Credit Card Quick

Why a Credit Card Can be Your Best Friend When Traveling Outside of the Country

Introduction

A credit card is never as useful, perhaps, as when you travel outside of the country. If you have plans to travel outside of the country for any amount of time, whether for pleasure or business, it pays to have a solid credit card in your back pocket. And here’s why:

• If your credit card is lost or stolen, it can be replaced almost immediately. If your card has been stolen, for example, it is best to first contact the local authorities and then contact your credit card company, who can often replace your card in a very short period of time, thereby allowing you to continue your travels without much interruption. Consider, on the other hand, a stolen credit card, which can take some time for the bank to get that money back into your bank account, thereby leaving you high and dry.
• A credit card can help you receive prompt medical treatment if you become sick or injured. Because foreign countries don’t recognize your U.S. health insurance, you are most often expected to pay in cash for any treatment you receive. If you don’t have access to that much cash (and who does?), a credit card can cover your medical expenses.
• A credit card can handle your foreign exchange rates so you won’t have to. Although most credit cards charge a foreign transaction fee for overseas purchases (although there are many credit cards that have dropped this fee), it is still the best way to go because you won’t dampen your budget by converting your American dollars into foreign currency.
• A credit card can take care of paying the proper amount for every purchase. Although you think your foreign currency knowledge is accurate, the truth of the matter is that many Americans are duped out of their cash while traveling because they are not completely familiar with the currency in the foreign country. A credit card, on the other hand, gets it right every time.
• Your rewards points can go the extra mile when traveling. From airline miles to rental car costs, using your credit card while traveling can mean great rewards points for you.

New Incentives Make Rewards Credit Card Offers Enticing

Choosing Credit Card

You may not have ever given the idea of a rewards credit card much attention, but with some of the new incentives being offered with rewards credit cards these days, you may just want to take another look at a rewards credit card.

In fact, you may have noticed an increase in the number of credit card offers you receive for rewards credit cards. If you look further into these offers, you will quickly notice that credit card companies are pulling out all the stops when it comes to their rewards card offerings, and some of these perks may be just what you’ve been looking for.

From thousands of extra airlines miles to merchandise discounts and gift cards, the new rewards credit cards are more appealing than ever.

Only Good Customers Need Apply

One major thing that has changed, however, is that credit card companies are only interested in consumers in good financial standing. So if you have a strong credit score, chances are you’ve been receiving your share of offers for rewards credit cards.

For example, CHASE Freedom is now offering $300 cash back if you spend $500 in three months. The Citi Forward card is similar, as it offers its customers 6,000 “Thank you” points for making $600 in purchases and singing up for their paperless billing. In addition, this card will give you another 1,200 points just for paying your bill on time and for not exceeding your credit limit.

Standing Out From the Crowd

The change in the credit card industry is likely because credit card companies are now looking for new and exciting ways to stand out from the crowd in the already-saturated rewards credit card market. And, after weathering the recession storm, credit card companies are now actively competing with one another for the best customers. In fact, in the first quarter of 2011, there were more than 1.4 billion credit card offers sent to consumers.

Recent data also shows that nearly 60 percent of credit card offers sent to consumers in the past quarter had some kind of incentive attached to it, such as cash back rewards, gift cards and bonus airline miles.

In short, it may be time to look a little closer at the next credit card offer you receive in the mail!

Four Ways to Make a Rewards Credit Card Work for You

Credit Card Rewards

We love rewards credit cards because they reward us for shopping! Rewards credit cards are commonly offered by credit card companies these days and widely used by consumers across the U.S.  However attractive a rewards credit card may seem, though, if you don’t adhere to the card’s terms and conditions, your rewards credit card may not be so rewarding after all.

