Going Broke On Your Credit Card These Holidays

Credit cards usage is likely to increase once again this holiday season. As usual, consumers are in the mood of buying presents for their loved ones whiles shops are looking forward to a fantastic profit.

This inarguably, is the best season for most businesses.

In fact, some take home as much as more than 40% of their total annual profits during the Christmas season alone. People, who may have saved throughout the year for this purpose, there will be no worries but plenty to look forward to - good things of course.

It also means they do not have to worry about the credit card debt and the bills that come in January.

Read more at: Going Broke On Your Credit Card These Holidays

Unsecured Debt Consolidation - Pros & Cons

Unsecured debt consolidation lowers your rates, helping you to pay off your debt sooner with one easy payment. You can also reduce your monthly payments.

However, consolidating your short term loans can temporarily lower your credit score. You may also be tempted to use your paid off accounts, creating a bigger financial problem.

Lower Interest Rates And Payments

Consolidation loans and debt management plans (DMP) can both lower your rates. Home equity or personal loans offer lower rates than credit cards and can be used to pay off bills. A DMP company negotiate lower rates with your creditors.

Read more at: Unsecured Debt Consolidation - Pros & Cons

Using Debit, Credit Cards May Cause You To Spend More

There's no question, the plastic most people carry in their wallets will get a good workout this holiday season--especially since it's easier than ever to just swipe and go.

Experts warn that convenience can break your budget.

Cristina Cope almost always swipes her debit card--no matter how small the purchase.

"Regularly I get my dry cleaning,” Cope said. “If I go get coffee on the way home from work, or going to the grocery store just to pick up a spare item."

Read more at: Using Debit, Credit Cards May Cause You To Spend More

Deconstructing Mastercard

For those who don't know the basic background, Mastercard was a member-owned association that focused on payment processing and franchising its credit and debit card brands and, later, related consulting projects.

In the 1990s, it began converting to a more independent share-based business, though still owned by the same banks, and this year it took a stride toward further independence by IPO'ing the majority of the voting shares.

Mastercard was the dominant US card for many years, but is now a distant second to Visa in the US and in most other markets. If you look at market share and spending around the world, in most places you'll see Mastercard or its affiliates with about half the market share of Visa and you'll see Mastercard spending about half as much as Visa on building their market.

It's been a nice, tidy system for a while that has allowed these companies -- both of which are very lean and consist primarily of brand names and computer networks -- to prosper. Visa remains a private concern, though there has been talk since the MA IPO of Visa doing the same.

Read more at: Deconstructing Mastercard

Credit-card top rate raised

Maximum interest rates for new credit card users will increase to 20% per year from 18% starting next month, the Bank of Thailand announced yesterday.

Existing cardholders with outstanding balances will be given a seven-month adjustment period, with the new rate taking effect on June 30. New outstanding debt, however, can be charged at the new rate starting next month.

Krirk Vanikkul, an assistant central bank governor for financial institutions policy, said the seven-month adjustment period was to ease the burden cardholders would face, particularly those who took out cards before April 2004.

Read more at: Credit-card top rate raised

Suspected Credit Card Thieves Use New Strategy

As sure as Santa is in the mall this time of year, thieves are coming up with new ways to steal.

The latest scam has targeted new housing developments in Sanford, Poinciana and Polk County, WESH 2 News reported.

The thieves aren't trying to steal houses; they're after credit cards.

The Seminole County Sheriff's Office has released a flyer with pictures of the two women they are looking for.

The women allegedly went on a shopping spree with stolen credit cards, and the shopping trip was caught on tape.

Read more at: Suspected Credit Card Thieves Use New Strategy

How To Do A Credit Card Debt Consolidation?

Credit card debt consolidation allows you to pay your current debts in 3-6 years and more card consolidate credit debt information will help you. Under a debt consolidation plan, terms and conditions change.

The purpose of debt consolidation is to speed up your paying time and at the same time makes lower monthly bills.

