The Dollar Times » Credit Cards Financial planing|stock market |Credit Cards|News and Analysis|Small Businesses|Insurance, Sat, 26 Jan 2013 15:08:06 +0000 en hourly 1 Is your Credit Card another burden to your Retirement? Wed, 23 Jan 2013 09:44:34 +0000 Sam

Retirement Days and Credit Card

When you hold a credit card, it gives you many benefits like you don’t have to carry a huge cash in your wallet, you don’t have to count and pay at the Billing counter every time you make a transaction. And you don’t have to make a not after every transaction the money you are left with in your wallet.

However, all good things have flip side too; likewise, even credit card also has its own baggage of questions with itself.

The questions stand taller before you when are about to get retirement.

Some of the pros and cons of holding and using a credit card could be as follows:

  • When you use a credit card, somehow you tend to lose control and tab over your expenditure. This makes your budget a little shaky as you would be required to pay the bill at the end of every month and this would be nothing but an additional burden for you even though you have spent on your own needs only.
  • If you forget to pay the bills or do not have the accessibility to pay it then you will be charged with huge penalties and again, in the absence of a recurring income you may tend to take it as a burden.
  • As there is no certain income after you retire but the “daily expenditures” would go on the way they have been, to pay a credit card bill in one go would only add to the feeling of “inadequacy”.
  • If you are left with a huge bill and you have met all other expenditures coming your way, make it a point that you clear your pending bills before it is too late. Otherwise, your retirement may get melancholic to think of paying the credit card bill and the penalty on the same.
  • Try and make most of your expenditures through cash so that you can control and have an instant count of the money lying with you and the amount you have spent.

Credit Card is a good weapon for those who are still earning and are far away from retirement, but, those who are very close to it should get disciplined about using a card which could turn out to be a pain rather than a help.

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Are you vulnerable towards “Credit Card” cheating? Wed, 19 Dec 2012 18:20:54 +0000 Sam

Credit Card

Credit Cards are one commonly used tool by many of us today. In fact, there is hardly anyone who does not use such a card because of its luring facilities and to a great extent the easy usage for those who want instant credit facility.

However, timely evaluation is needed to check if you are vulnerable to get cheated through your credit card or not.

There are following “Credit Card Security tips” to prevent your card getting cheated:

  • Master Card Zero Liability

When you use such a card, the purchases cannot be made over the phone or even without the signature of the card holder. So the card automatically gets protected when only the account holder is able to make the transaction.

  • Card Verification Card (CVC)

There is a CVC associated with every card, while you make a purchase you will basked to enter this code for verification.

  • Personal Identification Number (PIN)

There is a PIN associated with most foot he credit cards which is unique for every card. While making a transaction, you will be asked to emerge this number which ideally should be known by the card holder only.

Some of the other security tips are

  • Use only a secured system for making any transaction, in fact, a cyber café or any such public place should be avoided for using the credit card.
  • Respond to emails from a trustworthy source and not to all of them, there could be a hoax mail asking for your personal details by luring you with some other benefit.
  • Use Anti-virus and spyware software on your system so that your information is not decoded through your gadget.
  • Always set an alert on your mobile for the transactions you make through your credit card.
  • Check the credit card statement quite frequently so that you know the exact number and amount of transition you have made through your card.
  • Every credit card company has a toll free number which works round the clock. The minute you realize that your card has been cheated, make sure that you inform the concerned department immediately. Take down the “service number” of the conversation you have made with the customer care executive of the company. This would be needed for future reference.

Credit Card is an essential necessity as it saves us from the cumbersome task of carrying cash, yet one has to be careful in the present era wherein frauds seem to be technically sounder than the protectors.

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How And Why Should You Say No To The Retail Credit Cards? Fri, 30 Nov 2012 06:56:37 +0000 Samantha Jones Some of the leading consumer sources are of the opinion that consumers should not invest in retail credit cards that are being offered during the festive period, especially during Black Friday. They believe that such retail credit cards provide credit on heavy interest rates which can otherwise prove to be quite risky and credit killing. Although, superficially these credit cards seem quite lucrative and propose to save few bucks when the consumers sign for them right on the spot, the end result can be totally different.  The high interest rates when combined with limited benefits make them one of the worst credit cards around.

The Reasons For Saying No To The Retail Credit Cards:

 They come with high interest rate: When compared with average credit card, retail credit cards more often are heavy on interest rates, actually much higher than any on the market. The latest information on Forbes reveals that the average interest rate of retail card in the market hovers around 24 percent with both bad and good credit consumers getting even deal.

