, points or miles? Figure out which rewards program is best for your spending lifestyle. For example, don’t apply for a credit card that heavily rewards gas purchases when you don’t have a car.
— Sign-up bonus. Sometimes you’ll get exclusive sign-up bonus offers in the mail — like a few extra thousand miles — that you wouldn’t get online. Just make sure you don’t have to overspend if you see one that catches your eye.
— APR. Try to avoid abnormally high annual percentage rates. If you keep a balance, your interest will eat into your rewards.
[Read: Best Rewards Credit Cards.]
If you don’t like any of the offers you’re getting in the mail — and are quite frankly growing tired of them — here’s how to stop them: Head on over to OptOutPrescreen.com. It’s a website created by the big three credit bureaus that allows consumers to opt out of receiving prescreened offers.
You can also do it by calling their toll-free number at 888-567-8688. Once you opt out, you won’t receive any promotional offers for credit cards, loans, insurance or other financial products for five years. Just know it will probably take a few months for the mailers to stop flooding your mailbox.
Finally, if you find an offer you like, just remember to always read the fine print!
More from U.S. News
When Is a Credit Card Annual Fee Worth It?
What Is a Foreign Transaction Fee?
Cash Back vs. Travel Rewards: How to Choose Which Is Better for You
Clever Credit: I Just Rip Up Those Credit Card Offers I Get in the Mail. Should I? originally appeared on usnews.com
