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Credit Cards

6 Luxury Credit Card Perks For Elite Cardholders

Not every elite credit card offers all of these perks. Savvy shoppers compare credit cards online, picking their next account based on the benefits and rewards they're most likely to use over the coming years.

Repaid baggage fees

American travelers have grudgingly grown accustomed to paying for checked bags on flights. While many airlines charge between $25 to $50 per bags, Spirit Airlines announced a record-breaking $100 bag check fee for some future flights. Carrying eligible branded airline credit cards eliminates those fees on American, United, Delta, US Airways, and most other major carriers.
Meanwhile, casual travelers and frequent fliers no longer require airline loyalty to get their bags checked for free. For instance, American Express offers a $100 annual airline fee allowance on its Blue Sky Preferred® from American Express. American Express doubles that reimbursement budget for Platinum Card members. The U.S. Bank FlexPerks Travel Rewards Visa credits covers the first $25 in bag fees on every flight a cardholder takes, all year long.

Price assurance

Prices change constantly, especially on big ticket items like electronics and airfare. If a merchant declines a requested price adjustment, a credit card's price protection policy kicks in. Many elite credit cards require merchants to adjust prices and offer partial refunds for up to 90 days after a transaction.
MasterCard automatically checks airline prices on its PriceAssure website. Customers can use a one-time enrollment form, regardless of their issuing bank, to monitor and adjust airfares paid with eligible MasterCard credit cards. Other shoppers use websites and smartphone apps to track volatile prices and to make refund requests.

Concierge services

Elite credit cards want to impress cardholders with the skills of teams who try to make every moment special. American Express Platinum Card, Discover Cards, Visa Signature, and World Elite MasterCard customers enjoy access to specially trained concierge teams, who can recommend and reserve hotels, restaurants, and special events.
Often unflappable, these concierges work as hard as those you'd find in a luxury hotel to turn cardholders' requests into reality. American Express notes that its team has helped arrange honeymoons and organized house painting chores for vacationing cardmembers. Chase Freedom cardholder John Hargreave convinced his Visa Signature concierges to locate a giant tub of nacho cheese and to help complete a challenging crossword puzzle.

Shipboard cruise credits

Like airlines, major cruise lines offer their own branded travel rewards cards that can offer significant rebates on luxury vacations. Norwegian, Royal Carribean, Disney, and Carnival all partner with major banks to extend special financing and bonus rewards for cardholders.
Other rewards credit cards offer cruise benefits as part of their broader redemption programs. Chase Sapphire Preferred cardholders have reported earning as many as six times their usual rewards points by booking a cruise through their bank's preferred travel agency. Chase's Ultimate Rewards and Citi's ThankYou programs both let members redeem points for free or heavily discounted shore excursions and shipboard shopping credits.

Exclusive experiences

All four major American credit card brands are trying to outdo each other with the exclusive access to special events and experiences. American Express sponsors luxury lifestyle events, like fashion shows and film festivals. Therefore, elite cardmembers can request VIP access to mingle with designers and movie stars. Visa members have access to a bevy of premier events -- from the 2012 London Olympics to food and wine exclusives in Sonoma County, California.
Discover's college football and hockey promotions let fans get close to sports legends from the past -- and the future. MasterCard has taken a cue from daily deal websites with a series of Priceless Experiences. Cardholders can enjoy "pop up" shops, tours, and mini-events after responding to email or text alerts. Luxury credit cards' concierge desks often hang on to secret seats at the world's hottest games and shows.

Replacement cell phones

According to the NPD Group, more than half of new American cell phones qualify as "smartphones," miniature computers that happen to also make phone calls. Unfortunately, these somewhat fragile devices end up shattered or spilled upon so often that repair services have sprouted across the country to meet owner demand.
The right credit card can qualify the owner of a squashed iPhone or Android device for a full repair, at no charge. Visa Signature, World Elite MasterCard, American Express, and Discover all offer versions of extended warranty and replacement protection, usually with benefits of up to $1,000 per incident. Because many electronics manufacturers replace broken devices instead of repairing them, a covered repair fee can results in a new unit.

5 Things You Should Know About Credit Card Fees

Federal Reserve rules limit the penalty fees that credit cards charge. The rules, which stem from the Credit CARD Act signed into law in May 2009, were effective August 22, 2010, and are in addition to other rules, such as restrictions on interest rate hikes, that went into effect earlier. Here are five things you should know about credit card penalty fees:

1. Credit Card Late Fee Cap

Late fees are capped at $25, except in a couple of instances. The fee can go as high as $35 if you were late with another payment in the previous six months or your credit card company can prove it incurred costs that justify charging a higher fee.
In addition, credit card companies can't charge late fees that exceed minimum payments. So if your minimum payment for the month is only $15, your credit card company can't charge you any more than $15 for paying late.

2. Credit Card Over-Limit Fee Cap

Your credit card issuer can't charge a fee for exceeding your credit limit unless you opt into a program that allows for such credit limit flexibility. If you do opt in, the fee can't exceed the amount you charge over your limit. So if you go over your credit limit by $5, the over-limit fee can't be any more than 5 bucks.

3. No More Credit Card Inactivity Fees

Credit card companies can't charge fees for not using your credit card, a practice many companies adopted in the last couple of years.

4. One Fee At A Time

A single mistake, such as a late payment, can trigger only one fee. Your credit card company can't charge multiple fees for a single event or transaction.

5. Credit Card Rates: Issuers Must Explain Increases

Before it can raise your rate, your credit card company must explain why it's proposing a rate hike. And it must re-evaluate the rate every six months and decrease it within 45 days of the evaluation when appropriate.
In addition to the new limitations on fees, the Federal Reserve ordered credit card companies to evaluate any rate increases they made since January 1, 2009, when many issuers jacked up rates in anticipation of new federal rules -- and to lower rates if the reasons for the increases no longer exist. Regulators plan to enforce rate cuts when necessary.

6 Of The Best Credit Cards For Travel

Due to costs related to fuel, hotel stays, plane tickets, restaurants and various other items, traveling can be an expensive prospect. For this reason, savvy travelers know to take advantage of whatever opportunities are available for saving money. Savings can come in many ways, but one way in which you can save on a full collection of items is by using your credit card when you make travel purchases. In fact, some financial advisers actually suggest that travelers should keep their debit cards at home as debit cards do not always provide the same protections as credit cards when it comes to things like theft or double charges. Also, it’s important to note that even if you don’t use your credit card while traveling, it can still deliver certain travel-related bonuses. However, some credit cards are clearly better for travelers than others. Here are some of the best credit cards for travel.

Marriott Rewards Visa Card

Marriott is one of the world’s most expansive and renowned hotel and hospitality chains. With locations in places ranging from Singapore and Bangkok to London and Mexico City, Marriott hotels are the favorite stops for many travelers, whether for business or for pleasure. To cater to such frequent travelers, the company has its own credit card rewards program offered through Chase Bank and Visa. This rewards program offers 1 percent cash back on most purchases and 3 percent cash back on payments made to stay at Marriott hotels throughout the world. Credit card holders can even earn free stays at Marriott hotels depending on how often they use their cards.

American Express Blue Sky Card

Like the Marriott Rewards Visa Card, the American Express Blue Sky Card is particularly beneficial for frequent travelers. Unlike the Marriott card, though, this card is not brand-specific. It accumulates cash rewards at a rate of 1 percent on all normal purchases and it allows card holders to put those points toward travel-related expenses like plane tickets, hotel stays etc. These rewards are not limited to a specific brand or provider. For an additional annual fee of $75, card holders can increase rewards to 2 percent.

American Express Blue Cash Preferred Card

Like the Blue Sky Card, the Cash Preferred Card does not have brand constraints when it comes to earning or using its rewards. On top of the 1 percent cash back that accumulates on most purchases, it also offers 3 percent cash back at gas stations and department stores and 6 percent cash back at supermarkets. The preferred version of this card comes with an annual fee of $75. The everyday version has no annual fee, but the cash back bonuses are lower – 1, 2, and 3 percent, respectively.

Chase British Airways Visa Signature Card

British Airways is the largest airline in the UK and one of the largest airlines in the world. By teaming up with Chase Bank and Visa, British Airways is helping to offer frequent international travelers several ways of saving through credit card transactions. First, there is no transaction fee for foreign purchases on this card. On other cards, this fee usually comes to about 3 percent. Second, if you use the card to spend at least $2,500 within the first 90 days, you earn 50,000 miles of service on British Airways flights. Third, you earn 2.5 miles per dollar spent on British Airways tickets and 1.25 miles per dollar spent on other purchases.

