What is a Credit Card?
A credit card allows you to buy things even though you might not have the money to pay for it right away. The company that gave you the card lets you spend up to an agreed sum and then makes additional money available to you as you pay off what you''ve spent. You must pay at least a minimum amount by the due date, generally once every month. You will pay a finance charge or interest on any amount you do not pay by the due date.
Today our entire financial system relies on credit. Credit cards can help to make your life that little bit easier- you can use it to pay for goods or services, either over the phone, online or over the counter.
Credit cards can enable you to have that little extra spending power when and where you need it. In addition to paying for purchases you can also use your credit cards in order to withdraw cash from a cash machine, not only in this country but all over the world.
It is increasingly difficult to operate in the modern economy without a credit card. Credit cards allow people to manage emergencies, to shop conveniently in the High Street, by telephone or over the internet and are useful when travelling abroad.
With each credit card you will have a limit to the amount of money that you can spend on it. This is known as a ''credit limit''. You can withdraw money and pay for goods and services as much as you want up to your credit limit, effectively borrowing capital from your credit card provider.
Every month you will receive a credit card statement that will detail both your balance (the amount of money you have either withdrawn or spent) and any interest that has accrued upon it. You can then either pay off the full amount or make the minimum payment.
A credit card allows the cardholder to borrow as much money (up to their credit limit) as they like, when and where they like, without having to get permission from their bank manager.
All credit cards have finance charges for not paying your balance in full each month, but you could save a lot of money by shopping around for the credit card that offers you the best terms.
Shop for a card with an interest free period that gives you enough time to pay your bills on time without charging you interest. Credit cards with no interest free period start charging you fees as soon as you buy something on your credit card.
A credit card is convenient for making purchases. It is also the best way to create a credit history for you, and this is necessary to do things like buy a home.
It is very easy to lose control of your spending habits if you rely on credit cards too often. While they can be very useful, credit cards can also be risky. Even people who are usually good with their money get into trouble with credit cards. The problem is that people use their credit cards too often and let their debt add up. Then they can only pay back small amounts at a time. This ends up costing a lot of money in finance charges.
Before applying for a credit card, you should decide why you want one, and make sure you can use it wisely.
You may freely reprint this article provided the author''s biography remains intact:
About The Author
John Mussi is the founder of Direct Online Loans who help UK homeowners find the best available loans via the http://www.directonlineloans.co.uk website.', 127, 'What is a Credit Card?, Credit, Credit articles, Credit information, about Credit, what is Credit, Credit Information', 'What is a Credit Card? plus articles and information on Credit
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Credit Card Benefits and Drawbacks
Credit cards have both benefits and drawbacks. It is wise to consider both before applying for a credit card. While they can be very useful, credit cards can also be risky. Even people who are usually good with their money get into trouble with credit cards. A credit card can be useful, but may also end up putting you in a difficult financial situation if misused.
Here are some of the benefits of credit cards:
Withdraw cash 24 hours a day, anywhere in the world.
Buy online. It is the quickest and easiest way, and you are protected against credit card fraud.
Repay in regular instalments. Typically, these incur interest.
Usually, there is an interest-free repayment period, which you can use to repay your debt in full, interest-free.
One of the main benefits of using a credit card rather than a debit card is the protection provided by the Consumer Credit Act. This says that if you have problems with goods or services you can get your money back from the card issuer if you can''t get it back from the supplier.
Some cards provide purchase protection insurance, which pays out if something you have bought with the card is lost, damaged, or stolen within ninety days of the date of purchase.
A credit card can cost nothing - if you pick a card that doesn''t charge an annual fee and you always pay the bill in full every month.
A credit card can save you money if you choose one that earns you cash every time you buy something. How much cash you get back is calculated as a small percentage of the amount you have spent on the card. Some cards offer incentives other than cash - Air Miles or shopping vouchers, for instance.
Even if you do not pay your monthly bill in full, a credit card can be cheaper than running an overdraft on your current account, especially if your bank charges a monthly fee as well as interest when you overdraw.
Using a credit card can work out cheaper than using traveller''s cheques or foreign currency to pay for things abroad. This is because the exchange rate used by card companies to convert foreign spending into sterling is better than normal tourist rates. However, because of credit card charges for cash withdrawals, a debit card is better if you want to use plastic to buy currency, whether over the counter or from a foreign cash-machine.
You can give to charity for free if you sign up for a charity credit card.
Credit cards are often cheaper than loans for short-term borrowing. You pay interest on the remaining debt, not the full amount - and there are no early redemption penalties.
Credit cards offer flexibility to match uneven income and expenditure patterns: you choose what to pay off each month, between the minimum and the total outstanding.
