10 Major Benefits of Using a Credit Card

A credit card is one of the most powerful financial tools that we have at our disposal and if used responsibly, it can provide many benefits in the long run. Today, we are going to look at top reasons why everyone should use a credit card for their expenditures

1. One-Time Bonuses

People with good credit scores can get their cards approved with added bonuses. You can avail of these bonuses by spending a certain amount in the first few months when your credit account is open. Other bonuses may include travel points, gift cards, and more.

2. Convert transactions into EMI

This is a great benefit that every credit card comes with. When you make a big purchase using your credit card, you don’t have to make full payment, you can easily convert that transaction into monthly installments, which gives you time to pay off the money over a period of time. This benefit allows you to fulfill your wishes without the burden of paying all the money at the same time.

3. Cash Back

The most significant benefit of using a credit card is cash-back. Whenever you use a credit card for making a purchase, you receive a percentage of total expenditure in the form of cashback. This allows you to save a lot of money in the long-run. 

If you are a platinum member, you might get cash-back offers up to 2% to 3%. So, before applying for a credit card, look at the list of partners that a financial institution is associated with.

4. Rewards Points

Another major benefit of using a credit card is the reward point system. The more you spend using your credit card, the more points you earn. These points can redeem to earn discounts, buy merchandise, groceries, and more. 

For example, if you get Citibank credit card, you can earn reward points when you spend money on fuel, restaurants, movies, and more. Contact your bank to learn more about the reward points.

5. Frequent-Flyer Miles

This point is for those who travel a lot. When you purchase your flight tickets using your credit card, you get flyer miles that can be used for either discounts or purchase tickets (if you have enough points). 

All major airlines have at least one bank that is partnered together and offer this benefit to their customers. So, make sure you check whether your credit card has this benefit or not.

6. Safety

Paying with your credit card is much safer than your debit card. When you use your debit card, the money is deducted from your account instantly. 

Similarly, if you lose your debit card, you are at major risk of losing your hard-earned money. But when you use a credit card, and you encounter any fraud, the bank will take it immediately. Plus, your money is also secured.

7. Grace Period

When you make a purchase using your debit card, your money is gone instantly. On the other hand, when you spend money using your credit card, your money remains in your account until your due date. 

This time between the end of the billing cycle and the due date is called the grace period. This allows you to repay your credit card while having the luxury of keeping your money in your account as well.

8. Insurance

Credit cards come with a number of customer protections that people are not aware not like insurance. Many banks offer insurance services to their customers who use their credit cards. This benefit is usually available to those who have a high credit limit.

9. Universal Acceptance

This is by far the main benefit of why everyone should have at least one credit card. All credit cards are accepted universally, this means if you are traveling, you can easily make payments in a foreign country using your credit card. 

You can rent a car, spend money on shopping, use to pay your hotel bills and more. You don’t have to worry about carrying the foreign currency with you all the time. Simply swipe your credit card and you are done.

10. Building Credit

A credit card helps you in building your credit score, which shows that you are responsible and can handle your finances. This is great for people who started working and looking to build their credit. When you spend money using your credit card and make timely and full payments, it impacts your credit score positively, which helps you in increasing your credit limit and enables you to apply for loans and more credit cards.

There are many other small benefits to why you should use a credit card, but these above-mentioned points are the main benefits that you get to enjoy when you use your credit card responsibly.

What Retirees Need to Know About Credit Cards

Retirees are generally in a different financial position to those yet to wrap up their working days and spend the rest of their years doing the things they never got around to in the past. As a result, they need to use their finances differently and also avoid incurring debt wherever possible, even short term debt if feasible.

However, certain forms of credit like credit cards are still handy to use in retirement though retirees are encouraged to use their credit cards effectively and without incurring unnecessary debt, and to also focus their attention on the most competitive credit cards on the market, like those offering interest free purchases and terms.