Capital One Venture Rewards Card

This card is another traveler-friendly card without brand loyalty. Like the British Airways card, it has no foreign transaction fees. It also gives bonuses to card holders in two basic ways. First, if you make $1,000 in purchases within the first three months, you receive 25,000 bonus miles – which you can redeem through the airline of your choice. Second, it offers 2 percent cash back bonuses. The Venture card comes with a $59 annual fee. The alternative VentureOne version has no annual fee, but the other aspects of the card are not as attractive.

Chase Sapphire Preferred Card

In addition to the cards that it offers in conjunction with other companies, Chase Bank offers travelers its Sapphire Preferred Card on its own. Like other travel-oriented cards, it has no foreign exchange fees. Also, in addition to a basic point accrual system similar to other cards, it offers double points on travel and dining. If you make your bookings through the Ultimate Rewards portal, you accrue triple points. This comes on top of whatever savings you can claim by using the portal which often amount to as much as 20 percent. On top of this, the card gives 40,000 bonus points to those who spend at least $3,000 within the first three months as well as a yearly bonus equaling 7 percent of the total points accrued during the previous year.
If you are in the market for a travel credit card, give these credit cards a good look before making a final decision.

7 Best Credit Cards For College Students

There was a time -- not too long ago -- when college students could get a credit card almost as easily as they could get a draft beer. All they needed was a savings or a checking account and Sears or some other retailer gladly issued them their first credit card. Many of them would make a small purchase, pay it off when the first bill came and, boom, just like that, credit card applications from all the major banks would come rushing in. Flattered students filled them out, mailed them in and soon had a bunch of credit cards.

For a lot of young people, that wasn’t such a good thing. Many college students got into serious credit card debt.
Some of those young people may have been the children of congressmen and congresswomen because Congress stepped in and passed the Credit Card ACT of 2009 which has made it a bit more difficult for students to get credit cards. The law instituted an age limit of 21 and students who are younger must have a parent co-sign for them or they must show that they have considerably more income than the vast majority of college students to get a card.
Students also need at least decent credit scores to get a card or face sky-high interest payments.
Here are seven of the best college student credit cards, culled from experts who rate and examine credit cards.

Citi Dividend Platinum Select Card For College Students

Features: This card carries no annual fee and requires no co-signer. The best part about it is the cash back it offers. Card holders earn 5-percent cash back at supermarkets, drugstores, gas stations and utilities and 1 percent on all other purchases during the first six months. One percent cash back can be earned on all other purchases.
APR: It’s 0 percent for the first seven months, then 13.99 percent to 21.99 percent after that.
Bottom Line: This card gets a lot of votes for the best overall college student credit card.

Discover it for Students

Features: This card has no annual fee, foreign transaction fee, pay-by-phone fee and overlimit fee. There is also no late fee on your first late payment. This card also features 5 percent cash back in various categories (up to a quarterly maximum) that change throughout the year. These categories include restaurants, department stores and gas stations. You will also receive a 1 percent cash back bonus on any other purchases, with no limit on how much you can earn.
APR: 0 percent for the first six months.
Bottom Line: With no annual fee and no foreign transaction fee, this is a great card for students who like to travel.

Citi Forward Card For College Students

Features: This card charges no annual fee and gives 100 “thank-you” points a month for card holders who pay on time and stay under their credit limit. Students can earn five points per $1 spent on dining out, music, movies and books. The same goes for anything bought on Amazon and in college bookstores. All other purchases at other stores are eligible for one point per dollar. It is easy to redeem “thank-you” points.
APR: It offers a 0 percent APR for the first seven months. Students who keep their balance under the credit limit and pay on time for three months in a row can have their APR reduced by as much as 2 percent.
Bottom Line: This card stands out because it is believed to be the only one that rewards responsible spending habits.

Capital One Journey Student Rewards

Features: This card charges no annual fee and allows students with only average credit to have a card. There are no introductory offers, but you can get 1 percent cash back on all purchases and a 25-percent bonus on the cash back they earn each month when they pay their bill on time.
APR: 19.8 percent on purchases and balance transfers.
Bottom Line: A good option, though not as good as the Citi cards.

Orchard Bank Classic MasterCard

Features: This card is designed for students with no or a poor credit history. The downside is there is an annual fee of as much as $59 a year and the interest rates are high.
APR: 14.99 percent to 24.99 percent.
Bottom Line: A good option for students who don’t have a lot of options.

Citi Platinum Select Card For College Students

Features: Not to be confused with the Citi Dividend Platinum Select Card, this card also charges no annual fee and does not require a co-signer. This card offers no rewards or cash back, but card holders receive access to online discounts.
APR: 0 percent for the first seven months and11.99 percent to 19.99 percent after that.
Bottom Line: This is considered one of the best low-interest cards for college students. Those who qualify for the lowest interest rates will save more on interest than they would receive from other cards’ rewards.
The overall bottom line is that college students should look for three things when they apply for a credit card: about 1 percent cash back on all purchases, a 0-percent introductory APR and an ongoing APR that doesn’t exceed 15 percent. Use these cards wisely and you’ll save many thousands of dollars in interest during your lifetime.

Charge Card Vs. Credit Card: Which Should You Choose?

Aren’t charge cards and credit cards one in the same? Nope. Many people use the terms interchangeably, but they are very different despite the fact that they look exactly the same and they both allow you to buy things without cash.

Perhaps the biggest difference between the two is that charge cards don’t have credit limits, but credit cards do.

Other Differences

Credit cards allow you to spread your payments out over months -- or even years -- as long as you make the minimum payment. The balance on a charge card must be paid in full every month.
Charge credits come with an annual fee, while most credit cards don’t.
One company, American Express, dominates the charge card market, while many, many different companies issue credit cards.

There are plenty of advantages and disadvantages to both types of cards. We’ll highlight the pros and cons, starting with charge cards.

Charge Cards

Pros

Charge cards have no limits. Technically, they come with something called a “shadow limit” – the upper boundary of what the issuer thinks you can afford. Some might see this as a bad thing, but it is good to know that someone has got your back when it comes to spending.
Charge card users who follow the rules won’t pay interest on their purchases and won’t accumulate debt. They will pay as they go.
Charge card users might be able to qualify for a charge card with a slightly lower credit score since the card issuers consider them slightly less risky than credit cards, which can put users in long-term debt and even lead to default.
Charge card reward programs tend to be very generous.
Charge cards are more likely than credit cards to offer free insurance on purchases and travel expenses, and are more likely to provide detailed expense records as well as records that show spending by category – a feature business owners like.
Some people consider charge cards prestigious and like that the cards cause others to think they are wealthy and financially responsible.

Cons

There is no grace period with a charge card. If the balance is not paid in full each month, you can’t use your card until you do. For those who don’t pay in full, most charge cards charge a penalty as high as 3 percent of your balance which may be several hundred dollars.
Charge cards come with annual fees of $95 to $450, though some charge no fees for the first year.
Users can't stretch out payments, which some may consider a good thing.

Credit Cards

Pros

There is a great selection of credit cards, some of which offer users cash back and discounts on gas, travel and other purchases.
Lots of credit cards charge no annual fee. (They make plenty of money on interest.) But some credit card issuers do charge a fee to those who rarely use their cards.
With credit cards you can pay off your balances each month in full or you can make payments over a longer period of time. This gives business owners and other users the flexibility to float purchases.
The formula used to determine credit scores depends more on credit card usage than on charge card usage. So those who use their credit cards responsibly have a greater opportunity to boost their credit scores.

Cons

Credit card users must pay interest charges if they don’t pay their balance in full each month.
Credit cards have spending limits that prohibit users from spending over a certain amount, which can be good or bad, depending on how you look at it. Those limits can be as low as a few hundred dollars for “low-end” cards and $30,000 or more for “high-end” cards.
Interest rates for credit cards also have limits, but they are high compared with interest rates for car loans and home mortgages. Credit card interest rates range from 10 percent to 15 percent for most people and as high as 24.96 percent for those with bad credit.
Undisciplined spenders who consider credit cards part of their income can go into serious debt in a relatively short period of time, damaging their credit scores and costing them a lot of money to borrow money. These people may have to resort payday and title loans and other “predatory” lenders that charge very high interest rates.

The bottom line is that credit cards and charge cards have a lot going for them, but there are financial risks associated with both of them. Understand the benefits and the risks before you decide which one is right for you.

How To Get A Credit Card With Bad Credit

Your FICO credit score determines your eligibility to borrow money through loans, credit lines and credit cards. If you have a credit score below 600, your credit is considered to be poor. With a poor credit score, you may find it difficult to qualify for loans and credit cards. However, companies realize that it is difficult for you to rebuild your credit score without having access to loans and credit cards and making timely payments on them. For this reason, a number of options are still available for people with bad credit who would like to get credit cards.