Their consolidated accounting enables one cheque to settle multiple transactions ? while all appear neatly on one pre-prepared statement each month.
There is an automatic ''interest free'' period per statement period.
Credit cards enable remote purchasing via the internet, by telephone or mail order.
Credit cards can include additional benefits like insurance cover on purchases, cash-back, AirMiles, Nectar or Reward points, and holiday discounts.
Here are some of the drawbacks of using a credit card:
Credit cards can be unnecessarily costly.
Credit cards may be expensive for cash withdrawals
Credit cards may be expensive for foreign currency purchases.
Their credit limits can be insufficient for your requirements.
They encourage a ''pay now, worry later'' mentality and make it too easy to get into debt.
Credit cards are very open to fraudulent use.
You may freely reprint this article provided the author''s biography remains intact:
About The Author
John Mussi is the founder of Direct Online Loans who help UK homeowners find the best available loans via the http://www.directonlineloans.co.uk website.', 127, 'Credit Card Benefits and Drawbacks, Credit, Credit articles, Credit information, about Credit, what is Credit, Credit Information', 'Credit Card Benefits and Drawbacks plus articles and information on Credit
5:51 AM | | 0 Comments
Student Credit Cards 101
Almost all students have and use student credit cards. Some of the students use them wisely and build for them an early credit history but others accumulate lots of debts that would have to be paid off once the student life is over. Students that have a credit card should learn how to take charge and manage their own finances as soon as possible, because the time between teen years and adulthood is very short. So, the sooner a student starts managing his own financial matters the sooner he will develop useful financial skills. Student credit cards are no longer a privilege for wealthy students but now are considered a social entitlement.
A student can very easily obtain a student credit card. Offers for student credit cards are everywhere students are: in campuses, at social functions, in their mail boxes, in bookstores, etc. That is because credit companies consider students to be good customers. First of all they are loyal; once a student obtains a credit card, he is likely to keep this particular card for years to come and instead of getting other new cards they upgrade it every time they fill the need to do it. Nowadays, the conditions to obtain a student credit card are very weak, so more and more students have access to them even though they don''t have a steady source of income. And this is a second reason why credit card companies offer more and more credit cards to students: they usually can''t repay their debts in time. And this is what credit cards companies rely on; they make lots of money from late payment penalties, interest fees on unpaid credit card balances, annual fees and more. So, students that don''t repay their credit card balances in full each month are the best customers.
Every college freshman wants to have at least one credit card because it will help him very much during his college years; the student will be able to rent a car, buy books or concert tickets, provide himself help with medical or other emergencies and more. Apart from financial help during college years, student credit cards offer other types of help by building a credit history. Credit history is the record of all that happens in your financial situation throughout the years. Credit scoring is a system based on all that happens to your accounts: late payments, bill paying history, number and type of accounts, outstanding debts and more. If the credit history and scoring are good the student will more easily obtain a house or a car loan, certain types of financial jobs, insurance premiums and more other benefits. So, the student must pay his bills in full or in time, in order to benefit later of their first years of credit history.
The most difficult thing for a student is to choose from the large number of student credit card offers. And the best way for a student to choose a credit card for himself is to talk to other students and get advice from the ones that already have and use a credit card and compare credit card offers online. Before choosing a credit card, the student must be aware of the card''s terms of use. Most student that already have a credit card recommend for the others a card with no annual fee and the option to limit the amount to be spent. And apart from these safety measures, wise students that think of their financial future often take a personal finance course in order to learn all kinds of financial management skills that will help them throughout their entire life.
Students must be very careful when using their student credit cards; they always have to be cautious about the amount charged on the credit card and, at the end of the month, to review the amount of interest they have to pay monthly. It is also recommendable that the credit card balance to be paid as soon as received. If for some reason the balances cannot be paid in full, the student must pay at least the minimum payment required. If problems with paying the credit card balances appear, the student must ask help from a financial counselor that will always have a solution for him as student loan repayments are much more flexible than consumer loan repayments. And another thing students must be careful about is identity theft; the credit card or social security numbers should not be given to anybody over the phone. These are important information that cannot get into the hands of wrong people because will very much damage the credit history. So, we can consider that it is best for students to have a credit card starting with their freshman college years because, if used wisely, the credit card history built in this period will very much help them throughout their entire life.
This article has been provided courtesy of Creditor Web. Creditor Web offers great credit card articles available for reprint and other tools to help you search and compare credit card offers.', 127, 'Student Credit Cards 101, Credit, Credit articles, Credit information, about Credit, what is Credit, Credit Information', 'Student Credit Cards 101 plus articles and information on Credit
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Credit Card Tips
Here are some useful credit card tips for you to consider before applying for a credit card. Before applying for a credit card, you should decide why you want one, and make sure you can use it wisely.