In comparison, the average rate of interest on regular credit card for a consumer with good credit was closer to around 15 percent. So, it’s quite evident that the good consumers who sign up on spot for the retail credit cards have compulsorily to pay around 9 percent more in the form of interest which certainly cannot be a wise decision.

No advantage of intro periods: It’s an understood thing in the credit card market that the best time to buy and use a card is when it is being introduced for the first time. This way, the consumer gets lot of good offers from 0 percent APR for a year or more for purchasing and transferring of balance, valid all through the introductory period.  With retail credit cards, no such offers are attached and hence they come across far less benefiting. This is because in case of retail credit cards, the introductory period offer is limited to only the first purchase that is made immediately after buying the card on spot, which can gain you an overall net saving of 15 to 20 percent (depending upon scheme of the retailer this may vary).

From then on, as a consumer you have to gear up to pay high interest (more than 20 percent) in case the bills are not paid on time.

Limited rewards: Regular credit cards come with various other offers whereas with retail credit cards such rewards are extremely less.

All these reasons are enough to sideline the request for retail credit card on offer this festive season.

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Charge Back on Credit Cards without hurting the Credit Score Thu, 22 Nov 2012 09:57:00 +0000 angelina

Charge Back Credit Cards

Credit Cards have always proven to be protectors in the time of crisis. They support you when you have no other option to fall back upon. They make you continue with your story without any interruption.

However, there are moments a dispute may arise with the merchant whom you have made the payment through credit card. You have every option of charging back the money without disturbing your credit score.

Ways to charge back

  • If you find your transaction not to be reciprocating enough and you find that the order is not the same for what you made the payment then you can charge a refund back from the retailer.
  • The investigator looking into the matter, will judge the case and if he finds your side to be strong enough, you will be refunded your money back.
  • Generally on such occasions the money is removed from the account of the retailer and is deposited in the buyer’s account.  
  • This facility never gives you the scope of placing disputes every now and then.
  • When you don’t receive the order placed or receive the same in a deformed manner, then you must fist approach the customer care service of the retailer or the brand and then you should move to any such investigator who will look into the details of your case.
  • If the merchant refunds your money in good spirit then you need not take such a step.
  • Your case will be tried under “Fair Credit Billing Act”.
  • In case, you don’t like the product and hence you want your money back, then you have no grounds to lodge your complaint. In such a situation you cannot claim any charge back.
  • For resolving any dispute you must report the matter to the concerned authority within 60 days of the issue.
  • Remember to retain documents like “sales slips, contracts and any other document” related to the transaction made between you and the retailer.
  • A claim without any support of document will not be entertained by any of the investigators. Rather, the case will go against you.

Claiming any pay back will not have any impact on your credit score, yet, you need to collect all possible documents to prove your point and get the money back after the investigation turns in your favor.

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Are you a victim of credit card fraud? Wed, 26 Sep 2012 07:20:25 +0000 angelina

Credit Card Fraud

When you’re victimized of credit card fraud, the first and foremost reaction is “loss of control”. Whether you have lost your card or someone has taken it away from you and has also used it for his own benefit, irrespective of these points the loss has to be borne by you till the time you find a way out. TO prevent further damages to yourself you have to calm down and get composed. You can never reach the bottom of the issue unless you’re cool from within.

After you’ve composed yourself, follow the given steps

  • Get back your inner balance

It is very important that you first get back your mental balance which is required to proceed ahead with the rest of the steps. It is difficult to suggest so but with a disbalanced attitude you’re likely to make more mistakes. So, get composed, take a couple of deep breathes and sat thinking in the right direction.

  • Inform the Credit Card company

The next immediate step should be to inform the credit card company about being victimized. The information can be sent both orally first and then in writing. You can either personally visit the nearest office or you can also send them an email. You must request them to deactivate the card as of now, so that the cheat cannot victimize you even further.

  • Inform the bank

You must communicate your problem to the bank you have an account with, so that they don’t make any ECS payments pertaining to your credit card. Also, caution them in writing for not making any payments to any unknown person without your permission.

  • Inform the cops

This is another nag step. You should take the initiative of informing the cops and letting them know the way you’ve been victimized. If someone cheated you on fact and took your credit card then doesn’t hesitate to narrate the whole story or else you can be transparent with the cops about the ways you’ve been victimized.

  • Get a credit Report

Immediately request your credit card company to get you a credit report so that you know your scores in black and white. You can submit a copy of the statement to the bank and even to the cops.