Here are the top four ways to make sure your rewards credit card is working for you:

1. Apply for a card that best fits your spending habits – Rewards credit cards are a dime a dozen these days, so finding one that best suits you and your spending habits may take some time. However, your persistence will pay off in the form of rewards, so do yourself a favor and research the newest rewards credit cards until you find one that is most in line with how you shop, when you shop and where you shop.
2. Pay close attention to the rewards schedule – Most rewards credit cards have changing rewards schedules, meaning that you earn rewards in a variety of ways each month. For example, some cash back rewards feature rolling rewards schedules that allow you to earn more cash back rewards if you shop at certain retailers at certain times. Take the time to review the rewards schedule for your credit card, and the terms and conditions associated with earning those rewards, and always pay attention to any correspondence your credit card company sends you, as this will likely detail changes to your rewards schedule.
3. Charge! – The only way you will make your rewards credit card work for you in terms of rewards is if you spend on the card.
4. Pay off your balance each month- You can earn all the rewards you want, but if you fail to pay off your balance when your statement arrives each month, the finance charges you will pay on that balance will likely negate any rewards you earned throughout the month. In short, if you use a rewards credit card, pay off the balance each month. If you are the type of spender who frequently carries a balance over each month, then it makes more sense to find a credit card with a low, fixed rate and skip a rewards credit card.

3 Easy Ways to Make your Credit Cards Work for you

Introduction

Credit cards are a great convenience and are a practical way to manage your finances, but they can be much more if you play your financial cards right. You can actually come out ahead in terms of your finances, simply by spending on your credit card. Here’s how:

1. Use a balance transfer offer to pay off higher-rate balances – If you are currently shelling out money on finance charges on any number of loans or credit cards, it may be time to transfer those higher-rate balances onto one, low-rate credit card. Luckily there are a number of great credit card offers that offer zero-percent balance transfer offers. If you plan accordingly and create a payment plan that allows you to pay off your credit card balance transfers within the promotional period, you could pay off your debts and save big on finance charges at the same time! Balance transfer offers are ideal for transferring any number of high-interest-rate debts, such as car loans, personal loans and retail credit cards, just to name a few.
2. Use your card’s promotional rate to charge a large purchase – If your credit card currently has a low, promotional rate (or a low, fixed rate), you may want to charge a large purchase, such as electronics or appliances, as to save money on finance charges. Most retail credit cards and loans offered by appliance and electronics retailers charge come with high interest rates, so you could save big just by using your credit card’s convenience checks with a low, promotional or fixed rate.
3. Charge everyday purchases and rake in the rewards – If you have a great rewards or cash back credit card and you want to see big rewards, charge everyday purchases from groceries to gas. As long as you budget accordingly as to pay off your balance in full each month (and avoid finance charges), you can begin earning big rewards, which ultimately means cash in your pocket. From discounts and cash back rewards to airline miles and free hotel stays, rewards credit cards are a big business and can spell success for credit card customers.

The Four Most Important Factors to Consider when Comparing Credit Card Offers

Choosing Credit Card

Credit card offers are piling up in your mailbox, and you know you want to research the possibility of getting a new credit card, but you’re not sure how to best compare credit cards.

The fact is that the interest rate of a credit card is just one factor to consider when researching credit cards. Here is what you may want to consider when choosing a new credit card:

1. Interest Rate – OK, of course you will check the interest rate. But what may be just as important as the interest rate is the length and type of interest rate. First, if the card offers a low, promotional rate, make sure to pay close attention to the length of the promotional rate and, perhaps more importantly, the default interest rate once the promotional rate has ended. In addition, make sure the interest rate on the card is fixed – not variable – to save yourself from any surprises down the road.
2. Billing Cycle – A generous billing cycle should be an important consideration when choosing a new credit card. This is because you want to be assured that you will have sufficient time to make payments each month without incurring finance charges on your previous month’s purchases. Although the CARD Act has set limitations regarding billing cycles, it is still quite common to see small variations regarding billing cycles and grace periods, so don’t overlook this feature.
3. Rewards – If you want a credit card with rewards, you must do your homework and read the fine print! Rewards credit cards are NOT created equal, and there are a huge number of differences between cards. It is therefore important to read and understand all of the features associated with a rewards card before accepting the terms and conditions of the card.
4. Annual fee – If you want a no-frills, competitive-rate credit card, you will likely not need to pay an annual fee for using the card. However, you may notice that many of today’s rewards cards come with annual fees. Don’t automatically toss any credit card offers that charge an annual fee, though, as the rewards aspect of the card may be well worth the small, annual fee. In other words, consider all features of a card before discounting a card because of an annual fee.