If You Want To Boost Your Credit, Look Into Secured Credit Cards

Two basic types of credit exist: secured and unsecured. When you get a loan from a bank, that loan is often secured against something. For example, people often get business loans that they secure against the value of their home. If they default on the loan, the lender can take the house. Securing credit in this way makes lenders more willing to extend credit because it alleviates much of the financial risk that they take on by lending money. Whatever a borrower uses to secure a debt or line of credit is called collateral.
In contrast to most bank loans, most credit cards are unsecured: they constitute a lending of money without any kind of collateral that the lender can take if the borrower defaults on the debt. However, some companies do offer secured credit cards. These cards are specifically tailored to helping people recover from bad credit. To get a secured credit card, you must pay a fee to secure the line of credit – often between $300 and $500. Once you have done this, the company will issue a credit card with a limit of 100-200 percent of that amount.
A common concern is that using a secured credit card is not worthwhile because you must pay such a large portion of the money you borrow up-front anyway. However, using a secured card is advantageous in three ways. First, it allows you to make purchases that only accept cards. This is particularly useful if you do not have a debit card. Second, it helps you to rebuild your credit which paying by cash does not. Third, it allows you to establish a relationship with the credit card provider. When you make timely payments on your secured card, your provider may decide to trust you more and raise your line of credit beyond the secured amount.

If You Just Need A Card To Make Payments With, Check Out Prepaid Credit Cards

People often confuse secured credit cards with prepaid credit cards. This is understandable because the two types of cards are similar in three basic ways. First, both operate through major credit card companies such as Visa, MasterCard, Discover and American Express. Second, both are used as credit cards when you make purchases. Third, they both require an up-front payment that determines the balance amount.
However, they are different in several important ways. First, while the credit limit for a secured card may or may not exceed the initial payment, a prepaid card’s limit never exceeds what you have already paid. You can use whatever money you have put onto the card and nothing more. Second, the limit on your prepaid card only increases when you put more cash into it. Third, prepaid cards do not require monthly payments like credit cards. Fourth, while using a prepaid card can help you build rapport with the PRBC – a consumer credit reporting agency – it does not improve your FICO score. This is because the three main credit bureaus do not view prepaid cards as credit cards at all. For these reasons, if you are just looking for a card you can use to make online purchases and other purchases that require cards, a prepaid card may work just fine. However, if you intend to rebuild your credit score, a prepaid card will not help you much.

Be Prepared For Cards With High Fees And High Interest

When lenders give money to borrowers, the interest they charge is directly related to the risk they perceive. For this reason, borrowers with sterling credit scores usually enjoy rock-bottom interest rates. If you have a poor credit score, this does not necessarily mean that you cannot get a credit card. However, any credit card that you can get will probably come with high fees and high interest rates. These cards are designed specifically for people with poor credit or no credit. Annual fees for such cards are often as high as $60 and the APR can go as high as 25 percent – or even higher. While you may feel that such fees and rates are predatory, remember that your credit history makes you a high risk for credit card providers. If your primary purpose for getting the card is to rebuild your FICO score, such a card can be a very helpful tool in doing so. The annual fee is less than what you would have to pay up-front for a secured credit card, and you can usually forego paying interest by paying off the balance in full every month.

Improve Your Debt-To-Income Ratio

Credit card providers look at more than just your FICO score when considering extending a line of credit to you. One thing they pay very close attention to is your debt-to-income ratio. This is the percentage of your gross income that you cannot keep because you are paying it right back out to service your debts. If this ratio is too high, it does not leave you with any money to live. For this reason, credit card providers will assume that you are incapable of taking on more debt. To qualify for a credit card, first focus on bringing down your debt-to-income ratio by paying off existing debts. This in turn will also help to improve your personal credit, as your total amount of debt is one aspect of your FICO score.

Take Advantage Of Existing Relationships

Financial institutions like banks and credit unions often give preference to people who have a solid history with them. If you have been making timely payments on your home and auto loans for some time, your lender may be more willing to give you an unsecured credit card than others would be. Make full use of any positive financial relationships you have to find the best credit card options available.
If you have a poor credit score, this is probably because you have made financial mistakes in the past. Getting a new credit card can be part of starting over as it can help you to improve your credit score. However, if you repeat past mistakes, it can very easily make things worse by increasing your debts to unsustainable levels. To protect your financial future, only take on as much credit card debt as you can handle.

6 Worst Credit Cards For People With Bad Credit

If you have a FICO score of lower than 600, you are considered to be someone with bad credit. One way to rebuild your credit is by getting a credit card and using it wisely. Knowing this, various credit card providers offer cards designed specifically for people with bad credit. While most of these cards come with high fees, interest rates, or restrictions, some are still recognizably better than others. Instead of helping people to rebuild their financial lives, some cards do more harm than good by charging exorbitant interest rates and hidden fees. See the following list of the worst offenders.

First Premier Bank MasterCard

On its website, First Premier Bank clearly shows who it is marketing its credit cards to with this line over its link to credit card offers: “Less than perfect credit?” Upon examining the “Fees, Rates, Costs, and Limitations” page for the basic unsecured Premier Bank MasterCard, the first thing that stands out is the APR: 36 percent! On top of that, it comes with a one-time $95 processing fee and a $75 annual fee that is immediately assessed against the card’s credit limit – taking the meager $300 limit down to $225 before you have even bought anything. After the first year, the annual fee drops down to $45. On top of these fees, there is a monthly “servicing fee” of $6.25. (Thankfully, this does not apply for the first year.) Cash advances each cost $6 or 5 percent - whichever is the greater of the two. The card also charges a $35 penalty for every late payment and $35 for returning items you have purchased with the card.

Centennial Secured MasterCard

The Centennial Secured MasterCard is also provided by First Premier Bank. As the name implies, it is a secured card – meaning that applicants must initially submit a security deposit. If the card holder later fails to make payments on the card, the provider may keep the security deposit. This card comes with an APR of 19.9 percent and an annual fee of $50. This annual fee is taken out of the initial credit limit, which is based on the security deposit. Therefore, by paying the minimum security deposit of $200, after the $50 annual fee has been taken out, you get an initial credit limit of $150. Like the unsecured First Premier Bank MasterCard, this card charges the greater of $6 or 5 percent for cash advances and levies $35 penalties for late payments and returned items.

Net First Platinum Merchandise Card

The Net First Platinum Merchandise Card purports to be a credit card with no credit check and guaranteed approval. It offers a $500 line of credit. However, it cannot be compared to other credit cards for two reasons. First, it can only be used to make online purchases at thehorizonoutlet.com, making it useless for those who want a credit card they can use at most stores. Second, while it does extend a line of unsecured credit, it does not report to the major credit bureaus. The Net First site explicitly says that Horizon Card Services – the provider of the card – is not a credit services or banking organization and that the card does not work through a major credit card company. Those who use it often complain of hidden fees and say that it is difficult to get rid of.

The Shack Card

Many retailers offer credit cards specifically for use at their stores. They may offer special perks such as discounts on specific products, but in general, such cards are some of the worst in the industry. The Shack Card from Radio Shack has notoriously high interest rates – varying 26.99 to 28.99 percent in normal situations and going up to 29.99 percent as a penalty rate. To be fair, Radio Shack does offer zero interest for the first six months if you make a minimum purchase of $150. The card also gives you a 15 percent discount on in-store battery purchases.

The Staples Card

Office supply store Staples also offers an in-store credit card. The interest rate for this card is about the same as that of the Shack Card at a variable 27.99 percent. Like the Shack Card, this card does come with a number of benefits for the frequent Staples shopper, such as free delivery on all orders and automatic enrollment in the Staples Rewards program. This program allows you to receive a number of discounts – such as a 10 percent discount on toner and printer/copier-related purchases. However, it is difficult to pay attention to these benefits with that interest rate hanging over them. Unlike the Shack Card, the Staples Card does not offer an introductory zero-interest period.

Black Card

The Black Card is a Visa card marketed as an exclusive credit tool for those who spend a lot on luxury items. One way by which the Black Card maintains its supposed exclusivity is with its annual fee of $495. No, that is not the line of credit. That is the annual fee. To this, add an annual fee of $195 for each additional authorized user added to the account. However, despite the card’s claims of exclusivity, consumer reports have found that it is not all that exclusive. It is marketed to the general public, and people with poor credit and even low income sometimes get the card because they see it as a status symbol. It does come with a 0 percent introductory APR which is attractive. However, after the introductory term ends, the APR shoots up to 14.99 percent. If you miss a payment, the penalty APR is 30.24 percent.
If you are trying to rebuild your credit score, stay away from these credit cards. They could end up doing more harm than good to your credit profile.

How To Successfully Dispute A Fraudulent Credit Card Charge

Identity theft is a serious problem all across the nation. According to the Bureau of Justice, about 8.6 million households had at least one person over the age of 12 who was a victim of identity theft. That’s 7 percent of all U.S. households being affected by this crime. One of the most common ways that identity theft occurs is when a criminal obtains a person’s credit card and makes fraudulent charges on that account. However, you can make the aftermath of identity theft go a little more smoothly by following these steps to successfully dispute a fraudulent credit card charge.