These are a few steps you should take immediately after you realize that you’ve been a victim of Credit card scam.

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Things to know about Credit Card protection Plan Wed, 12 Sep 2012 17:25:57 +0000 angelina

Credit Card Purchase Plan

Most of the purchasing is done with the help of credit cards. There is hardly any transaction which is made in cash these days.

Sometimes you must be thinking that what happens if product when bought was absolutely fine but now it has been ruined or broken or stolen.

Purchase protection is a kind of insurance, which is provided by some credit cards. It protects the purchase you make through your credit card.

How does it work?

  • If you buy a product with the help of credit card and the same gets lost r spoilt then you can refer back to your credit card issuing company and get your money reimbursed.
  • The facility is available with not all credit card companies.
  • You can enjoy the benefits if you buy a credit card of higher end like American Express or Visa Card or Master Card.
  • Various cases are covered under this scheme, like if a new gadget is spoilt by your pet or something is stolen by a thief or if you drop something in a water body.
  • If you claim that your phone has fallen into a pond or a river and if it is not fished back then you’re not getting any benefit.
  • If you lose one of a pair, then you have to send the remaining one to claim your reimbursement.
  • The first step is to inform the Card Company over the phone, and then you have to fill up a claim form which has to be submitted with documents which prove that your item has been lost. Your paper should be absolutely strong to get the benefit.

Is there a possibility of not getting reimbursement?

  • There is a huge possibility that your case is not approved and you don’t get any reimbursement. The approval is not subjective but objective. Hence your case might be similar as your friends who got his money back but you may not. So be careful about the paper work and ensure that your case is strong enough.
  • There are many credit card companies who do not give benefits on “things getting stolen”.

Credit Card companies offer a great deal of benefits to the users, but the users should be careful enough about using them. Make big purchases out of your card so that even if you lose it at least you can claim reimbursement.

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Fate of Spouse’s Credit Card debt after they pass away Sun, 09 Sep 2012 15:11:03 +0000 angelina

Credit card of late spouse

The person with whom you have spent your whole life, if suddenly passes away, leaves you with a lot of pain and agony. Along with this there are other practical aspects of the life which you need to look into after his or departure?

“Credit Card debt” is one such aspect which leaves you with a lot of task to be completed. Here is a list of task you need to take up urgently.

  1. The first and foremost task you must do is to inform the reedit card agencies about your spouse’s death. There is every possibility that someone may take undue advantage of your emotional doldrums and use the credit card for his expenditure after procuring the details. You can inform credit reporting agencies like Experian, Equifax and Trans Union.
  2. Another important site where you can get help about blocking credit card is “Experts at low credit”. This site will not only provide support to you by giving certain information but will also give you the option of receiving an alert if a new credit card is applied in your spouse’s name and personal details.
  3. Immediately after your spouse’s death request the credit score department to issue you a detailed credit report on your spouse’s credit card. This will give you a clear picture of the credit your spouse bears.
  4. Now the question is if your spouse has outstanding payment to be made then who is going to do the needful?

The answer lies in three options

  • If both of you had a joint account then the entire outstanding bill has to be paid by you as anoint holder.
  • If you have been an authorized or second holder of the card then also you will not be required to pay the bill, rather, it will be realised from the estate your spouse has left behind.
  • If your late spouse has been the sole holder of the card then you are surely not responsible to make any payments, though the property acquired during marriage will be considered a joint one and all the realizations will be made through this property only.
  • There could be a condition when the creditor does not leave behind enough property or estate, in that case, the chapter of credit card is closed and the debt is written off forever.

By taking the above mentioned measure you will be able to handle the credit card of your late spouse in a better way.

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Immigrants granted support by the Banks Tue, 04 Sep 2012 17:12:48 +0000 angelina

Immigrant in a bank

When you immigrate to a new nation, the first and foremost thing which concerns you is the “finances”. Not all the immigrants may be well prepared to bear the entire set of expenditure on their own. There are very who would know any of the relatives or old friends from the home country.

In this case, the only financial entity which can be sought for support is the “bank”. As a new immigrant you might not be confident about receiving the support you expect from bank. However, in Canada, the banks are more than supportive towards the immigrants.

There are large financial bodies like banks, who are ready to provide unsecured credit cards, banking services in more than one language, there are period suffered when no banking fee Is charged for service provided and they also help you sending money across to your relatives in home country.

However the base limit on the card is $1000 and the interest rate is 19.99%.