Always make sure that the new cost of the consolidated loan is truly less than what you are currently paying for to the various creditors.

Not getting the lowest available interest rate has always been a problem faced by consolidation loan applicants. Be sure that there is something to secure the loan like your house for example.

Read more at: How To Do A Credit Card Debt Consolidation?

Visa International named 'World's Leading Credit Card' for ninth consecutive year at World Travel Awards

For the ninth consecutive year, the World Travel Awards, a prestigious awards ceremony that acknowledges significant achievements in all areas of the travel and tourism industry, has named Visa International the 'World's Leading Credit Card.'

The awards take into account the views of travel agents and professionals worldwide. Over two million votes were cast during a five-month independent survey period and the fact that no-one has been able to knock Visa International off the top spot for nearly a decade, is testament that it has a credit card offering that is unbeatable.

This achievement is attributed to Visa International's continued focus, its commitment to excellence, the value-added services it provides for travelers, and its innovative online travel portal.

Read more at: Visa International named 'World's Leading Credit Card' for ninth consecutive year at World Travel Awards

Card offers target small businesses

Small-business owners face an onslaught of choices as companies blitz them with new credit card offers.

American Express just launched a cash-back card aimed at small companies. This month, Visa is rolling out a card targeting small firms with big appetites -- those spending $25,000 or more a year. Discover entered the market for the first time over the summer.

Business owners should move cautiously, however, just as they would when shopping for a personal credit card. Rock-bottom interest rates can jump after the introductory period ends. They often soar, too, if owners make a late payment. Cash-back rewards may sound like great money savers, but not if you carry a balance subject to high interest.

Marketers smell opportunity in the 90% or more of small-business spending not on credit cards -- up to $4.8 trillion a year, says Visa.

Read more at: Card offers target small businesses

Credit cards a family concern

SADLY the vision of prosperity is proving to be an illusion for too many Australian families.

Increased interest rates on mortgage loans, the IR laws now set in place and the drought are factors taking their toll.

But there is yet another factor increasing the burden.

Easy access to credit cards plus a market induced addiction to consumerism has become a major problem, leading to mounting debt and an undermining of family structures.

Read more at: Credit cards a family concern

Those credit-card miles can take off without you

Margo R. Kaufman has a message for people who choose credit cards based on their reward programs: Those rewards can be taken away.

About two years ago, Kaufman and her husband accepted an offer for a Capital One "No Hassle Rewards" card. The couple used the card regularly, mainly because it promised two airline miles -- on any carrier -- for every dollar spent. They accumulated 55,785 miles, enough to get a ticket to Europe on some airlines.

But before they could use the miles, Boris died. Capital One responded by canceling the card and rescinding the miles, Kaufman said.

Read more at: Those credit-card miles can take off without you

Tips for economical, safe Internet shopping

Each year, more people do their holiday shopping online. Nothing beats that convenience. But before you buy anything online, make sure you're staying safe -- and getting the best deal.

1. Think credit, not debit

A credit card is the safest way to pay for items online. With credit cards, you'll get security protection from your card's issuer. Visa, MasterCard and American Express all have a zero liability policy. If you notify the bank of unauthorized transactions, you pay nothing.

Also, with credit cards, you can assign password challenges for purchases. When you buy something, you're prompted for a password. This offers another layer of protection. MasterCard offers SecureCode and Visa offers Verified by Visa.

Read more at: Tips for economical, safe Internet shopping

Holiday credit check

Avoid being sucked into overspending this festive season

What's worse? An Alberta winter in January or that dreaded day the credit card bill shows up in the mail from a holiday season of overspending?

I remember reading Sign Language, a book by Jerry Seinfeld.

He tells a story about the euphoria of ordering dinner with a group of friends when you're really hungry.

To paraphrase: they order appetizers and salads... and more appetizers to share... and extra main course meals.

Once the stomach bloating begins, the belts are loosened and zippers are undone, the table is silent with shock and dismay when the bill arrives. The tone is set with questions such as: "Who ordered that?" or "Why did we order so much?"