Three mistakes retirees often make with their credit cards:

Failing to choose the right credit card

The biggest mistake retirees often make with their credit cards is applying for and using the wrong card. There are often major differences between credit cards and retirees can avoid financial difficulties by selecting a card that’s suitable for their needs, like GemVisa low interest credit cards. 




What’s more, there’s generally a lot of fine print involved when applying, so it’s often a good idea to bring someone along, like an adult child, to help select a suitable card. 

Using credit cards to supplement income

Many retirees have the tendency to use their credit card for everyday purchases, which is fine, as long they possess the right card and they pay the balance in full each month. However, many use their credit cards to supplement their income and run into problems when they can’t make the repayments in full because the interest accumulates and becomes more difficult to pay off. 

Failing to make a debt plan

If you’re going to incur debt you need to make a plan to pay it off and without incurring more interest than you can afford to pay. Whilst pensions and similar forms of retirement income cannot be accessed by creditors, their retirement savings and nest egg can, so by failing to create a debt plan they’re putting their savings, and therefore their financial livelihood, at risk.

Three credit card strategies retirees should take note of 

Don’t stop using your debit card

This is the first rule of effectively using your credit card as a retiree – only use it when it’s necessary. Credit cards and debit cards are just as convenient as each other, and whether you have your weekly, fortnightly or monthly spending allowance in your debit card account or another from which you transfer money over, you’ll generally find that you can use a debit card instead of a credit card for everyday purchases.

Pay your outstanding credit card balance in full every month

The longer you leave your debts the more interest accrues and the more you’ll need to find a means of repaying. Credit cards are a luxury during retirement, after all, most retirees don’t have a regular income coming in unless they have investments and even then they still shouldn’t incur new debts. 

Avoid using your savings to pay off your credit card balance

You should avoid dipping into your savings or nest egg at all costs, and especially not to pay off your credit card balance at the end of the month. You should have created a budget to live off comfortably and if you’re going to use a credit card make sure that you’re able to pay the balance off using your retirement income – investments, pension, superannuation, etc – not your nest egg.

Enjoy a comfortable, hassle-free retirement by selecting and using your credit cards wisely.

About the Author:
A company that brings to the world the GemVisa low interest credit cards, GE Finance and Insurance is a leading alternative to banks. They are a part of GE Capital and cater to clients from all over New Zealand.

Debit Cards the Safer Bet for Teenagers

At some point, every young person will need to learn how to effectively manage their money. A prepaid debit card will make the process a lot easier. Whether the teenager is a high school freshmen or just entering college, a prepaid debit card will allow them to make their own financial decisions. Here are some of the benefits of a prepaid debit card for teenagers. 

Safer than a traditional credit card

Even the most responsible teenager could get into financial trouble with a traditional credit card. It is just one more hassle that the parents have to deal with on a monthly basis. On the other hand, a prepaid debit card is a lot more user-friendly. There are not any expensive late fees to worry about. 

Limits the amount of money that can be spent

Unlike a traditional credit card, the teenager is only able to spend the amount of money that is on the account. If the teenager depletes the available funds, the parents can simply reload the card by logging on to their account. The necessary money can be safely transferred from their checking account to the prepaid card’s account. 

Teaches responsibility

A prepaid debit card helps a youngster to learn how to budget their money wisely. A prepaid card for students is a great alternative to cash. The teenagers can simply look online to keep track of their spending habits. Whether they are going to the movies or buying a new necklace, the prepaid card will help to minimize overspending.

Old School Finance Tips That Work

English: Debit Card(Photo credit: Wikipedia)

There are all kinds of things people can learn from the Great Recession. However, the biggest lesson is that there’s no such thing as a guarantee. While some investments may be conservative, they’re still a gamble. Locked-in interest rates usually aren’t worth the trouble, considering you’re making a large set of funds unavailable for emergency situations. It’s safe to say more people are miss-managing their money (whether it’s a lot or a little) today than they were 100 years ago.

