Credit cards provide us with a great deal of convenience in our day to day lives. Instead of having to carry around our checkbook, or constantly run to the ATM to make sure we have enough cash for our shopping, we can just use a credit card.

In addition, you’re protected against unauthorized credit card use (even if it’s a bit of a hassle to get those protections), whereas if you lose a wallet full of cash then there’s a good chance you’ll never see that money again. Many credit cards also provide extended warranties on products that you buy with the issuer’s credit card. Of course, all of these things come at a price.

So do you know how much you’re paying in credit card fees?

• Interest Rate. For many cardholders, the biggest cost they pay to have a credit card is the interest on balances that they don’t pay off each month. A low interest rate should be the first consideration when you’re shopping for a new credit card, and the first thing to look at when you’re trying to evaluate your current costs.
• The Cost of Carrying a Balance. To some credit card holders, their interest rate isn’t something that they can easily relate to a monthly cost. But unless you pay off your balance in full each month, it’s absolutely essential that you understand how much you’re paying to carry a balance.
• Annual Fee. Does your credit card company charge you an annual fee? Unfortunately, because this charge only appears once a year on a person’s credit card statement, many people pay the charge, but don’t take any steps to try to reduce or eliminate it.

no fee credit card

• The Late Payment Fee. This can be one of the most frustrating and misunderstood fees that a credit cardholder ever faces. Even if you’ve had a spotless record of paying your credit card bill on time every month, being late on a single payment can trigger a fee that can be upwards of $50.

Once you learn more about how much you’re paying for your credit card, don’t be afraid to take your credit card business elsewhere if doing so can save you money.

The post Do You Know How Much You’re Paying in Credit Card Fees? first appeared on Credit Card Advice | CreditCardAdvice.com.

The biggest story coming out of the 2013 holiday shopping season wasn’t a wildly popular toy, new model of smartphone or even the crush of shoppers on Black Friday. The biggest story was the major credit card data breach that occurred at some of the most popular retailers in the United States.

The highest profile example involves Target, and individuals who shopped at U.S. Target stores between November 27 and December 15 had their credit and debit card information stolen – approximately 40 million card numbers in all. Additional data breaches at Nieman Marcus and other retailers resulted in millions more stolen card numbers.

Let’s examine how these recent credit card data breaches may affect your financial security.

• Limited Direct Personal Liability. At the outset, it’s important to know that if your credit card data was part of the breach then your potential liability is limited with respect to any fraudulent charges that may be made to your account. Your exposure for unauthorized charges is capped.
• You Should Monitor Your Account Closely. In order to receive the maximum protection for your credit card account, it’s important to monitor your account closely for any unauthorized charges. By identifying these charges as soon as possible after they occur, you’ll be able to avoid any direct financial liability.
• Debit Card vs. Credit Cards. The potential exposure for individuals who had their debit card information compromised is significantly greater than the exposure for individuals who had their credit card information stolen. Debit cards do not receive the same legal protections, so account holders can potentially be liable for up $500 in direct losses.
• It’s Not Just Credit Cards. It’s important to note that the massive data breach at Target extended to more than just credit card data. In fact, the hackers also breached the store’s customer information database, which contains information on approximately 30 million customers who shopped at Target before November 27 and didn’t have their credit card or debit card information compromised.
• The Extent of the Damage is Still Developing. Even though the data breach has already occurred, and there are significant efforts underway to minimize the damage, there are still risks to your personal financial information. Many individuals have received emails and phone calls purporting to be from security firms or others that are looking to help, but not all of these communications are legitimate. Other scammers have seized upon the initial data breach to attempt their own financial scams.

The best way to keep your finances as safe and secure as possible is to verify the source of all communications you receive about any data or credit card breaches, and to proactively monitor all of your financial accounts for any unauthorized activity.

The post How the Recent Retail Hacks Affect Your Financial Security first appeared on Credit Card Advice | CreditCardAdvice.com.

Social media began as a way to connect with other people in your local community. The phenomenon quickly spread and soon people all over the world were communicating online. Businesses got in on the action and began to market their products and services through social media. Throughout this transition, consumers have gained a tremendous amount of power.

You too can use social networking sites like Facebook, Twitter and Foursquare to leverage your credit card account and save money.

Here is some credit card advice on ways you can extract the maximum value from your credit cards by strategically using your online social media presence.

• Get Good Deals. Did you know that credit card companies not only advertise their special credit card promotions online, but they also frequently offer special credit card deals online to existing account holders?
• Resolve Issues. It is now common for disgruntled customs to take to social media in an effort to get their issues resolved. For many business owners, including credit card companies, the last thing they want is to have a bad reputation develop (or be perpetuated) on popular social media sites. In many cases, a credit card company that sees your complaint online will often jump in quickly to resolve the problem. If you’re struggling to get a credit card issue resolved via traditional means, consider taking it to social media. You may find that you receive a faster and more effective response.
• Provide Feedback. Additionally, a large number of major banks and lending organizations now ask for feedback from their customers on social media. This feedback channel provides you with an opportunity to have your voice heard. If you have suggestions about how your credit card company can improve their products or services, check their Facebook page and look for an opportunity to communicate your thoughts.
• Learn New Things. One of the first places any lender is likely to announce any new features, benefits, and changes to their company is through popular social media networks. For example, you might learn that your credit card lender is launching a new smart phone application that makes managing your expenses easier. You might also learn that they’re holding a contest and the winner gets an all-expense paid trip to Europe.

