Credit Card Blog

Meta Payment Systems (MPS) has recently introduced the iAdvance Line of Credit.  For all purposes; the advance is similar to a payday loan.  The difference is, consumers gain access to the small loans through a prepaid credit card.  iAdvance deposits money on the prepaid credit card and the consumer can then use it to pay for whatever they choose.

The idea is that the advance helps Americans who are not able to get conventional bank loans.  There is no credit check for a consumer looking to borrow money through iAdvance and it takes about two minutes to enroll, with the advance completed in a few seconds via telephone or internet.  Funds are made available immediately on the prepaid card.

Most non-bank loan products do not report the activity to credit bureaus, and therefore do nothing to assist a customer with establishing or rebuilding their credit.  iAdvance will report the activity and payment history, which can help strengthen consumer credit reports (if they pay the advance back on time).

“iAdvance offers a credit alternative that prevents underserved consumers from falling into a debt treadmill by borrowing from non-bank lenders,” says Trent Sorbe, Senior Vice President of Credit at MPS.

Did you travel overseas between February of 1996 and November of 2006? If so, and you used your credit cards while traveling, it’s possible that a recent class-action suit will provide you with at least $25.

Major credit cards, including MasterCard, Bank of America, Visa and others- have settled in a class action suit that lasted over a decade, for $336 million. The card companies didn’t disclose the foreign-currency transaction fees that were charged to customers.

If you traveled up to three times overseas and spent less than $2,500 on your credit cards, you can submit an online form to get your $25 at: http://www.ccfsettlement.com

If you spent more than that, and have receipts to document your expenses (like business travelers often do!) you can submit appropriate paperwork and receive up to 3% of the total outlay of your expenses.

You have until May 30th to fill out the paperwork and file for your money back. Visit the site mentioned above for submission information.

If you’re good about keeping track of your spending, identity thieves will have a harder time using your credit card information without your knowledge. Of course, big unauthorized charges set off warning bells. But now it seems that identity thieves have a new spending strategy: nickel and diming us to death.

Christopher Null made mention of this trend on Yahoo Tech. He was surprised when his credit card company alerted him to several charges made to his credit card, most fewer than twenty dollars in price. The company suspected fraud, and rightfully so.

Identity thieves have learned that smaller transactions often go unnoticed. But wrong is wrong, no matter the cost. If you suspect that someone has been making small charges to your card without your permission, Null advises canceling your credit card, initiating a charge back, and filing a complaint with the FBI. It’s also a good idea to look over your old credit card statements for other unauthorized charges. A good virus and spyware scanner will pick up intruders who might be gleaning your information from your home computer.

Even the smallest of charges can add up quickly. If you notice suspicious activity on your credit card, act fast. Online banking can make it even easier to monitor your balance, so check into that option if your bank offers it.

There has been much talk about card security in recent days. High tech thieves are becoming bolder and more determined to steal and exploit your financial information. With this in mind, VeriSign and Innovative Card Technologies have joined forces to bring us the InCard. InCards come with a tiny LCD in the upper right corner. When a button is pushed on the back of the card, the LCD reveals a unique PIN that is only good for a limited amount of time.

Online shoppers particularly like this card because they can generate a new one-use authentication number right before their transactions, then forget about it. The number won’t be valid long enough for thieves to put it to use. When it’s time to make another purchase or do some online banking, customers need only generate a new number. This additional layer of security prevents thieves from ever seeing customer’s real credit card numbers. Online merchants can rest easier about accepting cards with built-in one-time-password technology.

It’s good to know that card security technology is staying competitive with criminal minds.

Credit and debit cards have taken the place of cash for most modern transactions. What’s next? According to research from Emme Kozloff, a Sanford Bernstein analyst, the power to buy groceries will soon be at your fingertips.

Wal Mart and Costco are looking into biometric payment systems. These work by recognizing the fingerprint of registered users. The customers place their fingertip on a pad, then select which form of payment they would like to use — check, debit, or credit. Proponents of the new system applaud its benefits to customer security and faster checkout speeds.

Critics of biometric payment point out that fingerprints are left on everything a person touches. It would be fairly easy to take a piece of tape and “lift” these latent fingerprints for fraudulent use. There is also concern about having one’s fingerprint images stored in a computer, but biometric vendors insist that the prints themselves are not stored. Instead, encrypted measurements of the prints are kept. These do not permit recreation of a full print.

Customers are advised to keep their hands clean when making biometric transactions. If hands are too dirty, the machine might not be able to read the fingerprint.