While you won’t get rich from old school investment and savings strategies, you will be relatively secure. How did our grandparents save, invest and manage their money? Maybe they knew a few things that today’s race for high ROIs leaves in the dust. After all, slow and steady has long been the mantra for many things in life, so why not money management?

Actually Budget

Everyone knows you “should” have a budget, but do you actually have one in place? A budget is a written down, line item document that itemizes every single expense and source of income. A budget is something you stick to even if you really want a new BBQ for the summer or if large garden desperately needs an expensive organic rabbit repellant (you should budget-in emergency funds). Despite this knowledge, most people don’t have one or fail to follow its guidelines.

However, most people also have a salary, work the same amount of hours, or get the same benefits each month. It’s no secret how much money you get, and it shouldn’t be a secret how much money you spend. Write down your fixed-costs, such as utilities and actually track how much you spend on everything else. You’ll quickly pinpoint some ways to save money and make sure you re-direct it to savings, emergency funds or retirement.

Use Cash and Precious Metals

It’s simply easier to spend on a debit or credit card than with cash. In an emergency situation, it’s always best to have cash on hand, and maybe even some precious metals bought when the prices were low. However, cash is also easy to steal and most burglars know exactly where to look. Invest in a fire-proof safe that’s bolted to the home and impossible to remove to store vital documents, cash and other precious belongings — that’s what our grandparents did.

Sadly, most banks don’t offer a good enough interest rate to make savings accounts worthwhile. You can easily get disheartened looking at monthly interests that never go beyond single figures. If you have trouble saving, choose an online account and opt out of getting debit cards and checks. You can still transfer funds to make them accessible, but it will take a few days so it stops impulse purchases. 

Reconsider Needs

A big problem many people have while budgeting is their undefined definition of necessities. Few people need a house as nice or as large as the one they live in, or the cars that they have in the garage. If you really want to be financially sound, keep in mind you’ll likely need more than your current income per year when you retire. Suddenly the urge to save is much stronger — and you find downsizing a little easier.

5 Reasons You Should Have Credit Building Prepaid Cards

Prepaid Cards are issued against your own deposits with the concerned financial institutions that facilitate the same. A certain amount needs to be deposited for entitlement of a credit card and you spend as much as you deposit. Prepaid cards help you to build your credibility amongst others. Their unique features make them popular and increase their demand amongst large section of people across the globe that prefers this unique mode over other methods.

Enhance trustworthiness

Credit building credit cards are a good source to increase your credibility amongst the banking institutions, your friends and the vendors. Such cards do not permit more amount than the one deposited by you. So you are not in a position to release payments more than that. As you remain within your limits, only the genuine expenses will be made by you and you won’t go in for overspending that result in the enhancement of your credibility amongst others.

Avoid extravagance

As aforesaid, the credit cards are provided against your deposits by the financial companies. You can withdraw or purchase within the deposit limits of your credit cards that do not allow you to spend more than that. This way you save from making any additional expenses and ensure a secured amount with you. However, if there is no limit upon your spending through the credit cards and you are allowed to withdraw more amount than that of your deposits, you may spend more.

Easily available

Since the credit building credit cards are issued against your own deposits, the banking institutions provide with a smile without any much formality. You are not required to submit any salary proofs or fulfil additional documentation for issuance of such cards. In fact, the companies engaged in this business are happy to do the same because they get deposits for a considerable time against which they don’t pay much interest to you. As such, they don’t ask much about your credentials or credit history. Just make the deposits and be a proud owner of such credit building credit cards.

Convenience and security

The credit building prepaid cards are easy to carry. Just put them in your pocket and carry them anywhere you are going. While receiving such cards, you are issued a personal code for withdrawals or making payments for your bills. This way you save from any duping or deceit by the unscrupulous persons who often intend to rob you through their dishonest actions.