Read more at: Holiday credit check

Why setting up regular fees via credit card doesn't pay

Out in the surreal realms of cyberspace a bloody battle is raging and internet users such as Robert Jude are the collateral damage.

Jude, along with numberous others, chose the internet service provider V21 Biscit to supply his broadband connection, but when he tried to log on last week he was diverted to a company called Netservices which, he claims, coerced him into signing up with a new, pricier provider.

"I assumed that V21 had gone belly up," says Jude, "but later found out that a corporate dispute is bouncing customers between the two companies."

Read more at: Why setting up regular fees via credit card doesn't pay

Vodacom’s credit card offers rewards

Vodacom, one of the big cellular providers in SA, have set their sights on conquering the credit card market and have announced that with their card customers can expect to receive all sorts of rewards like cash-backs and discounts.

“The Vodacom Credit Card provides our customers with an extensive range of rewards and benefits including exclusive offers, cash backs and discounts on travel, leisure, safety and security, education and Vodacom products and services,” says Dot Field, Vodacom’s Chief Communication Officer.

Some of the benefits Vodacom credit card users can expect is 10% of their cash back in Yebo Bucks when they purchase products at a Dion store or Game and up to 2% of their monthly payments.

Read more at: Vodacom’s credit card offers rewards

Credit card Cash costly at Christmas

With the peak shopping season on our doorstep, it's not unusual for many Christmas shoppers to turn to their credit cards to get some extra cash for that perfect present. But getting cash this way could cause long term financial pain, warns MoneyExpert.com.

The average annual percentage rate (APR) on cash withdrawals is 21.27 per cent, making this a costly way to boost the Christmas coffers.

Only 11 providers charge less than 15 per cent for cash withdrawals. Even for those who pay off the balance, the costs are still high, with the charge for withdrawals at an average of £2.60 or 2.46 per cent for larger sums.

That means you pay £2.60 up front plus £21.82 in interest for the first year. Even for small sums the fee is the same, so a £20 withdrawal could still cost you 13 pence for the withdrawal.

Read more at: Credit card Cash costly at Christmas

Credit card christmas wish list, for those who pile on the pounds and for those who don't

If you are planning to put your Christmas on plastic, now is the time to start planning. Cheap and zero interest deals are disappearing fast. Piling on the pounds on the wrong card could leave you with a hangover well into 2007, says Moneyextra.com....

Moneyextra's top tips for saving Christmas credit card bills:

* Switch existing card debts to 0% balance transfer deals - but hurry!
* Seek out 0% interest on spending deals if you are going to splash out
* Get a good low interest card if you don't pay off every month
* OR a cashback deal if you clear your bill in full
* Showing off with shopping in Paris, New York or Rome? Get a fee-free flexible friend to go with you

Read more at: Credit card christmas wish list, for those who pile on the pounds and for those who don't

Tourism fuels credit card industry growth

SHANGHAI: China's rapidly expanding credit card industry is being boosted by the country's growing popularity among tourists, according to a report by Visa International.

By 2020, the country is expected to become the world's leading tourist destination.

With more and more visitors to China, credit cards such as Visa are becoming increasingly common.

"From 2006 to 2010, overseas tourists' Visa card spending is expected to soar to US$250 billion on the Chinese mainland," said Li Sheng, vice-president of Visa Information System (Shanghai) Co Ltd.

Last year, overseas tourists spent 239 billion yuan (US$29 billion) on the Chinese mainland, up 13 per cent year-on-year. Of last year's total, 22 billion yuan (US$2.75 billion) was spent using Visa cards.

In the first half of 2006, the amount spent using Visa cards reached 11.76 billion yuan (US$1.38), up 4.1 per cent year-on-year.

Read more at: Tourism fuels credit card industry growth

Get smart over credit card deals

WITH Britain braced for a £60bn Christmas shopping spree in November and December and personal debts already totalling £1.2 trillion, many consumers will have to be smart with credit cards to avoid deeper debts by New Year's Day.