More and more people use plastic as their main means of paying for goods and services. Today our entire financial system relies on credit. Credit cards can help to make your life that little bit easier- you can use it to pay for goods or services, either over the phone, online or over the counter.
A credit card makes it easy to buy something now and pay for it later. It''s much safer to use a credit card than to carry around cash. If you lose your credit card, you can ask your credit card company to cancel your card, and no one else can use it. But if you lose cash, your money is lost.
Credit cards are also convenient. You can use them to make hotel, car rental and other reservations. You can buy items over the phone or online. You can also use credit cards for emergencies, like unexpected car repairs, when you don''t have the cash to cover the expenses.
A credit card allows the cardholder to borrow as much money (up to their credit limit) as they like, when and where they like, without having to get permission from their bank manager.
All credit cards have finance charges for not paying your balance in full each month, but you could save a lot of money by shopping around for the credit card that offers you the best terms.
Shop for a card with an interest free period that gives you enough time to pay your bills on time without charging you interest. Credit cards with no interest free period start charging you fees as soon as you buy something on your credit card.
Finally, using a credit card gives you a credit history, which helps to get home loans and other credit in the future.
You may freely reprint this article provided the author''s biography remains intact:
About The Author
John Mussi is the founder of Direct Online Loans who help UK homeowners find the best available loans via the http://www.directonlineloans.co.uk website.', 127, 'Credit Card Tips, Credit, Credit articles, Credit information, about Credit, what is Credit, Credit Information', 'Credit Card Tips plus articles and information on Credit
4:56 AM | | 0 Comments
Identity Theft - How to Protect Yourself
"Like the tan? I got tons of sun on that Caribbean cruise. First class tickets to Florida and back! Nope, not an airline upgrade. 5-star service all the way, baby! Hotels, restaurants, theme parks?you name it! Look?I took pics with my new cell phone! Hey, let me know when you''re free to take a spin in the car ? it''s a 2005 sports model, fully loaded! Yours truly, Chad E. Charlatan, is going to the top! Nope, no job. But I didn''t pay for anything myself. I don''t care who Ms. Donna Knowe-Bedter is, but it''s not my fault if she doesn''t keep tabs on her credit card statements. One day I''ll thank her for being so rich!"
In a perfect world, everyone is honest, with good intentions.
We don''t live in a perfect world.
ID thieves are supreme opportunists. Read the news? Hackers can break into corporate computer systems and steal information on clients and customers. "Skimmers" can be attached to credit card readers, and used to store credit- and bank-card numbers. Identity thieves may pose as employers, landlords or even utility company representatives to get at your personal and financial info. Other thieves may use their employers'' authorized access to obtain credit reports or other information. Databases and other records can be stolen from employers; thieves may bribe fellow employees who may have access to important data. They may steal your mail and take credit card offers, tax information and other documents. "Dumpster diving" involves digging through garbage to find information such as bank statements, or credit card information. And there''s always the age-old method of simply stealing your wallet or purse.
New ways of stealing your identity pop up frequently. "Phishing" became prominent in 2003 and 2004: well-designed emails and websites convince victims to provide information. Emails look legit, but release any information and the nightmare begins. The cost? Damages now top $1 billion per year. How''s that for a nightmare?
Thieves get new phone services, auto loans and credit cards using stolen information. Victims may find their mailing addresses changed, and their credit ruined. ID thieves can file for bankruptcy in the victims'' name to escape debt, and drain accounts by counterfeiting checks and debit cards. They can also open bank and credit card accounts using their victims'' names.
Your name may be given to the police during an arrest. If the real thief is released, and fails to arrive for a court date, you may be arrested. And out-of-pocket costs to clean up the mess can be staggering.
Be savvy, capiche? Thoughtful planning can prevent the pain of a stolen ID.
* Buy a shredder. Shred documents with your name, personal information such as social security numbers, phone numbers, addresses, birthdates, credit applications, financial documents, and medical and insurance information. Whole documents can be used against you. Confetti can''t.
* Get your credit report. Verify it. Manage this tool carefully, and use it for protection. It''s worth it.
* Secure your computer against online theft. Your PC is a gateway to private information. NEVER leave an online connection open if you are away from your computer. Use a firewall.
* Change passwords often. Use passwords with numbers and symbols that are easy for you to remember, but hard for someone to figure out.
* Some programs allow the PC to fill out forms automatically. Convenient, but your PC may be hacked for info. Disable this feature.
* Call your credit card companies and make sure there are no surprises on any of your credit cards, then request that restrictions be placed on each card. Example: you can request for no phone charges, or limits on single purchases. Violating these restrictions stops the transaction. Nightmare avoided.