RFID technology has its benefits, but it also has its share of detractors who worry about remote identity theft. It’s been postulated that lining one’s wallet with tin foil can block these thieves. But tin foil doesn’t do much for one’s image. If you’re the fashionable type (or at least the non-redneck type), check out the collection of DataSafe wallets from Kena Kai. Their soft textures put crinkly old tin foil to shame.

These wallets are stylish and affordable, but their best feature comes as an added bonus: they disrupt identity thieves who use remote scanners to glean information from the new Smart cards. These wallets are comprised of layers of RFID-protecting materials, and come with a lifetime warranty. The technology has been tested and approved by the US Government.

Ranging in price from $40-$100, Kena Kai’s wallets would make a great gift for anyone. The company also offers DataSafe badge holders and passport wallets – perfect for travelers who would like to feel more secure.

Pre-screened credit card offers account for a depressingly large amount of junk mail. We’re all familiar with those marketing ploys that congratulate us on our pre-approval, never mind the fact that we can’t be pre-approved for a card we didn’t apply for!

But don’t make the mistake of tossing out these offers like regular junk mail. Left intact, they are tempting targets for identity thieves. These offers should be shredded or otherwise destroyed before they ever hit a wastebasket, lest thieves start accumulating debt on your behalf.

Even better, use Opt Out Pre-Screen to stop receiving unwanted credit card offers. Opt Out Pre-Screen is an official service in accordance with the Fair Credit Reporting Act, which gives customers the right to decline such mailings.

By filling out the online form, you can opt out of pre-screened credit offers for five years. If you mail in a paper form, you can opt out for good. If you later change your mind, you can always opt back in. One caveat: It can take weeks or months for the offers to stop coming. But when they do, and you’ve reclaimed your mailbox space, you’ll know that the minute or so you spent filling out the form was a minute or two well spent.

Choosing a credit card can be tough. For one thing, there are just so many to choose from! And card companies are real marketing pros, so all of those cards look good – at first glance. Plus, terms and conditions can be confusing if you don’t know the terminology. Luckily, sites like this one help new card holders compare credit cards to see which ones offer good deals and which ones should be avoided.

In that spirit, here’s a list of the best (and worst) credit cards, according to Forbes and Saving Advice:

The five best cards are Blue from American Express; Chase Bank Visa Platinum; Discover Card’s More Card; CitiBank Platinum Select; and Clear from American Express. Across the board, these cards offer generous 0% introductory APRs and terms that are easy to live with.

Five cards to avoid include HSBC’s American Dream; New Millennium from Visa or MasterCard; MasterCard First Premier; Total Visa; and Chase Bank’s Marathon Platinum Reward Card. According to Forbes, the high fees and stingy limits on these cards mean they’re just not worth the trouble.

Prepaid debit cards are often the only choice for consumers who need an alternative to cash, but who can’t get approved for regular debit cards or credit cards. These prepaid cards frequently come with hefty usage and activation fees, making them a less than stellar deal.

Not so with the new Bank Freedom prepaid debit card. This newcomer offers free activation, free direct deposit, and no monthly fee (for cardholders who deposit $500 or more into their account each month). They guarantee 100% acceptance for prospective cardholders.

Bank Freedom designed this card for “underbanked” customers – that is, customers who don’t have ready access to a bank account. These customers frequently use expensive check cashing services in lieu of traditional checking accounts. Bank Freedom founder Bruce Berman approves of the card. He says that he has been underbanked several times in his life. States Berman: “It’s even tougher now to live a normal life if you’re underbanked than it was 20-30 years ago. The Internet doesn’t take cash and with the Bank Freedom Prepaid Debit Card you can now make those online purchases too.”

Bank Freedom estimates that 40-80 million Americans do not have access to credit cards. If your own credit score is hurting, check out these cards for consumers with poor or no credit.

It’s a fact: Americans like to play. Knowing this to be the case, HSBC has issued a new credit card that combines two of America’s favorite pastimes: shopping and gambling. Yes, you read that right. For every $1.00 spent on purchases with the HSBC “American Dream” card, buyers receive an entry in monthly drawings for cash prizes. According to the American Dream card’s official site, cardholders have been awarded a total of $898,000 to date.

Is the card a worthy addition to your wallet? New cardholders receive one thousand sweepstake entries just for signing up, plus a thousand more for each new cardholder they refer. That certainly sounds exciting.

But the card also comes with a variable interest rate of 14.99% or 21.99%. The penalty interest rate is 29.99%. There’s a $29 charge for every Cash Express transaction, and a $40 fee for cardholders who make a late payment or go over their credit limit.

Bottom line? If you’re a gambler, this could be a neat credit card to add to your collection. But if you’d rather hold on to the money you already have, you can probably find a better deal.