Credit Card Blog

It’s true: There are credit cards for every occasion. So how do you know if the cards you have are the right cards for you? That depends on your goals. Are you trying to become debt-free? Are you looking to be a home owner in the near future? Do you want to use your credit cards to help seed a college fund for your kids or a retirement fund for yourself? Or do you just need a quick, 0% interest loan for home repairs or other necessities?

Card holders who want to pay off their debt should look for good balance-transfer cards with reasonable credit limits. By paying off their balance within the introductory phase, they can avoid interest rates. 0% APR cards are also great for medium-sized one-time purchases, such as furnishings or moving expenses.

Future home owners will want good credit scores, so they should have several open lines of credit available to them. The trick is to use very little of that available credit. Use too much, and credit scores will suffer.

Card holders who want to plan for the future should take advantage of reward cards that pay into IRAs or 529 educational funds, such as the FutureTrust MasterCard.

Whatever you need, there are credit cards that fit the bill. Don’t make the mistake of opening up charge accounts that don’t suit your needs. Instead, hunt around for a good deal that can really help you get what you want.

These days, most consumers take credit card payments for granted. It’s just too convenient to pick up your purchases and pay for them with a quick swipe of your card. And with rising levels of competition among small businesses, merchants who decline credit card payments aren’t doing themselves any favors. Forcing shoppers to carry cash or write out checks will send them – and their money – elsewhere.

The Internet has increased the demand for credit card payments. Most online businesses accept credit and debit cards through PayPal or other payment processors. Businesses that don’t take plastic run the risk of looking unprofessional and losing their sales to others who employ more modern payment methods. And there are more online credit card processing services than ever. Their fees are competitive – a small price to pay to ramp up your business. And don’t forget that credit cards have better security features than checks.

But cyber-shops aren’t the only ones who need to take credit cards. It is frustrating to walk into a store and pick up items without realizing that the merchant doesn’t accept credit cards. If you’re not accustomed to carrying cash, it’s easier to just take your business to someone else. These days, credit cards are accepted in even the most remote and unlikely of places. If you’re a merchant who doesn’t take plastic, do yourself and your customers a favor. Find a credit card processor and make your transactions a breeze.

It was supposed to be the next big thing. In November of 2007, New York City cab drivers were required to start accepting credit cards as a form of payment. Most have already complied. But now it’s six months later, and the majority of passengers still use cash to pay their fares. Some cabbies are mad, while others are more philosophical. Why aren’t passengers swiping their credit cards to pay for cab rides?

Like any big change, getting people to use a new payment method will take some time. It is estimated that 87% of cab fares are still paid in cash. That means that 13% of cab passengers are taking advantage of the new system that has only been in place for six months. The change is slow, but it’s happening. Chances are, passengers are simply accustomed to having cash on hand for their cab fare. Also, there are still a significant number of cabs which do not take credit cards. These will be equipped with card readers by fall of 2008.

Meanwhile, some cab drivers complain about the amount of time it takes to receive credit card payments. Some transactions take weeks to process, leaving cabbies unpaid and unhappy. How long will it take before New Yorkers start handing over the plastic rather than the paper? If train stations, ballparks, and other places that recently began accepting credit cards are any indication, it will soon be smooth sailing for cabbies who take cards.

The Fed has voted to approve proposed laws that would prohibit unfair and deceptive practices by the credit card industry. Consumer advocates praise the move, while lobbyists and industry insiders refer to it as an unprecedented intrusion into the way they do business. Federal Reserve Chairman Ben Bernanke hopes that these rules will usher in a new era of fair and honest business practices, while others believe that any economic relief provided by the changes will be too little, too late.

So what exactly has been proposed? Most of the changes sound like common sense: Give credit card holders enough time to pay their bills, don’t add unfair or unreasonable charges, and stop double-cycle billing. Card companies will also be compelled to stop applying raising the interest rate on existing balances, and stop applying payments to lower-interest balances first in order to keep collecting high interest from other balances. Overdraft protection has also come under scrutiny. Federal credit unions will be required to offer members a chance to opt out of pricey overdraft protection programs.

What will these changes mean, and when will they take effect? Critics worry that consumers with less-than-stellar credit will find it difficult to obtain a credit card under the new rules. They foresee higher interest rates and fewer offers of credit. The new rules could take effect as soon as the end of 2008.

It used to be if you were pulled over for speeding or another traffic issue, the police officer would decide whether or not to issue you a traffic ticket based on your look of innocence.  Now, sitting on the passenger seat of many police officers nationwide is a laptop computer, connected to traffic ticket records.  The cop can see in seconds whether or not you’ve never had a ticket or if this is your 4th ticket in the last four months.

When the police officer decides your guilty and in need of a traffic ticket – he or she can print it from the printer in the car.  The data is electronically sent to the sherriff’s office, the court clerk, and the state at the push of a button.

While you used to have to appear in court or mail in a check to pay for your ticket fine, now you can make a phone call to the court clerk and give out your credit card number over the phone.  Currently, most county clerk’s are charging a 3.2% fee on the credit card payment, but there is talk about switching to a flat rate processing fee.

It’s believed that fines will be paid faster now that credit cards are being accepted at more government offices.

If your police department isn’t currently operating in this “high tech” manner, it won’t be long before they’re driving around with this equipment.