* Mailbox secure? Stealing mail is one of the easiest ways to steal your ID. Get a lockable USPS-approved mailbox.
* Be extremely picky about giving out your Social Security Number. Resist giving out that very personal piece of information. Check the privacy act of 1974. Homework: go to http://www.faqs.org/faqs/privacy/ssn-faq/ on the web for more information.
* Other information, like your mother''s maiden name, seems harmless; those items are often used as verification of ID. Don''t give it out. Keep yourself to yourself, and stay educated.
Having your ID stolen is a terrible experience, and consumes much time, finance and energy. For your own sake, the sake of your sanity and your safety, set aside a few minutes to follow the advice above. Protect yourself the next time someone says, "?and your name is?.?"
To send comments or to learn more about Scott Pearson''s Investment Management services, visit http://www.valueview.net
Scott Pearson is an investment advisor, writer, editor, instructor, and business leader. As President and Chief Investment Officer of Value View Financial Corp., he offers investment management services to a wide variety of clients. His own newsletter, Investor''s Value View, is distributed worldwide and provides general money tips and investment advice to readers both internationally, and in the U.S.', 127, 'Identity Theft - How to Protect Yourself, Credit, Credit articles, Credit information, about Credit, what is Credit, Credit Information', 'Identity Theft - How to Protect Yourself plus articles and information on Credit
4:56 AM | | 0 Comments
Debt Collectors; And what you can do to Get Them Out of your Life
FTC opinion letter on validation Section 809(a) of the FDCPA, 15 U.S.C. § 1692g(a)
This will be a pretty long lesson and will cover an integral part of validation which is the receipt of the initial or first contact with the debtor by a collector which usually gets thrown in the trash can if the debtor has not the funds to pay. That is a very serious mistake. One should never throw those collection letters away. They may very well be a vital part of your defensive strategy later down the road.
This lesson is taken from a part of an FTC opinion letter on validation and tells us what that first letter must contain at the very least, and what it must do and must not do so this is an important lesson indeed..
This course was originally designed for attorneys and was designed to teach them avoidance of problems. Naturally, we use their lessons against them and do all we can to get them to screw up so they can be sued. You will find a lot of ingenious tricks and traps can be devised to make them goof it up and lose their collection efforts and their cases against you.
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SECOND ISSUE:
Where an attorney debt collector institutes legal proceedings against a debtor but has no prior communications with the debtor, are the requirements for the validation of debts set forth in Section 809 of the FDCPA supreme to state law or state court rules that otherwise prohibit the inclusion of the validation notice on court documents? In responding to this issue, the Commission notes first that Section 809(a) of the FDCPA, 15 U.S.C. § 1692g(a), provides:
(a) Within five days after the initial communication with a consumer in connection with the collection of any debt, a debt collector shall, unless the following information is contained in the initial communication or the consumer has paid the debt, send the consumer a written notice containing ?
(1) the amount of the debt;
(2) the name of the creditor to whom the debt is owed;
(3) a statement that unless the consumer, within thirty days after receipt of the notice, disputes the validity of the debt, or any portion thereof, the debt will be assumed to be valid by the debt collector;
(4) a statement that if the consumer notifies the debt collector in writing within the thirty-day period that the debt, or any portion thereof, is disputed, the debt collector will obtain verification of the debt or a copy of a judgment against the consumer and a copy of such verification or judgment will be mailed to the consumer by the debt collector; and
(5) a statement that, upon the consumer''s written request within the thirty-day period, the debt collector will provide the consumer with the name and address of the original creditor, if different from the current creditor.
Section 803 (2) of the FDCPA, 15 U.S.C. § 1692a(2), defines the term "communication" as "the conveying of information regarding a debt directly or indirectly to any person through any medium." In its Staff Commentary, Commission staff stated that the term "communication" "does not include formal legal action (e.g., filing of a lawsuit or other petition/pleadings with a court; service of a complaint or other legal papers in connection with a lawsuit, or activities directly related to such service)
" 53 Fed. Reg. at 50101, comment 803 (2)-2. Similarly, in the introductory portion of the Staff Commentary, Commission staff opined that "Attorneys or law firms that engage in traditional debt collection activities (sending dunning letters, making collection calls to consumers) are covered by the FDCPA, but those whose practice is limited to legal activities are not covered."
(3) Id. at 50,100. Seven years after the Staff Commentary was issued, the United States Supreme Court held that the FDCPA''s definition of "debt collector," Section 803(6), 15 U.S.C. § 1692a(6), "applies to attorneys who ''regularly'' engage in consumer-debt-collection activity, even when that activity consists of litigation." Heintz v. Jenkins, 514 U.S. 291, 299 (1995).