No extra charges

Since it is your own money that you withdraw or spend against your deposits through the credit building prepaid cards, the institutions that issue the same don’t charge anything for their valuable services. Thus you are saved from the banking charges through such prepaid cards whereas the other modes of payments may require you to pay the requisite charges. Some banking institutions do charge against their other services to the customers whereas no such charges are applicable in respect of the credit building prepaid cards that are released against the customers’ own deposits.

How Can Your Wallet Be The Best Tool for Effective Budgeting?

The Costanza Wallet (Photo credit: shareski)

Do you know your wallet can be a big player in tracking your expenses? If you have a disorganized wallet, it becomes very difficult for you to monitor your spending. If you have a number of useless receipts, cards and other stuff in your wallet, you will always face problems when you need something urgently. There are many disadvantages of keeping overstuffed and disorganized wallet. You may let several coupons expire because of a bad system. There are many smart ways, wise people implement on their wallet to stay on the budget; today, we will share those to make you more efficient in budgeting:

1. Re-visit and Clean Your Wallet Regularly:

If you want to find essential things quickly and easily, you must clean up your wallet regularly. People having this habit never miss their important rebates, coupons, and sales, which means they have more money to spend on other important things. 

2. Limit the Plastic Choices to One or Two:

It is really difficult to keep a complete check over multiple debit and credit cards. You should have complete information about the balance on your cards, transactions and other statements. It’s wise to minimize the number of plastics in your wallet by putting only one or two cards that you use regularly. This practice is good to keep yourself in budget because this helps you limiting your unnecessary needs.

3. Keep Paper Receipts Out; Use Mobile App Instead:

Paper receipts and lists of unnecessary things are so annoying and they mess up your wallet too. In today’s technology era, there are lots of phone apps that note down receipt data and save you from the paper waste. Think about using popular apps, like Shoeboxed, Lemon, etc, and capture the photos of receipts and save it in your cell phone. 

4. Keep An Image Of Goal to Keep You Up:

We all find it difficult to stick to our budget and control our spending as it takes lot of strength and willpower. You can give yourself a boost by placing picture of your goal in your wallet. This will remind you about the goal you have set, and help you keeping yourself from any unnecessary purchase.

5. Buy High-Quality, Toughest Wallet:

It is necessary to have a good quality wallet, if you really want to keep the things properly organized. It is really difficult to locate cash and receipts on a worn wallet. Having a good quality wallet means, you are quick in finding anything you want. So, buy a quality, toughest wallet as it saves your time and money because it will be your partner for a long time.

6. Streamline Your Payment Processes:

Many people use credit and debit cards, whereas the rest prefer cash. So, if you are a card user or your prefer cash, stick to one system only. This would help you tracking your expenses in a simple way. You won’t commit mistakes if you are less confused. . This tip benefits those with families, where everybody can use the same payment method.
Conclusion:

If you commit to implement all the above mentioned wallet hacks, I ensure you will enjoy using this tool for keeping track of your spending. Nowadays, there are several virtual wallets in the market as well, that allow you making many transactions and payments using your smartphone; you should try using them as well. These tips are simple to implement, but have proven to give awesome results in improving day-to-day financial life.

Author’s Bio:

John Collinsmith is a senior writer and journalist for poor credit loan, a consumers guide to mastering money and saving. You can save more money by checking out the compound saving calculator and other money saving calculators.

Prepaid Cards Can Help You Manage Your Money Better

(Photo credit: Wikipedia)

When customers need access to reliable credit cards for recurring payments or security purposes, the Kaiku Visa prepaid card will help them through. These prepaid cards are accepted anywhere that Visa is accepted so making payments is quick and simple. 

By using the Kaiku Visa prepaid card, customers will have complete control over their accounts and payments. All that anyone who purchases prepaid cards needs to do is make sure they load the card with sufficient funds to make any payments. 