The Resurgence of Airline Rewards Credit Cards

Credit Card Rewards

Airline rewards credit cards used to be the cream of the crop when it came to credit cards. However, they quickly took a back seat to other types of rewards credit cards, such as cash back rewards credit cards. Interestingly enough, though, these airline rewards credit cards are now taking center stage again because of their attractive rewards and perks.

New Perks and Waivers take Center Stage

The airline industry doesn’t exactly top the list in terms of favorite companies in the eyes of consumers, mainly due to the high fees and extraneous surcharges for everything from an extra piece of luggage to a can of soda. Airline rewards credit cards therefore often address these inconvenient charges by offering free waivers and perks. On top of that, credit card companies are now offering plenty of mileage rewards, too, thereby making many consumers reconsider the advantages of airline rewards credit cards.

According to Mintel Comperemedia, airline rewards cards (including credit cards that offer either points or miles) accounted for nearly 40 percent of the credit card industry in 2010, which was an increase of 30 percent from just a year earlier. It’s no secret why airline rewards credit cards are becoming a popular choice among consumers again, either: the benefits are better than ever.

Great Deals in the Airline Industry

For example, Delta has begun offering its cardholders a free checked bag fee (worth $25), while sign-up bonuses for Continental cardholders range between 30,000 and 50,000 miles, which equals nearly one or two domestic, round-trip tickets.

Southwest, which is due to release its credit card in the next month or so, is offering its cardholders the option of trading in their points to take advantage of fare sales at lower rates.

JetBlue has found its niche, too, in terms of airline rewards credit cards: it updated its rewards program to eliminate expiration dates and to change it rewards system to award consumers points per dollar spent rather by the length of the flight.

Unlike the airline rewards credit cards of the past that came with large annual fees and even larger interest rates, today’s airline rewards credit cards are luring customers in with often too-good-to-pass-up deals and perks.

Incentives your Credit Card Company may be using to get your Attention

Credit Card Rewards

The credit card industry is gradually going through a number of changes as the economy begins to improve. In particular, credit card companies are extending credit to consumers with strong credit score and are rolling out the red carpet in terms of attractive offers. Here are some of the best incentives being offered to credit card consumers:

• Zero Percent Introductory Rates – The zero percent introductory rates were a thing of the past couple years, and many analysts these types of introductory offers would never make a comeback. However, it looks as if they were wrong, as credit card companies, over the last, few months, have really stepped up to the plate in terms of offering great zero-percent introductory rates and balance transfer rates. Before applying for one of these introductory offers, however, carefully read the terms and conditions associated with the zero percent introductory rate so you can be sure you are getting an attractive deal on balance transfer fees.
• Cash-Back Rewards – Cash back rewards are, perhaps, the most popular type of reward offered by credit card companies. In fact, it is quite common to find credit cards with very attractive cash back rewards features. When searching for a cash back rewards credit card, search for the card that best fits your spending style, and pay close attention to rolling rewards so you can maximize your cash back benefits.
• Travel Rewards – If you are a frequent traveler, it may be quite advantageous for you to apply for a travel rewards credit card. From airline rewards to gas perks and hotel rewards, a travel rewards credit card is ideal for business travelers or for those individuals who simply travel often on pleasure. Credit card companies are offering plenty of attractive travel rewards, so take the time to examine which one best fit your travel needs.
• Student Credit Cards – Credit card companies are offering up plenty of easy repayment terms for students, so using a student credit card to establish credit and to begin building your credit history is often a good move to make. Credit card companies, in response to scrutiny and legislation from the government, have included a number of features that help keep students on track in terms of their finances and budget.

The Top Three Factors to Consider when Shopping for a Credit Card

Choosing Credit Card

If you have strong credit, you’ve undoubtedly begun receiving an influx of credit card offers in your mailbox. Now that the credit sector has begun loosening its reigns on credit, most consumers with good credit scores have now begun receiving a considerable amount of correspondence from credit card companies.

