Less than a third of Millennials in Georgia and other U.S. states have a credit card. However, popular rideshare company, Uber, thinks they it can change this statistic. In fact, the new Uber credit card clearly targets Millennials. It comes with all of the perks that young adults crave, and plenty of Georgia Millennials use the Uber rideshare app. If the Uber credit card does take off with Georgia Millennials, it could give them credit score building opportunities. However, credit newbies who sign up must remember that all credit cards come with risks as well as rewards.
Why Credit-Shy Georgia Millennials Might Give the New Uber Credit Card a Chance
First and foremost, Georgia Millennials will probably love that the Uber credit card can save them money on Uber rides. According to a recent study, 26% of Millennials nationwide have used Uber in the last 60 days. Because the rideshare service is so hugely popular, Millennials may jump on board with the credit card for this perk alone. Then, there are additional Millennial-friendly perks to further sweeten the deal.
- Instead of cash back, Uber credit card users get points that turn into Uber credits.
- Once card holders earn 500 points, they receive $5 in Uber credits.
- Uber credit card users earn points for Uber rides, dining at participating restaurants, and using UberEats takeout service. They also get points for making online purchases on certain websites and with select video and music streaming services.
- If card holders spend $5,000 on the card annually, they receive a $50 credit toward online subscription services.
- When Uber customers use the credit card to pay their cell phone bill, they earn $600 in mobile phone insurance. This insurance covers both damage and theft.
In addition, the Uber Visa credit card comes with no annual fee and interest rates ranging from 15.99% to 24.74%, depending on creditworthiness. Because these interest rates are fairly high, Georgia Millennials who sign up for the Uber credit card should use it with caution.
Possible Pitfalls for Georgia Millennials Who Sign Up for the New Uber Credit Card
Higher interest rates coupled with enticing rewards could spell trouble for new-to-credit Georgia Millennials. If they sign up for the Uber credit card to save money on rides, they should keep a few things in mind, especially if they also want to build good credit scores.
- Unless card users pay off their balances every month, interest charges may negate their Uber ride savings.
- Overspending on the card in order to earn more points leads to high credit card balances. Ideally, all credit card users should keep their balances at 30% or below their spending limits. Otherwise, their credit scores can drop even if they pay every bill on time.
- Really overdoing it with the Uber credit card in order to accumulate points could lead to heavy credit card debt. If Millennials continuously roll growing balances over, they might get in over their heads and get behind on payments. Once officially delinquent, credit card users see their credit scores drop. Then, if creditors send their accounts to debt collections, credit scores plummet and debt collectors start calling.
So, Georgia Millennials who sign up for the Uber credit card should do so with a game plan in mind. Their strategy should involve paying off the card balance every month to truly take advantage of the rewards program. They should also use 30% of their available credit at any given time and carefully avoid the kind of overspending that leads to heavy credit card debt.
New-to-credit Georgia Millennials should also check their credit reports on a regular basis. When working to build a good credit score, monitoring your credit reports for errors is important.
How Georgia Millennials Can Eliminate Credit Report Errors that Harm Credit Scores
Did you hear about the massive Equifax data breach that left 145.5 million Americans with exposed personal data? Unfortunately, this isn’t the first mistake that Equifax has made. All of the three major credit bureaus, in fact, frequently make mistakes. TransUnion, Experian, and Equifax, along with most creditors, routinely mishandle and misreport consumer information. Then, these errors turn into credit report inaccuracies that bring down Georgia credit scores.
Of course, the Fair Credit Reporting Act entitles consumers to accurate credit reports. However, you must first find the mistakes and errors. The best way to do this is to visit www.annualcreditreport.com and request free copies of your credit reports from the three major credit bureaus.
Then, while reviewing your credit reports, if you find inaccuracies, contact Credit Repair Lawyers of America. When you call our firm, you don’t have to handle the dispute process on your own. Instead, an experienced credit attorney will do all of the work for you, and get you clean credit reports – for FREE.
The Free and Legal way to Get Better Credit in Georgia
Don’t let errors on your credit reports bring your credit score down. At Credit Repair Lawyers of America, we’ve been cleaning up credit reports for consumers since 2008 for free. How do we do it? All of our fees come from the defendants in settled cases. This is why our clients pay nothing for the work we do.
Let’s start the conversation about what we can do for your credit. Set up your free consultation today by calling Attorney Gary Nitzkin at (404) 591-6680 or sending him a message through our contact page.
For more information about Free Credit Repair, please visit www.creditrepairlawyersam.com/credit-repair-free/.