In the present scenario, the population of native Canadians is slowing down; hence banks need to look for other potential customers who will give a boom to their business. They find the immigrants to have huge potential and refer them as “key category”.

Director of Multicultural markets at Royal Bank of Canada says, “The forecast are quite clear that Canada is an aging population. Moving forward, new comers are really the key source of growth and will be fuelling the growth of the Canadian economy for years to come. It is really somewhat of a clear cut business case.”

According to a report majority of the population growth in the nation comes from immigration. In fact in another two decades almost 70% of the growth will be due to Immigrants.

There are other banks like Bank of Nova Scotia who started the marketing of unsecured credit cads to the immigrants.

The initiative from the banks make things easier for immigrants, as the credit cards usage makes them build up a credit history. There are cases when people save huge amount of money but they are not able to buy an asset because they do no not have any credit history to show.

Hence the approach of the banks has helped immigrants and it is giving a new avenue to the banks for generating and growing their business.

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Get protected from Credit Card Scams Mon, 03 Sep 2012 17:53:57 +0000 angelina

Credit Card Scam

Credit Cards and Debit Cards have brought a revolution in the banking industry. There was a time when people had to queue up for long hours and waste a lot of time to get their own money forms the bank. Also, one could take out money only within office working hours, so the option as to either pile up a lot of cash at home inviting insecurity or to wait for the next working day to get money.

With the introduction go these cards, things have become easier, faster and customer friendly.

However, this revolution has also allowed the criminals to wrack their brains and find out new ways of committing crime.

These days the concept of “credit card skimming” is quite a common phenomenon in the crime world. The criminals generally sue a machine with the help of which they retrieve all your secure information as you swipe your “credit or debit card”.

As soon as they get your information like Personal Identification number or password to use the card they take no time commit the crime.

The most vulnerable places for a customer are ATMs and Gas pumps. These two places are quite aloof and people are so much in a rush that they don’t pay much attention to the machine where the card is swiped.

Criminals take advantage of this opportunity and retrieve all possible information about card and misuse the same.

The concept is that there is a “ring leader” with a few “runners” working under him. They keep standing at the ATM machine of generally locations which do not have too much of settlement. After they get hint form their leader, they steal the money and run away.

Experts suggest using credit cards more than debit cards. While using a credit card one has to supply a “zip code” whereas while using a debit card one only needs to supply a “pin number”. Miscreants find it easier to get the pin number than retrieving the zip code.

Also any pump or ATM which is in a remote area should be avoided for making any transaction, these being more prone to providing golden opportunities to the miscreants.

Hence, the technology of credit card and debit card can be used in the best possible manner with a little alertness.

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Signs of heading a bankruptcy Mon, 20 Aug 2012 16:03:19 +0000 angelina

Signs of Bankruptcy

Every individual no matter how much he earns, might have to undergo a financial crisis at some point of time or the other. It could be due to some emergency for which one is not prepared, or it could be due to ill planning or no planning of finances.

Sometimes you may not understand that you are actually heading for a disastrous situation like “bankruptcy”.  Here are a few signs for you to know that you might reach a “bankrupt” situation.

Piles of unopened mails

Whenever you enter your house after returning from office, you see a huge pile of mails but the envelopes remain unopened. There could be important mails from the bank; phone bills or credit card bills which you need to make payment for.

Unattended reminders

Credit card companies, mobile service providers and others keep sending you reminders before taking the last step. Hence if you have been avoiding their reminders too, you’re not unintentionally inviting troubles for yourself.

Failure of last date

Mortgages and other due bills have a last day to make payments, if you cross that not once but regular then you’re heading for a disaster.

No insurance

If you have no medical insurance or disability insurance then you are not planned to handle the emergencies. In case you meet with an accident or get hospitalized these insurances will be a big support to you, otherwise you’ll have to bear the entire expenditure from your own pocket.

Loaning from one to pay the other

You’re taking one loan to meet up the other. This can be done rarely by taking personal loans to clear the old debts, but, if it becomes a recurring feature then you need to introspect and make yourself understand that this kind of a situation may lead you to bankruptcy.

Cash Crunch

Every month your cash crunch is so high that you’re not able to catch it up with. Either your planning’s are not done with a lot of thought or you’re not able to control your desires and spending money more than you can.

Hence, if you relay want to avoid devastation like “Bankruptcy” then you must start managing your finances right from the first day of your earning. There is no harm in consulting a friend or a consultant to get the correct kind of advice.

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