Terms to Know

Universal Default

A provision allowing issuers to increase card members' interest rates for adverse financial actions such as when cardholders failed to make timely payments to other creditors, like other credit card issuers, utilities, car lenders, landlords or mortgage lenders.

Unsecured Credit Card

Credit card that is not secured by collateral. Customers qualify for unsecured credit cards based on their credit history, their financial strength and their earnings potential.