Alert Your Credit Card Company

If you want to get back the money that a criminal has spent using your credit card, you need to alert your credit card company as soon as possible after learning of the fraudulent charge. When you call the credit card company, make it clear to them that you want to file a claim regarding an “unauthorized transaction” on your card. According to USA Today, making sure your dispute gets this classification is the best way to protect yourself and your credit. In addition, you’re more likely to get your money back. Once you’ve made the call and filed a claim, send them a letter to make sure your dispute is also received in writing. It’s not a required step for most credit card companies, but it may help solidify your claim. Include your name and account number in the letter in addition to the details of your claim and how much was fraudulently charged to your account. Don’t send this letter in with your bill or your letter will end up in the wrong department.
The sooner you notify the credit card company, the better. That’s because it gives the company the opportunity to block your credit card and prevent future purchases so the criminal can’t put you even further into debt. In addition, failing to notify the credit card company in a timely manner if your card was stolen or unauthorized charges appeared on your bill could make it more difficult to resolve your case.

Keep Paying Your Bill

Even when you are in the midst of filing a dispute about a fraudulent credit card charge, you should continue paying the minimum balance on your card each month. This will minimize your issues with the credit card company and keep your case from being held up. If the amount that was fraudulently charged to your account was so large that it cost you penalties or made your minimum balance unmanageable, call your credit card company to discuss other options.

Fill Out A Fraud Affidavit

Many credit card companies have their customers fill out a fraud affidavit if their credit card (or card numbers) has been stolen and fraudulent charges have been made. This is a very important document that needs to be filled out carefully then sent back to the credit card promptly. The affidavit will ask for your name, your account number and the details of your credit card fraud. Make sure to include details on each of the fraudulent charges, including on which dates the charges occurred, how much the charge was for and who the merchant or payee was for each charge. Make sure to sign the form properly and get it back to the credit card company as soon as possible – many companies will hold off on filing and processing your claim until the affidavit is received.

Be Prepared to Follow Up

If your dispute is not resolved in 30 days, make sure you follow up with the credit card company to ensure that they are working on your case. Even if you didn’t find out about a fraudulent charge until your bill arrived, your liability is still limited to $50 according to federal law. Keep in contact with the credit card company regularly until your dispute is resolved and the debt from the fraudulent account is removed from your account.

Track Your Credit Report

If your account is fraudulently charged, you’ll want to make sure it doesn’t affect your credit report. According to The Fair and Accurate Credit Transaction Act of 2003, consumers who are victims of identity theft have a right to a free credit report. In addition, this law gives consumers the right to place a fraud alert on their credit report if they’ve been a victim of identity theft. Protecting your credit is important to your financial future – you won’t want those fraudulent charges to keep you from buying a home, obtaining a loan or even getting a job somewhere down the line.
Remember that the best way to prevent identity theft is to protect your credit card information carefully. Only use your card with reputable vendors and never give your credit card information to an unfamiliar person. Furthermore, keep in mind that many identity thieves can use your credit card account without even having the card itself – just the card number can be enough for them to make purchases with your credit. If possible, monitor your credit card account regularly by calling the credit card company or checking your account online. If you wait for a monthly bill, it gives a criminal plenty of time to rack up thousands of dollars in debt.

11 Types Of Credit Cards To Avoid

We love credit cards because they allow us to buy things when we don’t have the money. In fact, nearly seven out of ten adult Americans use a credit card for most of their purchases, according to the National Foundation for Credit Counseling’s 2011 Financial Literacy Survey.

We hate credit cards because the banks that issue them usually charge a lot of interest to use them, and some say these companies take advantage of people who can’t control their spending. That’s a debate for another day.
The fact is that not all credit cards are the same, and some are worse than others. This list of 10 credit cards to avoid comes from the experts at CreditCardForum, cardratings.com, indexcreditcards.com and cardhub.com.

Aventium Classic Credit Card

This card is issued by First Premier, a bank that issues cards that target consumers who have below-average credit, tops most lists because it charges a first-year annual fee of $75, and the second-year annual fee and monthly servicing fee totals $123. The card’s annual percentage rate is 49.9 percent. In case you’re wondering, that was not a misprint. 49.9 percent is 35 percent above the national average and 26.5 percent above the average for people with bad credit, but it is 30 percent less than a card First Premier issued in 2009.

First Premier Bank Platinum MasterCard

First Premier charges a first-year annual fee of $175 and a second-year annual fee and monthly servicing fee of $223. But First Premier is being kind to the users of this card: They’re charged an APR of only 36 percent. What a gift!

Centennial Classic Credit Card

This card – also issued by First Premier -- charges a one-time processing fee of $95 to open a credit card account, a first-year annual fee of $75 and a second-year annual fee and monthly service fee that totals $120. Like the First Premier Bank Platinum MasterCard, the APR is only 36 percent.

Office Depot Personal Credit Card

This is the worst of the three cards offered by Office Depot because of the APR of 27.99 percent – 4 percent higher than the two other cards. The personal card offers no rewards, including for Office Depot products. It offers no interest for 180 days on purchases of $299 or more, but it is deferred interest, so if you don’t repay the balance within 180 days, you’ll have to pay interest that goes back to day one.

Radio Shack Credit Card

The APR is 29.99 percent, and it has the same conditional deferred interest deal as Office Depot. The card offers no rewards program, except for a 15 percent discount on batteries, which tend to cost more at Radio Shack than at most other stores.

Wal-Mart Credit Card

The store-only version of this card offers no cash back, and the Discover version offers a dismal 0.25 percent cash back on purchases of as much as $1,500, so if you use the card to buy $1,500 worth of items, you get back $3.75. The gas rebate is not much better; at 5 cents per gallon, you get $1 if you pump 20 gallons of gas. At $4 per gallon, that comes to a $1 discount on an $80 purchase.

Valero Gas Card

The basic version of the card offers no rewards; the “Preferred Gold Card” costs $10 a year and offers a measly discount of only one penny a gallon for diesel and regular unleaded gasoline.

Applied Bank Platinum Zero

This card gets the award for most deceptive marketing. It promises no interest on purchases -- for life. The truth is service charges on this account can cost nearly $120 per year. If you have a balance of $500, that's just like paying an annual percentage rate of 24 percent.

Visa Black Card

This card charges a $495 annual fee and 14.99 percent APR. Unlike other expensive cards, users don’t get exceptional benefits or offers for having it in their wallets. It offers only 1 percent cash back on all purchases and airport lounge access.

Wells Fargo Business Platinum Credit Card

This card fails to offer CARD Act protections against arbitrary interest rate increases. It also offers no rewards unless you pay a $50 annual fee, which is waived for the first year.

Midas Credit Card

Issued by GE Money Bank, charges an annual percentage rate of 29.99 percent.
Credit card offers change all the time, so the cards listed above may or may not be offered today or may have improved their offerings. If you apply for a credit card, do your homework and find out about its terms and conditions. If the fine print is too fine and you are ever stuck with a card like one on this list, pay off your balance as soon as you’re able and consider cancelling the card.

How To Get The Best Deal On A Credit Card Balance Transfer

If you have a significant amount of credit card debt, you might want to consider doing a balance transfer to a new credit card. Transferring a credit card balance from a high interest rate card to a low interest rate card is a great way to reduce your overall credit card debt. However, there are some important things you need to know in order to get the best deal on a balance transfer.

What Is A Credit Card Balance Transfer?

Before examining how to get the best deal on a balance transfer, you need to understand what a credit card balance transfer is and why it might be a good idea to get one.
In the simplest terms, a credit card balance transfer is using one credit card to pay off a portion or all of the balance of another credit card. For example, you might use a new credit card to pay off $5,000 of debt that you have on another credit card. After the transfer, the new credit card would now have a balance of $5,000 and the old credit card would reduce its balance by $5,000. Typically, balance transfers are only done when the debt is transferred to a credit card (or cards) with a lower interest rate than the original card.

Why Would Anyone Want To Do A Balance Transfer?

In general, you should only do a credit card balance transfer if it results in you paying a lower interest rate on the transferred debt. For example, in the example above, it would only make sense to do the $5,000 transfer if the interest rate on the new card is lower than the interest rate on the original card. Having a lower interest rate will allow you to pay back the debt balance faster because more of your monthly payments will go to repayment of the principal balance.
Many credit card companies will give you a promotional period when you do a balance transfer with them. During the promotional period, you might pay no or little interest on your debt balance. However, once the promotional period expires, the credit card company will typically raise the interest rate significantly (possibly to a level higher than your previous credit card). Therefore, you might want to reconsider doing a balance transfer if you do not think you will be able to pay off the credit card debt before the promotional period ends.