Maybe we are not as smart as we think. Finance website moneysupermarket.com says only 11% of card holders seek out a "0% on purchases" offer when applying for a new card - and suggests consumers wasted £1.7bn on credit card interest charges in the past two years.

Says Andy Britchford, at financial services data agency Moneyfacts: "Every day we are bombarded with adverts for best deals and tempting offers, but not everybody uses a card in the same way. The features we want in a credit card deal can be very different."

Read more at: Get smart over credit card deals

Lower Your Credit Card Interest Rate In 3 Minutes!

Tired of paying finance charges to your credit card company? You may be able to cut your interest rate by as much as half in no time.

That’s the result of a Get Gephardt investigation. So, how easy is it?

Really easy.

Interest rates vary by person. From 3 percent to as much as 35 percent.

And in most cases, all it takes is phone call to put hundreds of dollars back in your pocket.

Read more at: Lower Your Credit Card Interest Rate In 3 Minutes!

Credit-card `excesses' examined

Imagine that you just picked up a terrific pair of Lacoste sneakers on sale. Then, the phone rings a month or two later. The store is demanding that you hand over more money for the same shoes sitting in your closet.

Crazy talk, huh?

That's how it works in the whacked-out world of credit-card companies. They've got ways to zing you even when you think you're in the clear. Amazingly, they're getting away with it.

For now.

It's getting harder -- some might say downright impossible -- to be savvy when it comes to credit cards.

Read more at: Credit-card `excesses' examined

Credit card design charges forward

It’s not just a Visa — it’s a Duetto Visa, offered by Starbucks and bearing an evocative depiction of one of the chain’s beverages.

Forget about low interest rates, rewards points and free balance transfers.

To attract new customers in a crowded market, the nation’s credit-card issuers are pitching cards with sleek features, including a hefty one that its promoters say has “plunk factor.”

Inspired by consumer interest in eye-catching products such as retro toasters and fashionable can openers that have moved from the cupboard to the countertop, credit-card companies are creating unique cards aimed at winning the coveted “top of wallet” position — the card pulled out the most often.

Read more at: Credit card design charges forward

Free Yourself From Credit Card Debt!

When you owe too much money on your credit cards and you can’t meet the minimum payments. Penalty fees and interest rates start being applied and debt keeps growing at a continually increasing rate.

You know you must put an end to this situation but you don’t know how to do it? A debt consolidation loan can be the answer to your problems.

If you can control your spending, a debt consolidation loan will give you some space for reorganizing your finances and start reducing your debt on a continued pace. A debt consolidation loan alone won’t solve your problems though.

You need to have some discipline, cut your spending dramatically and stick to a budget rigorously in order for a debt consolidation/reduction plan to work.

Read more at: Free Yourself From Credit Card Debt!

Credit card shoppers may lose money at holiday sales

The Friday after Thanksgiving kicks off the holiday shopping season. Store promotions and sales lure millions nationwide, but is anyone really saving by shopping these sales?

Mike Sullivan, director of education for Take Charge America, a national nonprofit credit counseling agency, said sale shoppers may be getting duped.

"If you don't need an item, don't buy it just because it's on sale," he said.

"Many shoppers who seek out bargains end up purchasing items they wouldn't normally buy if they weren't on sale.

Read more at: Credit card shoppers may lose money at holiday sales

Consider it training wheels for credit card

The UPside prepaid debit card targets teens who "need something between cash from mom and dad and a credit card."

NEW YORK - A New York-based company Wednesday launched a prepaid card that teenagers can use for both in-store and online purchases.

The UPside card, which will carry a Visa logo, was developed by Plastyc Inc., a privately held firm. The company's chief executive, Patrice Peyret, who had been involved in the development of the Mobile 365 messaging service, said the new card is aimed at young people age 13 to 22.