This method of managing payments will work well for those who sometimes struggle to make payments with their regular debit card. With the Kaiku Visa prepaid card, they will know exactly how much they have on the card at any given time. 

The Kaiku Visa prepaid card offers users so many exciting and practical uses that include making daily purchases, whether online, on the phone or in the store. Customers can get cash from a Allpoint ATM network machine, or they can request cash back during a grocery visit when using it as a debit card. 

Parents can use the Kaiku Visa prepaid card to help teach their children about managing money at an early age since cards are a common means of payment today. Children will learn to keep track of their available balance daily. 

Kaiku monitors each card's usage to try to detect fraud attempts and stop them in their before escalating, and each customer's personal information is safely encrypted to avoid the possibility of identity theft.

A Credit Card or a Debit Card for Fraud Protection, That is the Question

This article comes from Odysseas Papadimitriou, founder and CEO of Card Hub, a leading marketplace for comparing and learning about credit cards, prepaid debit cards, and gift cards.

Mirrors on ATMs are an ever-present reminder that there very well could be someone out there trying to steal your hard-earned money. Even though fraud only impacts about 0.5% of all purchases made with credit cards and debit cards, no one wants to be a victim, so fears pervade, fueled on by the sensationalistic horror stories commonly run on the local news. But instead of always looking over your shoulder, why not get a spending vehicle that will naturally shield you from fraud liability? Such is the type of rationale that leads to me hearing the same question from consumers time and again: Will a credit card or a debit card better protect me from fraud?

To run the risk of being anticlimactic, let’s clear things up right off the bat. As long as you report suspected fraud promptly, you won’t be held liable for any unauthorized charges made with either a credit card or a debit card (non-PIN transactions). Not only does federal law limit liability to $50, but most, if not all, card networks and issuers have themselves voluntarily adopted $0 liability guarantees. Fraud therefore isn’t that big of a concern and your money should be safe whether you’re using a credit card or debit card.

Still, fraud can be a major pain to deal with, so it’s fair to wonder whether a credit card or a debit card makes for a simpler remedy to any potential problems.

The answer to this question pertains to the fundamental difference between these two plastic spending vehicles. While funds are removed from your bank account pretty much immediately upon a debit card transaction being made, the issuing bank initially pays for your credit card purchases. That means you have much more time to notice and report credit card fraud before being out any cash than you would debit card fraud. You could therefore conceivably end up bouncing a few checks as a result of being unaware that fraud had led to an insufficient account balance – which can complicate things quickly. Plus, you’d have to endure the psychological trauma of seeing your bank account empty.

The best answer to the question of whether a credit card or a debit card serves as a better safeguard against the ill-effects of fraud therefore has to be the former.

Simply using one piece of plastic as opposed to another is not the only way to ward off financial thieves, however. There are a number of simple everyday measures you can take as well, each of which will drastically reduce the chances of your cash or sensitive financial information falling into the wrong hands.

It all starts with exercising your right to free copies of your major credit reports every 12 months. Credit report inaccuracies (e.g. the presence of accounts you did not open, being listed as delinquent when you have always paid on time) can be obvious indications of identity theft. If left uncorrected, they will not only bring creditors to your doorstep asking for “their money,” but also lead to significant credit score damage. Some other fraud prevention tactics include:

• Using passwords to your advantage: Setting passwords for your bank accounts and other important financial information should entail more than simply plugging in the name of your pet and saving it in your computer. Rather, you should use a combination of letters, numbers and cases that is both memorable and secure. You should also change your passwords on a semi-regular basis.
• Not talking to strangers: When it comes to your money, introversion can be a good thing. You shouldn't even open e-mails from people you don’t know, especially ones with attachments. You also shouldn't give any financial information to people who contact you – only give your info to reputable companies that you have contacted.
• Going back to the basics: While fraud has a decidedly technological bent to it in this day and age, it pays to remember the basics, such as shredding credit card statements and other financial documents before throwing them out and getting a lock for your mailbox.