Why Would A Credit Card Company Offer A Balance Transfer To Its Customers?

You might be wondering why credit card companies would offer balance transfers to its customers. Here are three reasons:

Transfer Fees: Many credit card companies charge a transfer fee for balance transfers. The fee is usually a percentage of the total amount transferred. For example, a credit card company can rake in $100 by charging a two percent transfer fee on a balance transfer of $5,000.
New Business: Many credit card companies offer balance transfers as a way to attract new business.
High Interest Rates After Promotional Period: Credit card companies generally offer no or very low interest rates for balance transfers during the promotional period. However, once the promotional period is over, the company can increase the interest rate significantly.

How To Get The Best Balance Transfer Deal

In order to get the best deal on a balance transfer, you need to take these considerations into consideration:

Know How Long The Promotional Period Is

The length of the promotional period will vary depending on the company. It can range from a few months to over one year. However, once the promotional period is over, the credit card company can jack up the interest rate on your transferred debt. Therefore, you need to find out how long you have before the introductory interest rate goes away.
Keep in mind that you will save the most money by paying off the transferred debt before the promotional period ends. If you don’t think you will be able to do this, try to find a longer promotional period with a similarly low rate.

Know What The Interest Rate Is

Remember that you should only do a balance transfer if you get a lower interest rate on the transferred debt.

Know What The Transfer Fee Is

Many credit card companies charge a transfer fee for balance transfers. If the card company you are planning on doing a transfer with charges a fee, make sure you know what that fee will be. In some cases, the size of the transfer fee might outweigh any savings benefit that you would get from the lower interest rate. In this case, you should not do the balance transfer. Note that balance transfer offers with no transfer fee tend to have shorter promotional periods.

Don’t Miss A Payment

Some credit card companies have stipulations that if you miss a payment during the promotional period, the interest rate will automatically increase. If your company has that stipulation, make sure that you do not miss a monthly payment.

Have Good Credit

The better your credit score is, the better offers you will get from the credit card companies. Be aware that the promotional percentage rates that you see in advertisements are generally for people with the best credit profiles. Expect to be charged more if you have less than stellar credit.

Shop Around

It’s always wise to shop around in order to get the best deal on your balance transfer. Look for long promotional periods, low interest rates and low or no transfer fees. Keep in mind that you should only do business with reputable credit card companies. Remember that if it seems too good to be true, it probably is.
If you have a boatload of credit card debt that you are paying a high interest rate on, you might want to consider a balance transfer. However, you need to make sure that you get the best possible terms on the transfer in order to make the transaction worth your while. Do your homework ahead of time and you can end up saving money and paying down your credit card debt.

7 Important Benefits Of Using A Credit Card

While many are familiar with the risks, few people are aware of the many benefits of using a credit card instead of cash or debit. Here are seven reasons why you might want to reevaluate how you pay for your everyday purchases.

It’s Convenient

Paying with a credit card is easy and it often saves you time. You don’t have to go to the bank or find a nearby ATM to get cash. You also no longer need to fret about overdrawing your bank account and incurring insufficient funds fees.

You Can Get Rewarded To Use Them

Credit card companies will actually pay you to build up your credit. Airline miles, cash, hotel room discounts and store credit are just a few of the many rewards that credit card companies offer their card users as an incentive to use their particular credit card. Why use cash or debit when you can get rewarded for using your credit card?
Remember that you should not necessarily increase your credit card use simply because you are getting rewards for using it. It is very tempting to increase credit card use to get more rewards. However, this can lead to an increase in credit card debt which is not advisable unless there is a corresponding increase in your income to offset the increase in debt. A handy rule of thumb to remember is “do substitute, don’t complement”. This means that you should substitute your rewards credit card for payments that you currently make using a non-rewards card, debit card or cash. You should not increase your overall spending simply to get more rewards.

You Build Up Your Credit

Obtaining and using a credit card for everyday purchases can be an easy and efficient way to build and maintain good credit. Since building and maintaining a strong credit score is essential for home ownership, receiving an auto loan, and getting approved for other types of financial transactions and product purchases, the prudent use of a credit card can help you to create a strong credit profile.

Avoid Losing Money Due To Fraud

As opposed to cash and debit card transactions, credit card purchases are paid by the company that issued you the card. At the end of each month, the credit card company charges you for all of the purchases made within the current billing cycle. This is an important feature that can help you avoid losing money due to fraud. For example, imagine that you order a product online. If you pay for the product with cash or a debit card, the money will automatically be transferred to the seller of the product. In the event that you never receive your product because of seller fraud, it will be very difficult to get your money back. However, if you pay for the product using a credit card, you can simply refuse to pay the credit card company for the product when you receive your monthly statement. The credit card company will then go after the individual or company that committed the fraud and you will avoid losing your money.
On a related point, if your purse or wallet is stolen, you will likely lose all of the cash in it. However, if you use your credit card instead of cash when making purchases, you can cut back on the amount of cash you carry around. If your wallet or purse is stolen, you will lose less cash and you can report your credit card as stolen to your credit card company. Your credit card company will not make you pay for any fraudulent changes as long as you report the card as stolen.

Set Up Automatic Bill Payments

Many people take advantage of their credit cards by using them to set up automatic bill payments. For example, most cell phone carriers will allow you to enroll in automated billing which automatically bills your credit card each month. This is convenient because you no longer have to remember to pay your bill every month. It also eliminates the possibility that you forget to pay your bill. You can also enroll in automatic billing to pay for utilities, cable, internet, and rent. Some service companies even offer discounts to customers who enroll in automatic billing.
If you decide to set up automatic billing, you should make sure that you still review your statements each month to check for errors and fraudulent charges.

Avoid Debit Card Fees

Many retailers have begun the practice of charging customers fees for using their debit cards to make purchases. However, most of these retailers do not charge you for using a credit card. Therefore, you can save money on purchases by using your credit card instead.

It Can Help You Create A Personal Budget

Many credit card companies offer spending reports to their customers. These reports are helpful when trying to assess your spending patterns because they categorize your spending into buckets such as groceries, gas, bills and entertainment. The reports also allow you to make month over month comparisons of your spending habits. This is helpful when trying to create a personal budget because the reports give you a clear picture of where you have been spending your income.
We have now seen the benefits of using your credit card for everyday purchases. Remember these advantages the next time you are about to use cash or your debit card to make a purchase.

Tips For Choosing The Best Credit Card Rewards Program

The terms "mileage" and "cash-back" are often bounced around when talking about credit card rewards programs, but not many people understand their full meaning. The fact is, many people are enticed by the rewards program a credit card has to offer

Determine What Perks Work Best for You

The type of perks offered by a credit card's rewards program can help you determine what credit card is right for you. The most popular rewards being offered are:

Airline miles: Rewards programs that offer airline miles are better suited towards those who frequently travel. Airline miles can be looked at as a sort of points system, where the miles can be redeemed for airline tickets, hotel accommodations and other expenditures related to travel. While miles can be earned through regular use of your credit card, certain purchases, like buying tickets through the airline that offers the card, offer added bonus miles.
Cash-back: If you aren't a frequent traveler, you may want to look into a credit card that offers a cash-back rewards program. These rewards programs are one of the most appealing because the rewards are flexible and can be used for almost anything, not just travel. Companies that offer cash-back rewards typically send the rewards in the form of gift certificates, account credit and even checks that can be redeemed for cash.
Reward points: Credit cards that offer rewards in the form of points are typically marketed towards loyal patrons of a certain business. For example, Amazon.com offers an Amazon Visa credit card that earns points that can be redeemed for purchases through Amazon.com. While this might not sound appealing to those who never shop at Amazon.com, those who frequently use the website would strongly consider signing up for this rewards cards for the special Amazon.com perks.

Once you've made a list of potential credit cards you'd like to sign up for, review the perks being offered to see which rewards program would benefit you the most.

Calculate How Rewards Are Earned

So you've decided that a cash-back rewards credit card sounds the most appealing, but now you have to calculate how your rewards are earned:

Airline miles: For most airline rewards credit cards, the most mileage can be earned when your credit card is used to purchase tickets from the airline sponsoring the card, and any hotels or car rental agencies that are partnered with it. Any other use of the card will typically earn you the minimum amount of miles being offered.
Cash-back: The way cash-back is earned varies depending upon the company offering the card. Some companies offer the most cash-back on certain purchases like gas or travel, while others have a rotating list of categories that can change on a monthly basis.
Reward points: Merchant offered credit cards will almost always offer the most reward points for purchases made through their business.

Remember to always get as much information about how rewards are earned for a specific rewards credit card. While most offer reward points, cash-back or mileage through just about every purchase, there are certain purchases that can earn you the most rewards.