In arriving at this conclusion, the Court explicitly considered and rejected Commission staff''s introductory remark regarding the coverage of litigation attorneys. Id. at 298.
In light of Heintz, the Commission concludes that, if an attorney debt collector serves on a consumer a court document "conveying information regarding a debt," that court document is a "communication" for purposes of the FDCPA.
(4) If an attorney debt collector has had no prior communications with a consumer before serving a summons or other court document on the consumer, that document would constitute the "initial communication" with the consumer if it conveys information regarding a debt.
The attorney would therefore have to include the written notice mandated by Section 809(a) (often referred to as the "validation notice") in the court document itself or send it to the consumer "within five days after the initial communication." According to the ACA''s Request, some "state laws or state court rules prohibit the inclusion of additional language such as the validation notice on documents filed with courts." The association asks whether the requirements of Section 809(a) are "supreme to," and thus preempt, these state laws or state court rules. Id. Preemption cases generally proceed from "the starting presumption that Congress does not intend to supplant state laws." New York State Conference of Blue Cross & Blue Shield Plans v. Travelers Ins. Co., 514 U.S. 645, 654 (1995).
(5) According to the Court in English v. General Electric Co., 496 U.S. 72 (1990): State law is pre-empted under the Supremacy Clause, U.S. Constitution Article VI, cl. 2, in three circumstances.
First, Congress can define explicitly the extent to which its enactments pre-empt state law. Pre-emption fundamentally is a question of congressional intent, and when Congress has made its intent known through explicit statutory language, the courts'' task is an easy one.
Second, in the absence of explicit statutory language, state law is pre-empted where it regulates conduct in a field that Congress intended the Federal Government to occupy exclusively. Such an intent may be inferred from a "scheme of federal regulation . . . so pervasive as to make reasonable the inference that Congress left no room for the States to supplement it," or where an Act of Congress "touches a field in which the federal interest is so dominant that the federal system will be assumed to preclude enforcement of state laws on the same subject." . . . .
Finally, state law is pre-empted to the extent that it actually conflicts with federal law. Thus, the Court has found pre-emption where it is impossible for a private party to comply with both state and federal requirements, or where state law "stands as an obstacle to the accomplishment and execution of the full purposes and objectives of Congress." Id. at 78-79 (omission in internal quotation in original) (citations omitted).
The preemption provision of the FDCPA, Section 816, 15 U.S.C. § 1692n, provides: This title does not annul, alter, or affect, or exempt any person subject to the provisions of this title from complying with the laws of any State with respect to debt collection practices, except to the extent that those laws are inconsistent with any provision of this title, and then only to the extent of the inconsistency. For purposes of this section, a State law is not inconsistent with this title if the protection such law affords any consumer is greater than the protection provided by this title.
The Commission does not believe that this section expressly preempts state laws and court rules that prohibit attorney debt collectors from including validation notices in court documents. The quoted provision makes express that Congress did not intend to preempt the field, but allowed only for conflict preemption. However, there is no conflict preemption here. First, there is no conflict preemption based on impossibility of compliance because it is possible for attorney debt collectors to comply with both the federal provision and the state provisions.
(6) Instead of including such notices in court documents, attorney debt collectors in jurisdictions that prohibit validation notices in court documents may deliver the notices to consumers via some other medium -- either before serving the court document on the consumer or, if the court document is truly the first communication with the consumer, within five days of serving the court document.
(7) Second, there is no conflict preemption based on state law standing as an obstacle to the full accomplishment and execution of Congressional purposes and objectives. As Congress declared in Section 802(e) of the FDCPA, 15 U.S.C. § 1692(e), the purpose of the panoply of protections under the federal debt collection statute is: to eliminate abusive debt collection practices by debt collectors, to insure that those debt collectors who refrain from using abusive debt collection practices are not competitively disadvantaged, and to promote consistent State action to protect consumers against debt collection abuses.
The state provisions about which you inquire do not prevent consumers from receiving the full panoply of protections from abusive debt collection practices afforded by the FDCPA. The only FDCPA provision that could be affected by these state laws and court rules is Section 809(a). As noted above, an attorney debt collector who is prohibited from including the validation notice in court documents may deliver the notice to consumers before serving the consumer with the court document or, if the court document is the first communication with the consumer, within five days after serving the court document.
Thus, even in a jurisdiction that prohibits validation notices in court documents, a consumer will receive the validation notice and learn, for example, that the debt collector must provide the consumer with written verification of the debt if the consumer disputes the debt within thirty days.