"It's our belief that they need something between cash from mom and dad and a credit card," Peyret said.

Read more at: Consider it training wheels for credit card

Hard-to-Believe Credit Card Rates

I've read plenty of times about how credit card companies routinely charge many borrowers as much as 30% interest or more per year.

I even reported on it. In that article, I explained a practice known as "universal default," which can get you whacked with sky-high interest rates on many or most of your cards if you're late paying just one bill.

And the default typically kicks in without your receiving any notification about it.

According to TV station KARE in Minnesota, "A 2005 survey by Consumer Action, a consumer advocacy group, found that 90% of card issuers used a universal default hike if a customer's credit score decreased."

Read more at: Hard-to-Believe Credit Card Rates

Canceling a card does not help your credit score

NEW YORK -- Is your credit score, that three-digit number that purports to measure the health of your credit history, not as high as you'd like it to be? If your credit-card spending is out of control, you may be tempted to cancel some of your cards so that you can elevate your score.

But simply cutting up the card the old-fashioned way, rather than canceling it, may be the better way to go.

According to Bankrate.com, canceling your credit card probably won't help your credit score. In fact, it could really hurt it. Here's why:

If you cancel a card, your "credit-utilization ratio" is altered. Say you have five open credit-card accounts that add up to a total available credit line of $50,000.

Read more at: Canceling a card does not help your credit score

Lower Credit-Card Fees in the New Year?

Might be time to dust off your "Inflation's Dead" party hat as today's Producer Price Index (PPI) pretty much buries the idea that prices are going up fast enough to deplete the buying power of the dollar.

According to the Labor Department, wholesale prices dropped by 1.6 percent in October, matching the largest ever one-month drop in the history of the report (October 2001).

If you pull out volatile food and energy prices — getting to what economists call the "core rate" — prices dropped by 0.9 percent.

Read more at: Lower Credit-Card Fees in the New Year?

Credit card charges to rise

Credit card companies look set to put a squeeze on their customers. Annual fees, higher charges and measures to root out people who 'tart around' in pursuit of 0% deals are all on the cards, says a report by leading financial consultants.

PricewaterhouseCoopers says rising bad debt and a clamp on penalty charges by the Office of Fair Trading have undermined profits. And it predicts that card issuers will seek ways to recover £1bn a year.

The report's authors say the average revenue earned per card has halved over the past five years. One reason is the rise of the so-called rate tart – customers who constantly switch debt from one cheap deal to another.

Read more at: Credit card charges to rise

Capital One criticised over credit card cheques

A LEADING debt campaigner has described Capital One Bank as "reckless" after it sent its customers unsolicited credit card cheques.

The cheques came with a letter encouraging cardholders to use them, just days after a standards watchdog criticised the bank for a similar mailing last year.

Yvonne Gallacher, chief executive of Money Advice Scotland, said: "I have real concerns about the tone. There is a real inducement to use the cheques and nothing about the fact that it will have to be paid back or how much it will cost."

Read more at: Capital One criticised over credit card cheques

Pre-pay card fees revealed

How much does it cost to spend £100 of your own money? As much as £5, if you use one of the new generation of prepay plastic cards.

The cards, marketed as an alternative to credit and debit cards, are more secure than cash and can be used online. They are being promoted fiercely at a time when bank branches are closing, limiting access to cash.

Meanwhile, many High Street chains, such as Boots and PC World, are refusing to accept cheques. But there is a heavy price for this convenience and flexibility.

Read more at: Pre-pay card fees revealed

Increase in credit card spending at Christmas

This Christmas, consumers in the UK are expected to spend more than last year on their credit cards, a new report reveals.

In 2005, people spent an average of £940 on their cards between October and December.

New research by Morgan Stanley indicates that consumers will spend an average of £1,270 during the festive period, an increase of 35 per cent.

Read more at: Increase in credit card spending at Christmas

Credit card spending set to rise 35 percent

LONDON (Reuters) - Britons are preparing to increase their credit card spending during the 2006 festive season, a survey predicts.