Annual Fees

A rewards credit card's annual fee will help you decide if the benefits of a certain program outweigh the costs. In many cases, the credit cards with the most appealing rewards program are accompanied by an annual fee that can range from $50 to $100 per year. If the credit card you are signing up for says it has no annual fee, make sure you read the fine print. Often times, an annual fee is waived for the first year, but is automatically added to the first billing statement of the following year with no notification. So, before you submit your application, make sure you are fully aware if the credit card comes with or without an annual fee.

More Tips on Credit Card Rewards Programs

Find out if there is a limit to your rewards. For example, a rewards program can offer three-percent cash-back on gas purchases, up to $2,000 for one year. Gasoline purchases that exceed this limit are then calculated on a one-percent cash-back basis.
Check if there is an introductory APR and how long it lasts.
See if there is a limit on rewards earned per year.
Ask about additional perks. Some rewards credit cards include additional perks like free shipping on online purchases, club memberships and access to courtesy services like airport lounges.
Don't sign up for a rewards credit card just for a sign-in bonus, only to cancel it once the annual fee kicks in. Signing up for any type of perk or freebie when you have no intention of keeping the credit card will only hurt your credit score when you cancel.

Bottom Line

Before you get drawn into a rewards program with flashy perks, make sure owning a rewards credit card is right for you. Factors like your current debt, spending habits and your daily needs are things to consider before signing up for a credit card with a rewards program. Now, if you're pretty good about paying your credit card bills in full, and you can control your spending, credit card rewards programs are a great way to get something back for your regular, daily expenditures.

Why Your Free Annual Credit Report Is Important

Checking your credit score once a year is a great way to ensure your report is free of errors or identity theft. The three main credit reporting agencies, Equifax, Trans Union and Experian, each offering one free yearly report. These companies can be contacted by phone, mail, online or through third party websites.

Because your credit score is a ranking of your banking, loan and credit card activity, your score reflects your reliability to creditors, lenders, employers and landlords. If you plan to make any large purchases, even if they do not require a loan, your credit score will most likely be checked. A yearly credit report is essential to preventing and resolving human error or illegal activity that may affect your ability to get a loan, buy a house or find a job.
It is important to contact each of the three companies, as your credit score may be different from each. Your score is based on information collected by the credit reporting agencies from banks, lenders, and credit card issuers. The amount of your credit along with the speed and amount with which you paid back your loans or purchases all contribute to your credit score. By checking each of the three credit agencies, you ensure a complete picture of your credit history, and are more likely to notice errors or fraud before a lender, employer or landlord otherwise would.
Late or missed payments, high credit balances, and balances on many credit cards all damage your score. Anyone looking at your credit report will consider this when determining your eligibility for more credit, or a purchase. While your personal credit information is available to be bought for review by persons other than yourself, anyone requesting your credit report must fall into one of these categories:

Landlords
The government
Someone considering giving you a credit card, or credit of some form
Employers
Insurers

To receive your free yearly report, simply contact the following credit reporting agencies and request your score:

Equifax
P.O. Box 105873
Atlanta, GA 30348
www.equifax.com
(800) 685-1111
Trans Union
Consumer Disclosure Center
P.O. Box 1000
Chester, PA 19022
www.transunion.com
(800) 916-8800 or (800) 888-4213
Experian
P.O. Box 2104
Allen, TX 75013-2104
www.experian.com
(888) 397-3742

When you contact the credit reporting agencies, you will need to supply personal, identifying information to verify who you are, and why you are requesting the report. You will most likely need to supply your address, social security number and date of birth, along with any other required information. If you plan to request a report by mail, verify with each agency what they require to release your report.
Checking your own credit report will not lower your score, and knowing where you rank is essential. Don't work hard to maintain good credit, only to find out from a lender or employer that your score disqualifies you from a loan or job. Monitor your score and activity at least once a year to prevent mishaps and ensure your credit history is accurately portrayed in your report and score.

How To Get Free Credit Reports And Why You Need Them

What Is A Credit Report?

A credit report is a formal statement recording your current credit activities. The information used to establish your credit report is gathered by a credit reporting agency, which collects information on credit cards, bank accounts and other forms of credit, then stores it to be sold in credit reports. They obtain this information from anyone who has previously granted you credit, like stores or banks that have issued you credit cards, loans or purchases. There are three main credit reporting agencies operating in the United States: Equifax, Trans Union and Experian, though many smaller agencies also offer reports. It is essential to check your credit score with all three major operators, as your score may vary between them.

Your credit score is a ranking of your banking, loan and credit card activity, which determines how stable or poor your credit is. While your personal credit information is available to be purchased by persons other than yourself, it is only sold to one of the following parties:

A person or organization considering granting you credit
Government agencies
Potential employers
Potential insurers
Landlords and other individuals with a legitimate business who need this information

Why You Need Good Credit

Even if the majority of your purchases are made in cash, a good credit rating is essential to large purchases, employment and various other contractual agreements or transactions. Should you want to take out a bank loan, buy a car, rent property or even accept a new job, your credit score is taken into consideration. By purchasing a regular credit report, you are able to notice issues in your credit rating before entering one of these situations. Monitoring your score can also help prevent or end identity theft, should you notice a credit issue in your report that was not your fault. High credit scores often allow you to receive bigger loans, as they act as evidence of your financial reliability.

How To Get A Free Credit Report

While you are entitled to one free annual credit report from each of the three major credit reporting agencies, it may be a good idea to use a service that offers more frequent reviews of your rating. Checking your report and score more than once per year may allow you to catch errors before an employer or creditor sees your damaged score. Websites like freecreditreport.com and freecreditscore.com offer you the ability to check your credit more frequently, but often come with monthly membership fees.

Some websites offer trial memberships that may be cancelled, allowing you to receive the report free of charge.
When using online companies to check your credit report, make sure they consider all three credit reporting agencies.
Be sure to confirm that the service includes your credit score in their report, as some companies do not include it for free.
In addition to credit reports, some services like Identity Guard and Protect My I.D. offer credit monitoring, which regularly checks your credit report and score for unusual activities and errors. They may also offer identity theft coverage, ensuring funds up to a certain amount will be restored to you should your identity be stolen. This may be a good idea for anyone concerned about identity theft, however monitoring and identity protection services are not free.

Good credit is a necessity for nearly every large purchase, from cars to homes, and is an invaluable tool in demonstrating your financial security and reliability to landlords and employers. Maintaining good credit is just the first step, however, and your report and score should be checked to verify no errors have been made. Reviewing your report and score more than once per year allows you to clear up identity theft or mistakes before they have the chance to harm you. Use available resources like free credit report websites to quickly verify the status of your credit, and ensure you are receiving an accurate representation of your credit history.

6 Of The Best Cash Back Reward Credit Cards

Credit cards have become the preferred method of payment for many people. However, not all credit cards are created equal. Some are better than others and this is usually (though not always) reflected in the relative popularity of any given credit card. One of the most popular credit cards is the cash-back rewards credit card. These credit cards give us a discount on many of the things we buy most often, such as groceries and gasoline. If you use your credit card a lot, using a card with an excellent cash-back rewards program will stretch your spending dollars.

The great thing about many of the best cash-back cards is that they have no annual fee. However, you’ll need to keep in mind that most of these no-fee cards are only given to customers with excellent credit.
Search the internet and you’ll find many different offers for cash-back cards. However, we have done some of the work for you by compiling the cash-back cards that have made most of the 2012 best-of lists.

Chase Freedom Visa

This card, issued by JP Morgan Chase, is considered by some to be the best of the cash-back cards. It offers a 5 percent cash back quarterly rotating discount on gas, groceries, department stores, travel, home improvement, restaurants, movies and more. When you use it to shop online, you get a whopping 10 percent back. And new card-holders receive a $200 check after spending just $500 within three months after opening the account. This $200 cash back is the largest of its kind, and it is not advertised on the Chase web site. And it is for a limited time.

Blue Cash Everyday

This American Express card offers 3 percent cash back on purchases in supermarkets, 2 percent on gas and department store purchases and 1 percent on all other purchases. The best thing about it is there are no rotating categories and no minimum spending limit. And it offers a 0-percent annual percentage rate for a year. Its signing bonus isn’t as good as the Freedom Visa, but it’s not bad: You receive $100 cash back if you spend $1,000 within the first three months.

Discover it (TM)

This card from discover features 5-percent cash back in various categories, like restaurants and movies, which change throughout the year at a maximum quarterly allowance. Any other purchases will earn an unlimited 1-percent cash back. There is 0-percent APR on purchases and balance transfers for 14 months, with no annual fee, no overlimit fee, no foreign transaction fee, and no late fee on your first late payment. There is also an 18 Month Balance Transfer version of the card, which features 0-percent APR on balance transfers for 18 months, and 0-percent APR on purchases for six months.