State legislation that prohibits validation notices in court documents also does not stand as an obstacle to the promotion of "consistent State action to protect consumers against debt collection abuses." Consumers will receive their validation notices in jurisdictions that prohibit validation notices in court documents as well as in jurisdictions that permit the practice.
After reviewing state laws and court rules that prohibit validation notices in court documents under a preemption analysis, the Commission concludes that such state legislation is not preempted by the FDCPA. By direction of the Commission. Donald S. Clark Secretary Endnotes
1. Section 809(b), 15 U.S.C. § 1692g(b), provides: If the consumer notifies the debt collector in writing within the thirty-day period described in subsection (a) that the debt, or any portion thereof, is disputed, or that the consumer requests the name and address of the original creditor, the debt collector shall cease collection of the debt, or any disputed portion thereof, until the debt collector obtains verification of the debt or any copy of a judgment, or the name and address of the original creditor, and a copy of such verification or judgment, or name and address of the original creditor, is mailed to the consumer by the debt collector.
2. In the Staff Commentary on the Fair Debt Collection Practices Act, 53 Fed. Reg. 50097 (1988) ("Staff Commentary"), and staff opinion letters, Commission staff have consistently read Section 809(b) to permit a debt collector to continue to make demands for payment or take legal action within the thirty-day period. See 53 Fed. Reg. at 50,109, comment 809(b)-1 ("A debt collector need not cease normal collection activities within the consumer''s 30-day period to give notice of a dispute until he receives a notice from the consumer."); letter from John F. LeFevre, FDCPA Program Advisor, to S. Joshua Berger (May 29, 1997): We interpret the "thirty-day period" as a period within which consumers must dispute their debts in writing in order to avail themselves of their Section 809(b) rights, but not as a "grace" period.
Thus, we believe that there is nothing in the Act that prevents you from filing suit during this period, so long as you do not make any representations that contradict Section 809(b).
Kenneth M. DeLashmutt "Predatory Lending Defense Specialist"
email: educationcenter2000@cox.net
website: http://www.educationcenter2000.com
Mr. Kenneth M. DeLashmutt is a recognized Predatory Lending Defense Specialist and an authority on the subject of predatory lending practices, foreclosure defense, consumer protection and debtor''s rights.
He has more than 10 years experience in the area of consumer protection related to predatory mortgage lending practices and debt resolution. He has provided regulatory consulting services nationwide to financial institutions, consumers and regulatory agencies as well as real-estate and financial services organizations.
Areas of Expertise include: Banking Operations and Administration; Lending Policies and Laws to Protect Consumers, Mortgage Brokers and Mortgage Lender Predatory Lending Custom & Practice; Credit Administration; Bankruptcy and Foreclosures; Trust & Fiduciary Issues / Operations; Real Estate Transactions; Consumer Protection Litigation and Foreclosure Defense. email: educationcenter2000@cox.net website: http://www.educationcenter2000.com', 134, 'Debt Collectors; And what you can do to Get Them Out of your Life, Debt-Relief, Debt-Relief articles, Debt-Relief information, about Debt-Relief, what is Debt-Relief, Debt Relief Information', 'Debt Collectors; And what you can do to Get Them Out of your Life plus articles and information on Debt-Relief
8:35 PM | | 0 Comments
Start Small and Your Wealth Will Get Bigger
We''ve all heard the phrase, "You have to start somewhere." Nothing could be truer of creating wealth and prosperity in your life. Sometimes the idea of becoming wealthy can seem so overwhelming that we don''t know where to begin. After all, if we''re up to our eyeballs in debt or barely making it, how can we possibly think about getting wealthy?
Start small. This is one of the greatest wealth creating habits. If an oak tree can spring forth from a miniscule acorn, a money tree can certainly grow from a tiny bit of seed capital. Starting small can work in two ways to generate wealth: saving small amounts and investing small amounts.
Let''s start with the savings end of the equation. If you''re spending equal or more than your income each month (and most people are), then you need to slowly decrease your spending. It''s easier than it seems-just start small. Each month, choose one way in which you will decrease your spending. For instance, if you go out to eat once a week, see if you can cut that down to just once or twice a month. Are you saving a whole lot? No. But you ARE saving, and that''s what''s important. It''s also important that you don''t spend more in another area of your life to "make up" or reward yourself for spending less in your chosen area. If you consistently spend less each month, you will eventually begin to make headway. This wealth creating habit will help you develop your wealth slowly but constantly.
The great thing about spending less each month is that the results are cumulative. Let''s say the first month you decide to eat out half as much as you usually do, saving you $20 a month. The second month, you decide to spend less on entertainment by switching from your premium cable service to the less expensive service. This switch saves you $10 a month, plus you save the $20 from going out to eat less. You saved a total of $30 the second month, and $20 the first month ? that''s $50 in just 2 months. Now, let''s carry that further. If you were to reduce your expenses by $15 each month (cutting an additional $15 of expenses each month), by the end of the year you would have saved $1,170!