The average consumer will fork out 1,270 pounds on their credit cards between October and December -- 35 percent more than last year -- according to Morgan Stanley.

The main area of spending is expected to be on the home and car, closely followed by groceries. They will collectively account for over half of planned expenditure.

Holidays and travel is also set to be a major area of spending over the festive season, as are Christmas parties.

Read more at: Credit card spending set to rise 35 percent

Info on swipeless cards easier for thieves to swipe

Too lazy to swipe your credit card? You may not have to.

Millions of credit cards now contain a tiny wireless computer known as a radio frequency identifier. Their practical utility is that they can be used to buy goods at thousands of merchants without having to physically swipe the card through a machine. Data is relayed by radio waves.

You can literally save seconds, if that matters to you. But what matters to some researchers is that the cards may make it easier for thieves to steal private information.

Read more at: Info on swipeless cards easier for thieves to swipe

Mastercard in court over World Cup sponsorship

A US appeals court will today hear part of the case brought by credit card company Mastercard after losing out to rival company Visa in negotiations with FIFA to sponsor football’s World Cup.

MasterCard, which had sponsored World Cup events for 16 years, is suing the tournament’s governing body, FIFA, over its move to award an eight-year sponsorship to Visa beginning in January.

Read more at: Mastercard in court over World Cup sponsorship

American Express, ICBC launch China corporate credit card

BEIJING -- American Express Co. (AXP) launched Friday its first corporate credit card in China with the country's biggest bank by assets, Industrial & Commercial Bank of China Ltd. (1349.HK).

Foreign financial firms have partnered with China's biggest banks in the hope of using their extensive networks to sell their products in the world's fastest growing major economy.

ICBC has China's largest network, with over 18,000 outlets.

"This card is tailor-made for large-scale corporations and multinationals in China," said ICBC President Yang Kaisheng. "It will meet the needs of high-end corporate customers."

Read more at: American Express, ICBC launch China corporate credit card

Credit card companies find new ways to hike fees

It's no secret that people use credit cards to pay from everything from gas to groceries - but doing this could be costing you a lot more than you ever expected.

Credit card companies don't need a whole lot of reasons to raise your rates. The latest one is something called universal default.

The universal default allows credit companies to make adjustments to your account based on your performance with other lenders.

Read more at: Credit card companies find new ways to hike fees

Get In Control Of Your Credit Card Debt

There are some risks involved in using a Credit Card for financing everyday expenses. Credit Card debt is one of the most common financial problems and it is not easily solved.

Here are some tips on how to reduce credit card debt and take control over your finances.

Vicious Circle of Debt

The main virtue of credit cards is also the main problem when it comes to uncontrolled debt. Credit cards let you purchase goods even when you don’t have the cash to do so.

If you have discipline you can use this feature on your advantage by enjoying something you buy today and save to pay for it in a longer period of time.

However, lack of discipline will lead you to be tempted to purchase goods without consideration and exceeding your repayment capacity.

Read more at: Get In Control Of Your Credit Card Debt

Credit card scam alleged at Joliet-area hotels

Police charged 10 owners, managers and employees of seven Joliet-area hotels Thursday with selling credit card numbers of guests in a scam that authorities said could be going on across the country.

The arrests were made as about 50 officers, including FBI forensic computer experts, executed search warrants at the hotels, all part of national chains, though their corporate parents were not implicated.

In some cases, the forensic experts copied hard drives. In others, they took the computers.

Read more at: Credit card scam alleged at Joliet-area hotels

Rise in card use lifts Mastercard

Mastercard has seen its quarterly profits jump by 82% thanks to increased credit card usage around the world.

Reporting its results for the third quarter to 30 September, the US giant's net profit increased to $193m (£101m), from $106m a year earlier.

Mastercard, which listed on the New York Stock Exchange in May, said its quarterly revenues rose 19% to $902m.

Read more at: Rise in card use lifts Mastercard