Citi Dividend Platinum Select

This card gives you 5-percent cash back on quarterly rotating categories, such as gas, groceries, department stores and travel, and 1-percent cash back on all other purchases. It also offers 5-percent cash back when you shop with Citi’s partner merchants. And also like many of the other best-of cards, customers get 0-percent APR on purchases and balance transfers during the first 12 months.

PenFed Visa Platinum

This card stands out for offering 5-percent cash back on gas year round, a great benefit for those who drive a lot. This card also offers no annual fee. Unlike the other cards mentioned here, this card isn’t free, but it’s not expensive either. You can get one by paying $20 to join the National Military Family Association or join the Voices for America’s Troops group for a $15 one-time fee or donate (money or blood) to the American Red Cross. If you are a federal employee, a member of the U.S. military or a Red Cross employee, it’s free.
Before you make a decision about which cash-back credit card to choose, do your homework. That means reading the fine print – as painful as that may be -- and understanding the terms for different types of purchases. Failure to do so may lead to some unpleasant surprises later.

The 5 Best Airline Miles Rewards Credit Cards

As the following numbers show, some of the largest airlines in the United States make it really hard to use their frequent flier miles. Travelers who try to use frequent flier miles to book a flight with American Airlines are successful 45.7 percent of the time, according to a recent analysis. US Airways and Delta customers book the flights they want with their frequent flier miles only 33.6 percent and 27.1 percent of the time, respectively.

As most airlines continue to struggle financially, industry analysts say the airlines will place more restrictions on frequent flier miles, making it even harder to use them. With that possibility looming, consumers are turning to credit cards that offer airline mile bonus points because the best ones have no travel restrictions. Here are five of them.

Chase Sapphire Preferred Card

Features:This card gives you 40,000 bonus points worth $500 in travel credit – and redeemable for two flights – when you spend just $3,000 during the first three months. Card holders receive two points per dollar spent on travel and at restaurants and one point per dollar spent on all other purchases. The points are not capped and do not expire and can be redeemed for tickets for any airline and hotel, and there are no travel restrictions or blackout dates when you redeem points for travel. There is a $95 annual fee, but it is waived in the first year. Card holders receive 20 percent off airfare, hotels, car rentals and cruises when they book through Ultimate Rewards. If that’s not enough to convince you, the card offers a 7 percent annual dividend on all new points.
APR: 15.24 percent
Bottom Line: Many of the folks who rate airline miles rewards cards say this one is the best.

United MileagePlus Explorer Credit Card

Features: Like the Chase Sapphire Preferred Card, there is a $95 annual fee, which is waived during the first year, and card holders can earn as many as 40,000 bonus miles as well as two miles for each $1 spent on airline tickets purchased from United and one mile per $1 spent on everything else. Points don’t expire and there is no limit on how many you can accumulate. When you fly United, the first checked bag is free – a $25 value – and you enjoy priority boarding privileges and two day passes a year to the United Club, a $100 value.
APR: 15.24 percent
Bottom Line: Another one of the best airline miles rewards cards.

British Airways Visa Signature

Features: This card offers amazing introductory offers – anywhere from 50,000 to 100,000 bonus points depending on when you apply. If you get 100,000 points, they can be redeemed for two round-trip flights to Europe, and the card has no foreign transaction fee so you won’t pay those fees in Europe or anywhere else you travel outside the United States. If you buy a British Airways flight with this card, you will earn 2.5 bonus points for each dollar you spend and when you make any other purchase with this card you will earn 1.25 points per dollar. Big spenders – those who spend $30,000 a year -- will earn a complimentary airline ticket that can be used for two years after it is issued. This card has a $95 annual fee, which, unlike other cards, is not waived in the first year.
APR: 15.24 percent
Bottom Line: This card offers the best introductory offers, making it one of the most popular cards.

Capital One Venture Rewards Credit Card

Features: This card offers two bonus miles for every dollar spent on any purchase, and the miles can be used for any airline with no blackout dates and for any other travel expense. There are no limits on bonus miles and they won’t expire. This card charges a $59 annual fee which is waived for the first year. Like the British Airways card, there are no foreign transaction fees.
APR: 13.96 percent to 20.9 percent
Bottom Line: A very good card, which Money Magazine calls the "most rewarding card if you crave free airline flights."

Southwest Rapid Rewards Plus Card

Features: Card holders receive 25,000 bonus points after they make one purchase with the card. They also earn two points per $1 spent on Southwest Airlines and 1 point per $1 for every other purchase. Like the other cards on this list, the points don’t expire, there is no limit to the points you can earn and they can be redeemed on any airline, hotel, vacation package, cruise or car rental. The card, which charges users $69 a year, gives users 3,000 points on their card anniversary dates.
APR: 15.24 percent
Bottom Line: Another very good card which lets customers rack up airline points quickly.
If you are in the market for an airline rewards credit card, give these credit cards a good look before making a final decision.

The Best Gas Reward Credit Cards

The average price of a gallon of regular unleaded gas nationwide went from $3.25 on Jan. 1 to $3.42 on Feb. 1 to $3.69 on March 1 to $3.89 on April 1.

The American Automobile Association has dispelled the forecasts that the national average will reach $5 a gallon by the summer, as some Chicken Littles have predicted, but $4 a gallon is a very real possibility, with prices already well over that in much of the Northeast, Midwest and in California, Alaska and Hawaii.
Historically, $4 a gallon gasoline causes people to drive less. They cancel driving vacations, carpool and cycle more and become smarter about running errands. That happened as recently as the summer of 2008, when the average price for unleaded regular nationwide peaked at $4.12 a gallon before it plummeted to $1.61 by Christmas of that year. But with East Coast refineries shutting down and unrest in Iran and the Middle East, no one is predicting that gasoline will be cheap again – at least not anytime soon.
Consumers are looking for relief and while you have no control over the price at the pump, you do have some control over what you ultimately pay. Consider applying for one of the better credit cards that give you money back when you buy gasoline.

Chase Freedom Visa

This isn’t just an excellent gas rewards credit card. It is widely considered the best all-around rewards card. It offers an average 3 percent discount on gas – 5 percent during the first and third quarters and 1 percent during the second and fourth quarters – and it gives users 5 percent cash back on other things, such as travel, groceries and Amazon.com, which change quarterly. If that weren’t good enough, the Chase Freedom Visa charges no annual fee and offers a $200 signup bonus.
It’s hard to find a downside to this card, but the rotating categories bother some cardholders who would rather have a smaller discount that does not change each quarter. They also say it can be difficult to keep up with what size discount is offered in a given quarter which just goes to show you that you can’t please everyone.

Pentagon Federal Platinum Rewards Visa

The Pentagon Federal Platinum Rewards Visa is another excellent rewards card and arguably the best of the gas reward cards. This card gives you 5 percent back on gas all the time and a $250 signup bonus. It charges no annual fee and offers a good balance transfer promotion – but only for those with outstanding credit scores.
If there is a downside to this card, it is that it offers rewards for gas only, not for groceries, travel and entertainment, as many other rewards cards do. And although there is no annual fee, to get a card, you must make a $15 donation to Voices for America’s Troops or to the National Military Family Association. Again, it’s hard to complain too loudly about that.

American Express Blue Cash Preferred

Like other cards mentioned here, the pros far outweigh the cons with the American Express Blue Cash Preferred card. This card offers an unlimited 3 percent cash back on gas, 6 percent on groceries, 3 percent on department store spending and 1 percent elsewhere. If that weren’t good enough, you can get a $150 signup bonus. Like most American Express cards, there is an annual fee, but if you don’t want to pay it, you can get an identical card that offers 3 percent cash back on groceries, 2 percent on gas and department stores and 1 percent elsewhere. With that card, you get a signup bonus of $100.
The downside to the American Express Blue Cash Preferred card is the $75 annual fee, but the signup bonus cancels that out for the first two years. After that, if you use 20 gallons of gasoline a week and you pay $4 a gallon for it, it would take you 33 weeks to neutralize the annual fee, but that is a bit unfair because that doesn’t take into account the cash back you would receive for groceries and other purchases.
Other good gas reward cards include a joint American Express-Costco card, which offers 3-percent cash back for the first $3,000 spent on gas and no annual fee if you pay your Costco membership fee. And the Discover Open Road card gives users 2-percent off on gas and restaurant purchases.
Remember that credit card companies change their offers often, so check their websites. Here are some websites that track credit card promotions: DailyMarkets.com, CardHub.com, CreditCardForum.com and NerdWallet.com.
Gas prices very well may have risen since this story was written, so for the latest prices nationally and where you live, go to GasBuddy.com or other sites that track the price of gas.
If you are in the market for a credit card that rewards you for your gas purchases, check out the credit cards discussed above. They can help you take some of the sting out of rising gas prices.

