If you use your credit card to buy stuff like beer and expensive customized auto parts, watch out… your bank might think you’re a deadbeat in waiting.
It’s because of the comprehensive profile made of each and every credit card customer. The profile is based on what you’ve bought with your card, personal details you give to customer service reps (like a recent divorce or job loss), the time of day you log in to your online account (Is it late at night or when you should be at work?), how often you’ve been late or missed payments, the balance you carry each month, and more.
It all makes its way into a database that the card companies and their consultants use to determine if you are a good risk for a higher credit limit, which interest rate to charge you, and when it’s likely that you are dodging them and should be scheduled for a call from the collection agency.
(Source: The New York Times)

Posted at Early to Rise

Related posts:

1. The World of Credit Cards Part-2
2. New Credit Card Law – Banks Can Still Bite You in the Rear
3. Debt Relief and Eliminating Credit Card Debt Quickly and Easily
4. College Student Credit Card Debt
5. How to Deal with Bad Credit Reports