Finance News » credit cards

Travel Credit Cards Should Offer These

admin — Sat, 07 Nov 2009 01:33:31 +0000

If you’re using a quality rewards credit card you are getting advantages that you don’t get when you use cash. A travel credit card offers should include 3 things: .Big sign on bonus- known for giving amazing sign on deals like a free companion flight to thousands of reward points, it’s silly to sign up for a card that doesn’t offer this. Besides getting the sign on bonus, you want to be able to earn “extra” points or miles. You want a card that offers more than the standard 1 point per dollar rewards program. When you buy at specific stores or when purchasing a particular category of items, many reward cards will give you double or triple points earnings. And last by not the least important, find the lowest service fees and “fine print stuff”. You will come across certain blackout dates or times that will stop you from traveling the normal days or times. There are taxes and fees on reward redemption so if your earning seem like they are free, they really are not. Be sure before selecting a travel card. Make that phone call first it that is what it takes.

Features of 0% interest credit cards

admin — Thu, 13 Aug 2009 23:34:28 +0000

0% Interest Credit Cards are the way card issuers provide services to their customers. Banks issue cards to consumers (the cardholder), thus allotting them an account number and allowing them to borrow money from the bank. 0% interest credit cards are either mostly given as introductory offers to Customers with good Credit rating to expand the banks consumer base.

1.Â Â Â Â Â Â Â They provide an account number and pin number with the details of the consumer punch on it as his authorization, thus securing as authorized user of the card.

2.Â Â Â Â Â Â Â They allow you to borrow money Interest free up to a certain limit and period of time and do not charge you for it.

3.Â Â Â Â Â Â Â The card can be used to make payments at shopping malls or gas stations or as well withdraw cash from ATM’s.

4.Â Â Â Â Â Â Â 0% Interest credit cards provide lower EMI Interest rates. Consumers can purchase costly items and divide it over a period of time for lower rates.

5.Â Â Â Â Â Â Â 0% Interest Credit Cards provide balance transfer facility services.

6.Â Â Â Â Â Â Â 0% Interest credit cards also provide Rewards program. The cardholder gains points over purchase of certain goods, which can be used to purchase other valuables offered by the various schemes provided by the bank.

7.Â Â Â Â Â Â Â 0% Interest credit cards also provide cash back facility.

The Proper Use of Credit Cards

admin — Sat, 11 Apr 2009 07:54:23 +0000

In finance, credit cards were originally meant to lend money to people without any collateral involved.Â It is an aid for people who are short in cash but are in need of purchasing certain products and services.Â Through the years, however, the use of credit cards have been mainly to satisfy people’s urge to spend on a myriad of things; most of which they cannot afford.Â It is for this reason that many individuals as well as families go into credit card debt and even bankruptcy.

The following are simple guidelines in order to properly use the credit card without putting yourself and in your family in a precarious financial situation.

1.Â Â Â Â Â Use credit cards to make ends meet not for things you want now that you think you can pay off later.Â Many people think that credit cards increase their purchasing power.Â Although it may appear as though you are able to afford the things you buy using your card, everything still depends on whether or not you will be able to pay it off. You only have a fixed amount of income that comes every month and increased credit card debt will seriously jeopardize your budget.

2.Â Â Â Â Â Use credit cards for when you have no cash on hand.Â If and when you run out of cash and you need to purchase things immediately, use your card to do so.Â Otherwise, make it a habit of using cash when you buy groceries, apparel, etc.

3.Â Â Â Â Â Do not use the credit card for very large purchases.Â Limit your usage to small items that you can easily pay off.Â Never buy luxury items with your card such as plasma screens, expensive antique furniture and the likes.

The Benefits of a Balance Transfer

admin — Wed, 25 Feb 2009 16:22:34 +0000

Balance transfers can be an important tool in the process of credit card debt repayment, especially when rising interest rates seem to increase the monthly payment substantially. Aside from a lower payment and more of the payment being allocated towards the principal, rather than to increasing interest rates – there are many benefits to taking advantages of balance transfers to get rid of credit card debt, these benefits are:

Taking advantage of balance transfers can assist in repaying credit card debt quicker than trying to repay a credit card that has an interest rate upwards of ten, fifteen and even twenty percent. Balance transfers allow more money to be paid to the principal, rather than interest
Many balance transfer accounts can be used to fund large purchases as the payments are often interest free for purchases, as well as balance transfers throughout the twelve to eighteen months that the balance transfer is taken advantage of
In some cases, the balance transfer fees are reduced, or even avoided if the consumer is eligible for certain introductory offers to offset these costs. Considering that most balance transfer fees are 3% of the balance being transferred, this can save up to one hundred dollars, depending on the credit card balance
Balance transfers can help to preserve the credit rating as they can enable the consumer to repay the debt quicker. In some cases, the credit limit which is offered is higher than that of the existing credit card and therefore can create a lower balance to credit limit ratio, which can have positive effects on the credit rating.