Travel Credit Cards

Overview

Credit cards are a widely accepted form of currency. Travel credit cards are designed to appeal to those who travel often on airlines, buses, trains or any other means of transportation where credit is accepted as payment. Travel credit cards allow cardholders to make reservations, make purchase, as well as use them in ATM for cash withdrawal. Business travelers and those who travel for a livelihood can benefit out of these credit cards. You can prefer travel credit cards depending on how much travel you do and use these credit cards to pay during a specific period of time.

How It Works

Regarding how travel credit cards work, they are very much similar to major credit cards, but offer more benefits than regular credit cards do. When you use these cards for travel reasons or for any purchase, you earn points. The earned points can be used for purchases through the rewards program.

Benefits

Travel credit card offers you more benefits than regular credit cards. When you are on a business trip, you can't be roaming to find an ATM. But if you own a travel credit card, it gives you multiple benefits. They are recognized worldwide and are accepted for payment in virtually every place that accepts credit cards. When you use these credit cards for travel reasons, whether for auto maintenance or gas, you will gain multiple points. You can also use the points for the next trip. In addition, travel credit cards offer benefits like return protection, travel accident insurance and assured reservations.

Cost/Pricing

Like the other major credit cards, travel credit cards typically involve paying an annual fee. This fee varies from $30 to $200 a year, and this is based on the type of travel credit card you have. Travel credit cards also include charges incurred for exceeding the credit limit. You will also be charged for paying the due using a check with insufficient funds, and thus it is advised to avoid writing bad checks.

Timing

It's you who has to decide whether you need a major travel credit card, depending on your necessities. It would be wise to opt for a credit card if are you are ready to start building a solid credit history.However, some who suggest that the right time to get a credit card is when you are young, as it will help in building credit. When you plan to buy a credit card, make sure that you are ready to be financially accountable.

Companies/Industries

Most banks and many major financial institutions offer travel credit cards. Travel credit cards are typically issued by major credit card companies that are available around the world.Some companies that offer travel credit cards as one of their financial services include American Express, Discover Card,and Chase.

How To Read A Credit Report

In the United States, there are three main consumer credit reporting bureaus: Equifax, TransUnion and Experian. These bureaus use similar methods to issue credit scores to consumers and these credit scores define creditworthiness. They base these credit scores on pieces of information such as outstanding debts, missed payments, timely payments, length of credit history and types of credit. While the credit score itself is the main thing that potential lenders look at when determining whether or not you can take on a loan or line of credit, your credit report is the list of items contributing to that score. It is important to learn how to read and analyze your credit report in order to be able to recognize and address incorrect items. While the formats used by the three main bureaus may be slightly different, they all follow the same basic structure. Read on to find out how to read a credit report.

Getting Your Reports

Before you can read your credit reports, you have to gain access to them. The U.S. federal government requires the credit bureaus to give you free access to your credit report once per year. To take advantage of this free service, go to AnnualCreditReport.com. There, you can access all three of your credit reports at once.

Personal Information

The first aspect of your credit report is your personal information. This includes your name, different names you have gone by, places where you have recently lived, your date of birth, your spouse’s name, government identification numbers, etc. All of this information is important because the credit bureaus must ensure that the items on your credit report are for the right person. If anything in this field is outdated or incorrect, you should report it to the credit bureau immediately.

Consumer Credit Accounts

This is the central part of your credit report. It shows various credit accounts that you hold and gives a history of your payments made to these accounts. For instance, every home loan, auto loan, student loan or credit card you have will most likely be displayed in this area. These may be placed into five basic groups: mortgage loans, revolving lines of credit, installment loans, collections and other accounts. Credit cards (but not debit cards or check cards) show up under revolving lines of credit. Auto loans and student loans are both installment loans. Collections are debts held by collections agencies. Collections agencies purchase delinquent debts you may have from other parties. If you have an account that is delinquent but has not yet gone to collections, it will probably be marked as delinquent.
Study the consumer credit accounts section of your credit report carefully. Look particularly closely at the names of your creditors. If you do not recognize a particular credit account, it may be the product of scam or fraud – especially if it is delinquent.

Bankruptcy And Court Judgments

This section lists any bankruptcies or court judgments that apply to you. If you have gone through bankruptcy within the past seven years, this will show up on your credit report and there is not much you can do about it. Having a bankruptcy on your report can make it difficult to find both credit and employment. If someone has filed a civil suit against you and won, this may show up on your credit report as well. If you have fully paid the judgment, it should appear as “satisfied” on your credit report. Like bankruptcies, satisfied judgments are removed after seven years. These are both issues that credit bureaus keep up with because having a bankruptcy or having an excessive number of civil suits standing against you are things that potential creditors want to know about.

Credit Inquiries

Lenders and creditors are leery about issuing loans or lines of credit to people who are frequently making inquiries to other lenders and creditors. For this reason, the credit bureaus keep track of such inquiries, regardless of whether or not they result in an extension of credit. However, not all such inquiries actually do get recorded and even when they do, the effect of each one is usually small and temporary. Still, it is important to look at this section carefully. If someone is trying to use your identity to apply for loans, the inquiries that person makes will show up here. Again, the name of the lending institution will be recorded as will the date on which the inquiry was made. If you see something that you do not recognize, you may want to take note of it and investigate further.

Credit Score

Your credit score is the numerical amalgamation of all of the information on your credit report. A score of 600 or above is generally seen as being decent, and a score of 700 or higher usually means that you will not have trouble getting loans or lines of credit as long as you have a verifiable income stream. Free credit report sources usually do not provide your score. To get this, you may have to pay for it.

Disputing Items

If you find an item on your credit report that you feel is incorrect, report it to the credit bureau. If you are viewing your report online, you may be able to do this directly through the interface by clicking on the item and following your credit bureau’s instructions. When you dispute an item, the credit bureau investigates with the creditor and requires the creditor to provide some sort of verification of the debt. If the creditor cannot provide adequate verification, the credit bureau is legally required to remove the item from your credit report. Disputing items in this way can improve your financial situation and repair a less-than-ideal credit score – which is one of the main reasons for which to consult your credit report.
The rule of thumb is that you should check your credit reports at least once per year. This will help you to spot any inaccuracies or fraud in your credit history. Use the information above to help you closely scan your credit reports.

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1. Credit Card Late Fee Cap

2. Credit Card Over-Limit Fee Cap

3. No More Credit Card Inactivity Fees

4. One Fee At A Time

5. Credit Card Rates: Issuers Must Explain Increases

Marriott Rewards Visa Card

American Express Blue Sky Card

American Express Blue Cash Preferred Card

Chase British Airways Visa Signature Card

Capital One Venture Rewards Card

Chase Sapphire Preferred Card

Citi Dividend Platinum Select Card For College Students

Discover it for Students

Citi Forward Card For College Students

Capital One Journey Student Rewards

Orchard Bank Classic MasterCard

Citi Platinum Select Card For College Students

Other Differences

Charge Cards

Credit Cards

If You Want To Boost Your Credit, Look Into Secured Credit Cards

If You Just Need A Card To Make Payments With, Check Out Prepaid Credit Cards

Be Prepared For Cards With High Fees And High Interest

Improve Your Debt-To-Income Ratio

Take Advantage Of Existing Relationships

First Premier Bank MasterCard

Centennial Secured MasterCard

Net First Platinum Merchandise Card

The Shack Card

The Staples Card

Black Card

Alert Your Credit Card Company

Keep Paying Your Bill

Fill Out A Fraud Affidavit

Be Prepared to Follow Up

Track Your Credit Report

Aventium Classic Credit Card

First Premier Bank Platinum MasterCard

Centennial Classic Credit Card

Office Depot Personal Credit Card

Radio Shack Credit Card

Wal-Mart Credit Card

Valero Gas Card

Applied Bank Platinum Zero

Visa Black Card

Wells Fargo Business Platinum Credit Card

Midas Credit Card

What Is A Credit Card Balance Transfer?

Why Would Anyone Want To Do A Balance Transfer?

Why Would A Credit Card Company Offer A Balance Transfer To Its Customers?

How To Get The Best Balance Transfer Deal

Know How Long The Promotional Period Is

Know What The Interest Rate Is

Know What The Transfer Fee Is

Don’t Miss A Payment

Have Good Credit

Shop Around

It’s Convenient

You Can Get Rewarded To Use Them

You Build Up Your Credit

Avoid Losing Money Due To Fraud

Set Up Automatic Bill Payments

Avoid Debit Card Fees

It Can Help You Create A Personal Budget

Determine What Perks Work Best for You

Calculate How Rewards Are Earned

Annual Fees

More Tips on Credit Card Rewards Programs

Bottom Line

What Is A Credit Report?

Why You Need Good Credit

How To Get A Free Credit Report