If you have a nice pile of credit card offers sitting in front of you, and you are ready for a new credit card (hopefully with attractive features and a low interest rate), then you can begin to compare credit card offers using three, simple factors:

• Interest Rate – So this sounds quite straightforward, right? You find the credit card with the best interest rate and go from there. However, consider that the current interest rate is just one piece of the credit card puzzle, as many credit cards offer attractive introductory rates that are not so attractive once the introductory period has ended. Therefore, before grabbing the first credit card offer with a zero percent interest rate, consider the length of the promotional rate and the interest rate once the promotional period has ended.
• Annual Fee – An annual fee is a touchy subject for many financial analysts; this is because some experts will tell consumers that they simply shouldn’t pay an annual fee, while others feel that an annual fee is well worth it if the card comes with very attractive rates and features. If a credit card offer comes with an annual fee, but also comes with its share of features, such as rewards and cash back, an annual fee may very well worth the expense. For the majority of consumers, however, it is really quite unnecessary to pay for an annual fee.
• Rewards – And now we come to the all-mighty rewards programs offered by many credit card companies. In a nutshell, rewards can definitely be, well, rewarding, if you follow a certain set of rules. In particular, forget about the advantages of any rewards program if you don’t pay your balance in full every month. Simply put, any rewards that you may earn through the credit card will likely be negated because of the finance charges paid to the creditor each month.

The First Five Things to do when you Receive a Credit Card Offer

Introduction

As the lending industry loosens up a bit, you may be surprised to see more credit card offers in the mail. In fact, if you are receiving credit card offers then you can be certain that you are the small minority of credit card users being aggressively targeted by credit card companies because of your excellent credit.

These unique circumstances may provide you with the opportunity to snag that really great credit card for which you’ve been looking. However, with multiple credit card offers being delivered into your mailbox every week, how do you begin examining and comparing the offers?

Although each credit card offer will come with its own benefits and advantages, there are five things that you should take a moment and review when comparing credit card offers:

1. Review the APR – The APR on the credit card will likely allow you to eliminate certain cards right off the bat. So, it only makes sense to take a look at the card’s APR immediately upon opening the credit card offer.
2. Review the terms of the APR – A credit card’s APR is only as good as the terms and conditions that are attached to it. Don’t be fooled by a low, promotional APR; instead, find a card with a great low, fixed interest rate so you won’t have to play the game of transferring to another credit card the moment the card’s promotional APR expires.
3. Review the balance transfer options – If you have outstanding debt on other credit cards, you may consider transferring those balances to your new credit card. Luckily, many credit card offers come with balance transfer options; just be sure to check the terms and conditions, including the APR, associated with the balance transfer offer, as they will usually differ from the card’s general terms and conditions.
4. Review the card’s rewards – If rewards are what you’re after, then examining the rewards is likely high on your priority list. Don’t skim through this material, though, as credit card rewards often come with their share of terms and conditions. Instead, take the time to read this information carefully.
5. Review all other terms and conditions – It can’t be said enough: take the time to read the small print! Your job as an informed consumer should be to make sure you completely understand all aspects of your credit card, and this happens when you read all of the card’s fine print.

Are you making the Most out of your Credit Card Rewards Points?

Credit Card Rewards

You’ve amassed loads of credit card rewards points. Now what? Do you know the best way to make the most out of your credit card rewards points? Make no mistake about it: there are lots of great goodies to grab with your credit card rewards points; the hardest part about amassing so many rewards points is that you have to figure out what to do with them!

In 2009 alone, 68 percent of Americans said they participated in some kind of credit card rewards program; that’s an increase of 10 percent over 2008.

With so many people using credit card rewards points there are now many options for spending them. Here are a few tips that will put you on the right track when it comes to your credit card rewards points:

• If you have only considered cash-back reward programs in the past, consider looking at airline, retailer or hotel credit cards, as often their rewards programs often beat out cash-back programs. Many hotel, airline and retailer credit cards offer back up to two percent in gift certificates, compared with about one percent when dealing with cash-back credit cards. In fact, some airline credit card rewards programs offer even better deals!
• If you have several rewards credit cards, check out the deals on all of them, as they may differ from one company to the next. For example, a rental car may cost you fewer points on one card than it does another.
• Don’t assume you have to amass thousands of credit card rewards points in order to cash in. In fact, because there are so many rewards programs out there, many credit card companies are offering rewards with fewer points. In other words, instead of waiting around to get enough points to pay for an airline ticket, indulge in a restaurant gift card and enjoy a night out on the town.
• Don’t assume you have to cash in on prizes using all rewards points. In other words, you can often pay for an airline ticket, for example, using some points and some cash.