Ultimately, you should not let fear of fraud control your life. As long as you take commonsense measures to safeguard your money and are vigilant in reporting suspected instances of impropriety, both you and your money will be just fine.

Prepaid Card Use Is On The Rise [Infographic]

For most people the checking and savings accounts that the banking industry provides for us is sufficient. But for a small and ever growing percentage of Americans it doesn't work. For people with a steady income and an ability to maintain a subjective balance, the banking system provides a decent product. For some it just doesn't work. Enter prepaid cards.

Prepaid cards allow the unbanked to have a way to participate in the banking systems requirement for plastic cards. It also allows people to have an amount of money saved that is easy to access through ATM's. While there are still banks that provide a free checking accounts, if you follow their rules, the prepaid card user enjoys no such thing. The unbanked is subject to a slew of fees, which are mostly excessive.

The infographic below demonstrates the statistics of a growing use of prepaid cards.

Infographic courtesy of  caxtonfx.com

Target Redcard Gives You A 5% Discount at Target Stores

Image by smcgee via FlickrThe retail market is very competitive. Brick and mortar retailers have to compete with cost cutting online stores. Big box stores like Target, Walmart, and K-mart are fighting for the consumers dollar. How does a retailer attract and keep customers coming through their door? Target has come up with way, it's something called the Target REDcard.

The Target REDcard is a debit card that links to your checking account. It works just like any other debit card but it can only be used at Target stores. When you use it at Target you receive a 5 percent discount on every purchase.

How does it work for the average consumer?

• The immediate benefit is a 5 percent discount on every purchase. 
• There will never be any fees like overdraft or any penalties that credit cards can give you.
• There is no credit check, you only need a checking account to be approved.
• You can never get into any debt because you can only spend the money you have in your checking account.
• If you use the card on the Target website, shipping is always free.
• If you have your prescriptions filled at a Target Pharmacy, after 5 prescriptions you receive a 5 percent discount for shopping on one day, on top of the Redcard 5 percent discount.

What's the Downside on having this card?

• It's not credit. You have to pay in full out of your checking account. It's like paying cash.
• Being it's not credit, your good paying record won't be reflected on your credit report.
• If you have a checking account and you already have a debit card. Why have another card?
• Doesn't work at Target Mobile.
• Having the hassle of carrying another card. 
• Linking another card to your checking account.

Should you get this card?

If you rarely go to Target, the 5 percent discount won't amount to much. If you do go to Target often, then this card makes sense. The 5 percent discount coupled with free shipping at Target.com is a substantial savings and is another good reason to get this card.

Switching from credit to debit cards is a big part of a plan to use your money more wisely. With a Target REDcard you're helping yourself stay away from new debt and it's helping you stay on your budget. Get the card.

Debit Cards Vs. Credit Cards - How do They Compare?

Image by MoneyBlogNewz via FlickrGetting and staying out of debt requires you to stop using your credit cards. You are so determined to avoid credit card debt, you have cut up your credit cards and have gone to exclusively using a debit card instead. You feel good about not using the credit card anymore. All is well.

But wait are there any downsides to using your debit card as your exclusive plastic? It's time to find out what's the difference between a credit card and a debit card.

Lets say your debit card number is used for some fraudulent transactions. A bad guy buys himself a nice new Rolex with your debit card number. This transaction wipes out your bank account. Your checks bounce because there isn't enough money in your checking account. By the time you find out about the illegal charges your money is gone, you have over draft fees, your bills have late fees now because the checks bounced, and your money is gone.

What can you do about all this. Does your bank take off these extra charges.? Will they put your money back into your account? How long will all this take for your account to be put back in order? What are the responsibilities of the bank? Whats the time frame for the money being put back?