If you''ve got thousands in debt looming over your head, $1,170 may not seem like much, but you have to start somewhere. Starting small and being patiently methodical is better than never starting at all! Plus, every month your level of savings increases until your small start becomes a giant tidal wave of savings. This will help you get out of debt faster and begin building your wealth. When you start saving, even in small amounts, you will have implemented another great wealth creating habit!
About The Author
Stephanie Yeh is deeply committed to the study and experience of prosperity and to helping other people achieve and experience prosperity. With the help of a strong 15-year network marketing business, Stephanie and her partner have helped many people achieve their prosperity goals. Her current project, the Journeyman Wealth Program, is aimed at helping 15 people a year fully achieve their dreams. Stephanie''s Prosperity Abounds website works on the basic principle that "You are the creator of your own reality!". Get more details on her website at http://www.prosperity-abounds.com.
info@prosperity-abounds.com', 134, 'Start Small and Your Wealth Will Get Bigger, Debt-Relief, Debt-Relief articles, Debt-Relief information, about Debt-Relief, what is Debt-Relief, Debt Relief Information', 'Start Small and Your Wealth Will Get Bigger plus articles and information on Debt-Relief
8:34 PM | | 0 Comments
Mr. Cheapies Frugal Budget Tips
So you feel like a hamster spinning your wheel? The faster you run, the faster the wheel spins. Just when you get a raise, you notice the price of hamster wheels jumps!
Mr. Cheapie is here with his super-charged budget-cutting tips.
One of the biggest wastes of money is restaurant meals. You can cook a meal at home for about 2 cents a plate. Just put leftovers in the microwave, and Presto!
Those same leftovers cost a lot more at a restaurant. They call it "the buffet", and they sell it to you for $10.95.
Consider also the steak dinner that costs, say, $7 at home. At the restaurant, you pay $13.95 for the same meal. Or, if you want fancy napkins, $39.95.
Plus tax.
Funny thing about eating at home; you don''t pay tax. But step into a restaurant, and guess who jumps in: "Hello, my name is Taxman. I''ll be your waiter tonight. Would you like to start with something to drink? Perhaps a very nice glass of wine? That will be 50 cents, plus the price of the wine, of course."
"Why would you tax my wine?" Mr. Cheapie wonders. "It''s not like the government made it."
"Who do you think keeps this country free and safe so that you can enjoy your wine?" Taxman demands. "Do you think Saddam Hussein would let you drink wine if he was still in power?"
"I don''t see how he could stop me."
"Hah!" Taxman replies. "He has spies everywhere. He knows you drink wine and he has targeted this very bottle to self destruct."
"Actually, I don''t drink wine. His spies must run on the same technology as his scud missiles," Mr. Cheapie muses. "How about a steak dinner?"
"An excellent choice," Taxman beams. "That will be $1.73, plus the price of the meal."
"Now what?" Mr. Cheapie demands. "Are you saying that Saddam is targeting my steak."
"Of course not," Taxman giggles. "We have him locked away. But watch out for North Korea."
"Why?"
"North Koreans are starving," Taxman explains. "They don''t have steaks."
"Ah, so the North Korean government wants to take my steak and give it to their citizens."
"Not a chance. That would violate the official North Korean policy of starvation for all. They would never feed your steak to the people. But they would hold it up to taunt them," Taxman grins. "Then they would throw it into the fire to fuel a nuclear missile trained on this very table you are sitting at."
"Which is why you need to tax my steak."
"Exactly," Taxman nods.
"It''s like a security deposit."
"That''s right," Taxman smiles.
"It''s protection money."
"You understand," Taxman winks.
"It''s your tip."
"That''s what I sa ... no it''s not! It''s national defense," Taxman insists.
At home, you never have to tip the microwave. But, at the restaurant, your waiter expects 15%.
Mr. Cheapie has discovered a legal loophole to save 15% on your restaurant bill. According to a national Mr. Cheapie survey, your plate usually has 15% too much food on it. Set aside 15% of your meal. When your waiter comes to collect his tip, pay him in food. Your waiter raved about today''s special, so Mr. Cheapie is sure he will appreciate having some for himself.
If Taxman is your waiter, don''t actually give him the food. Just taunt him with it -- then mail it to North Korea. Then they won''t have to blow up your table to get it themselves. Why pay for national defense when the postal service can protect your freedom to eat for just the cost of a stamp?
Aren''t you glad Mr. Cheapie offers such useful, free advice?