It can pay off to connect with your credit card company via social media. In addition to discovering opportunities to save money, you may earn perks and rewards. Social media also provides a perfect format for communicating with your lender and learning more about what they have to offer.

The post How to Use Social Media to Get More Value From Your Credit Card first appeared on Credit Card Advice | CreditCardAdvice.com.

You’ve read about it. You’ve heard about it. But credit card fraud happens to other people, not to you, right? Unfortunately, According to Javelin Strategy & Research, in 2011 there were 9.64 million people who were victimized by fraud where someone used their credit card or credit card number without their authorization. If you don’t catch the fraud quickly, the debt can add up and become a real headache.

There are many reasons to review your credit card statement each month. Of course you want to track your expenses and stay on budget. However, another critical reason to review your statement in detail is to catch potentially fraudulent charges.

Here is some credit card advice to help determine if you’ve been a victim of credit card fraud.

• Small Charges. It can be subtle at first, as the thief tests the waters. So subtle you might not notice the tank of gasoline charged in Missouri or the groceries purchased in North Dakota. Small purchases that show up on your statement are just one sign you’ve been victimized.
• Large Charges. Larger charges are discovered more readily. You can’t help but notice when a $1,000 charge shows up on a normally low credit card statement. And in many cases when an unusually large charge is made, your credit card lender will give you a call, text, or email notification to put you on alert. It’s part of their fight against credit card fraud.
• Email Receipts. Many retailers now email receipts to you. This is particularly true when you shop online. If you notice an email receipt for something you didn’t purchase, quickly contact the vendor and your credit card company.
• Missing Cards. Finally, if you notice your credit card is missing, report it immediately. Your lender can put a hold on the account or cancel it completely and issue you a new card.

It pays to stay on top of your accounts and statements. Even though there are legal protections against unauthorized card use, many banks and lenders require at least a little bit of paperwork (and time and effort on your part) before they’ll credit your account appropriately. The faster you catch credit card fraud, the easier it is to take care of.

The post Signs You’ve Been a Victim of Credit Card Fraud first appeared on Credit Card Advice | CreditCardAdvice.com.

For example, one common piece of advice is to cut up your credit cards. Cutting up the card will certainly help you curb your spending, but it precludes you from using your credit card in situations where using cash or some other method of payment is impractical (such as renting a car or buying airline tickets).

Instead, consider the following three foolproof tactics to help you reduce the amount you spend on your credit cards each month.

Studies have shown that when people are forced to handle cash and use that to pay for their purchases, they spend less on average on each shopping trip. Using cash creates a much more immediate link in the financial consequences of each purchase decision, and gets you to spend more time considering whether you actually want to buy.

In contrast, when an online merchant already has your name, shipping address and credit card information, you can find yourself spending money with little more than a mouse click. You might think it’s a hassle to enter all of this information every time you want to make a purchase online, but that’s the point. When it’s too easy to buy, you may be more likely to spend too much.

Keeping your credit card spending in check will make it significantly easier for you to reach your long term financial goals.

The post How To Cut Back On Credit Card Spending? first appeared on Credit Card Advice | CreditCardAdvice.com.

You need to be on the lookout for inaccurate information that appears on your report, and any unauthorized attempts to use your credit record to take out fraudulent loans in your name.

Here’s some credit card advice on a number of ways you can monitor your credit without having to spend too much money.

Monitoring your credit report should be a part of your normal personal financial management activities. Use the tips above to monitor your credit while spending less money.

The post How to Monitor Your Credit for Less Money first appeared on Credit Card Advice | CreditCardAdvice.com.

Given the prominence that credit cards have taken on, it’s essential that that you follow the best practices with respect to those accounts.

Here is some credit card advice on some of the top tips for using and managing your credit cards to get you started.

Provide that you’re active in managing your credit card usage, you’ll be able to minimize the costs and headaches you’ll face.

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But unless you travel abroad a lot, you might not be aware of the foreign transaction fees that may apply to much of your overseas spending.

Here is a brief explanation on what foreign transaction fees are all about, and some steps you can take for avoiding them when you travel abroad.

On the other hand, if you ask for the charge to be processed in local currency then your credit card company may impose a foreign transaction fee on that transaction. For credit card companies that impose this fee, the charge is generally somewhere between 2% and 3% of the transaction value.

You can keep your travel costs lower by understanding what foreign transaction fees are, when they apply, and what you can do to avoid them when travelling abroad.

The post What is a Foreign Transaction Fee and How to Avoid it When Traveling Abroad? first appeared on Credit Card Advice | CreditCardAdvice.com.

Of course, managing your credit means that you need to know exactly what your report contains, so many individuals choose to review their reports on an annual basis.

Here’s what you need to know if you’re ready to do your own annual review.

One of the biggest risks to your credit is not knowing what potential lenders see on your credit reports. Make sure to review yours at least once a year so that you can ensure the reports are accurate, and work to improve them.

The post It’s Time For Your Annual Credit Report – What You Need to Know first appeared on Credit Card Advice | CreditCardAdvice.com.

Fortunately, there are other ways to build your initial credit history, and make it more likely that you’ll be approved for credit cards and loans in the future.

Here is some credit card advice to help you build your credit score from scratch.

Finally, make sure to check your credit reports. Even if you don’t think there’s anything on them yet, you might be surprised. Credit reports often contain inaccurate information, and you don’t want that to provide any additional hurdles to you building your credit.

The post Simple Tips to Build Credit from Scratch first appeared on Credit Card Advice | CreditCardAdvice.com.