Here are a few Debit card facts:

•  With a credit card, your maximum liability guaranteed under federal law in case of fraud or errors is limited to $50 if you notify the card issuer within 60 days after the statement listing the transaction is mailed. With a debit card, the $50 liability limit expires two days after the fraud, and then your liability goes up to $500. And you don't necessarily have protection against errors.
• Banks' "zero liability" promises are voluntary and squishy; they're not the law and they're not immediate.
• If you use a debit card and a fraudulent charge or a billing error causes other payments to bounce (like your mortgage or cell phone payment), you will be hit with hefty overdraft fees and will probably have difficulty getting the fees refunded.
• Credit cards offer protection under the federal Fair Credit Billing Act, meaning you can refuse to pay for products or services that you didn't get or are defective. There's no such protection with a debit card.
• Debit card authorizations can tie up your money. A merchant such as a gas station or hotel may put a three-day hold on more money than you're spending. You won't be able to use that money until the hold ends. That could cause other payments to bounce even though you have enough money in your account.
• If you buy something with a credit card and the merchant makes a mistake, say by billing you twice, the bank will fix it.
• With a debit card, however, banks are really sketchy about what protection they offer if the merchant goofs. You're protected against "unauthorized use," but many banks don't consider errors to be "unauthorized use." They say because you authorized the merchant to debit your checking account, the matter is a "billing dispute" that you need to work out with the merchant.
• If you do have a problem with a credit card transaction, you don't have to pay the amount in dispute while it's being investigated. With a debit card, the money is already gone.

If money is stolen from your checking account by the use a stolen debit card number it can take up to 2 weeks to be put back. This is frustrating for the consumer and this would not happen with a credit card.

But if it is your choice to use a debit card and not a credit card. To be on the safe side it's not smart to have a debit card linked with an account that has a lot of money in it. Or get just an ATM card with no charge card features.

PerkStreet Financial Review - 2% Cash Back Debit Card with Free Checking

It"s tough these days to get a debit card with decent cash back. Many credit cards have great cash back reward programs but try to find that in a debit card. I try to avoid using a credit card usually. I would like to find a debit card that will satisfy the reward need. I have discovered that PerkStreet Financial can do just that.

How Does it Work?

You apply online and setup an initial transfer of funds from your bank account or credit card. Within a 2 weeks you receive your checks and ATM card. You can withdraw money at ATM's and write checks. To deposit money you can use the U.S. mail with free postage paid envelopes or use free overnight delivery by UPS Stores. You can also deposit funds electronically thorough direct deposit or online transfers. Also you can even deposit cash at 18,000 Moneygram ExpressPayment locations free of charge.

Do They Have ATM's?

PerkStreet has a network of over 37,000 ATM's. They have an online ATM locator. I found within a five mile radius of my home are 28 ATM's. They are located in Walgreens, Winn Dixies, 7-elevens or gas stations. I know these location and they are safe and most are open 24-hours a day. Compared to my bank that has only 4 ATM's within 5 miles.

Who Is PerkStreet Financial For?

• People who like to pay for things with a debit card
• They want to get the most rewards from a debit card
• They prefer to bank online and the phone
• They don't have the need to go to a brick and mortar building
• They want the most free ATM's

What Are The Rewards?

1% cash back on all non-PIN* purchases if your checking balance is less than $5,000 at the start of the day.
2% cash back on all non-PIN* purchases if your checking balance is $5,000 or more at the start of the day.
5% cash back (called PowerPerks) on all non-PIN* purchases when you shop at select retailers announced on PerkStreet’s blog.
How can they afford to give such large rewards?

Because they spend no money maintaining physical branches they can pass the savings on to their customers. With no company owned ATM's they save even more money. Without spending money on buildings, large advertising campaigns and

Any Negatives?

If your account is inactive for 1 month there is a $4.50 charge per month.
The normal fees if you are over drawn or a returned item are the industry standard

Remember PerkStreet Financial accounts are FDIC insured up to $250,000 through Bancorp Bank, it's banking service provider.

How do I Contact PerkStreet Financial?

Email: support@myperkstreet.com
Telephone: 866.792.2834
Website: www.perkstreet.com
U.S. Mail: Customer Service Center
409 Silverside Road
Suite 105
Wilmington, DE 19809

Improve your financial life with the PerkStreet FinancialSM Debit MasterCard®. Save money, have fun and stay on budget with the only unlimited 2% cash back debit card. Don't miss out. Sign up today.

Credit Card Companies Are Looking for Business

Image by liewcf via Flickr

I have noticed lately my mailbox has been a little fuller with advertising for credit cards. My old canceled credit card companies are sending me offers via Email. What's going on? Can someone tell Orchard Bank to leave me alone.
 
The new credit card rules are enforce now. Maybe their profits are going down a little and their looking for new business. Or maybe they really like me or they are looking to get back some old customers. Even my old friend CITI Bank sent me two new cards from my old accounts. They must like me again because last year they canceled all 4 of my cards. Now by magic two of my accounts have come back to life. I have even gotten new replacement cards from other card issuers, even though the card hasn't expired yet. I guess they want me to remember to use them. Somethings up, wonder what it is.

I saw over at NYTimes.com the reason why. A spokesman for Bank of America stated " We see deleveraging
 of the consumer" also adding that they see a more frugal consumer and a decreasing demand for credit. It seems we are losing our taste for the wonderful credit card. 

According to the BOA spokesman they are seeing a decline in loan balances of $37 billion dollars from a year earlier with $34 billion of that from the results of charge-offs. With a net decrease of $3 billion dollars in consumer debt balances. Whats the interest on $3 billion dollars. It's quite a bit of money they are losing because of us. With $34 billion in charge-offs  they are hurting a little bit.

Other credit card companies also are complaining that U.S. consumers are by and large deleveraging and are buying less and electing to use debit cards. The use of debit cards have increased greatly and really shot up at the beginning of the recession and is accelerating. I hope America has learned something from this recession and chooses to get out of debt.

College Students Dont Need Credit Cards

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We have a child heading off to college this week. We are not giving him a credit card to take with him. Most parents equip their child with one. If you do, it would be considered normal. Students are told that the card is only for emergencies. But to a student an emergency is a lack of donuts. You probably are thinking credit cards and students don't mix. Your right, the chance of abuse or immaturity is high. 
 
On campus they are exposed to the wiles of credit card applications. They're offered hats and t-shirts for a filled out credit card application. It's hard to say no to a nice hat. As a good parent it's our job to teach them about credit and making choices about staying out of debt when they have no income. But thankfully there is a new law that says you have to be 21 years old to open a credit card or get an adult co-signer. 
 
Parents hopefully realize co-signing makes you fully responsible if junior defaults on his account. Also if you co-sign you can monitor and keep restrictions on the account. On the other hand if junior doesn't pay, it will reflect on your credit score. 
 
Helping your child is good but doing everything for them is very bad. Sure they need to be educated about the responsibility of credit and debts. Having a credit card without a job is foolish. Having a credit card while in college is not necessary. 
 
Take this opportunity and use this experience to teach them to not use credit like it was cash. Teach them to use cash for purchases. For convenience using a debit card instead of a credit card. Teachable moments like this are great. 
 
Our son worked all summer and put money in the bank to use at school. Mom will be able to monitor this joint account and deposit money to cover expenses. Staying away from credit cards, saving money and living on less than you make is taught in our home. 
 
We won't participate in teaching our children to use credit cards as a crutch because of a lack of planning. The semester ahead has been anticipated and planned for. 

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• Credit-card limits mean students may need new source of funds (seattletimes.nwsource.com)
• Get Out of Credit Card Debt Once and for All (financialplan.about.com)
• Switching from Credit to Cash/Debit (mytotalmoneymakeover.com)
• Reasons You Shouldn't Co-Sign for a Credit Card (applyforacreditcard.com)