About The Author
David Leonhardt - sign up for his weekly satire column up at http://www.TheHappyGuy.com/positive-thinking-free-ezine.html or read more columns at http://www.TheHappyGuy.com/self-actualization-articles.html.
Join in the happiness at http://www.thehappyguy.com, info@thehappyguy.com', 134, 'Mr. Cheapies Frugal Budget Tips, Debt-Relief, Debt-Relief articles, Debt-Relief information, about Debt-Relief, what is Debt-Relief, Debt Relief Information', 'Mr. Cheapies Frugal Budget Tips plus articles and information on Debt-Relief
8:33 PM | | 0 Comments
Types of Credit Cards
There are a whole variety of different types of credit cards available which can make choosing the right one a very confusing experience. In order to help you decide, listed below is a useful breakdown of the various types of credit cards available.
Standard Credit Cards
Standard credit cards work as you might expect - with the cardholder using the card in order to pay for goods and services up to their agreed credit limit. Repayments are made once every month which must at least cover the agreed minimum repayment. These repayments will cover not only the capital borrowed but also the interest and extraneous charges payable upon the amount borrowed, usually referred to as annual percentage rate. Standard credit cards should not be confused with debit cards where transactions are charged directly to your current account.
Charge Cards
Charge cards work in the same way as normal credit cards with one difference, the balance of the charge card must be paid off in full every month. Charge cards are most regularly issued to either businesses or to consumers who may have had a bad credit history in the past. If you have a poor credit history then a charge card might be offered to you because the full monthly repayments would preclude spiralling debt. Charge cards are also popular with the wealthy consumer as this sort of card can offer credit practically without boundaries. It should be noted that if the cardholder does not pay off their balance once a month as required then they could incur very hefty fines.
Platinum and Gold Credit Cards
Platinum and Gold credit cards are only available to applicants who earn a certain level of annual income and, accordingly, offer a number of benefits to the cardholder which will vary from provider to provider. Higher credit limits are usually associated with these types of credit card. If you fall into a higher income bracket and have a good credit history then you will be able to benefit from the advantages that such a credit card offers.
Store Card
A variation on the credit card, a store card will allow the cardholder to make purchases with a particular retailer on a credit account. The cardholder can then effectively buy products without paying for them until a later date, when it is most convenient for them. You will often be offered discounts on the goods that you buy with a store credit card but it should be noted that the interest charged on such cards are usually extremely high. This is an area that you must be sure to look into with prudence if you are considering obtaining; you might find that the disadvantages outweigh the advantages.
Reward Credit Cards
Reward credit cards, or loyalty cards, operate in a similar way to charity cards except that the main recipient of any benefits is the credit cardholder. Incentives may include cash bonuses, points, discounts and Air Miles. With this type of credit card it is important that you think logically about the rewards being offered, and work out exactly how much you will need to spend on your credit card in order to reap the benefits.
Charity Credit Cards
Charity credit cards offer all the usual benefits of a regular credit card but also donates a particular percentage of what you spend to the charity to which it is affiliated. These charity donations are made at no extra cost to the cardholder and the card allows consumers to help a good cause simply by spending money in the way they always would. You can obtain credit cards for a whole range of diverse charities as well as organisations such as football clubs or universities.
You may freely reprint this article provided the author''s biography remains intact:
About The Author
John Mussi is the founder of Direct Online Loans who help UK homeowners find the best available loans via the http://www.directonlineloans.co.uk website.', 127, 'Types of Credit Cards, Credit, Credit articles, Credit information, about Credit, what is Credit, Credit Information', 'Types of Credit Cards plus articles and information on Credit
5:27 AM | | 0 Comments
Guide to Credit Terms
Listed below is a useful guide to credit card terms. It is a list of definitions of credit card terms that may or may not be familiar to you.
Annual Fee
Various card issuers charge an annual fee, which can help offset costs that issuers incur in maintaining accounts and providing services.
Annual Percentage Rate (APR)
Stands for ''annual percentage rate''. A figure, expressed as a percentage, which incorporates the interest charged upon the credit card as well as any additional fees.
Association for Payment Clearing Services (APACS)
The banking industry body that oversees money transmission and payment clearing activities in the UK.
Automated Teller Machine (ATM)
Another term for a cash machine.
Balance
The total amount that you owe your credit card provider and includes charges such as interest and fees.
Balance Transfer Rate
The interest rate that will be charged on any balance transferred from a previous credit card onto a new one.
Cash Advance
Withdrawing money from a cash machine using your credit card. There is usually a charge imposed for this service. A cash advance is different from a withdrawal you make with your ATM card.
Charge Card
This is a type of credit card often favoured by businesses on which the balance must be paid off in full each month.
Credit Limit
This is the maximum amount you can borrow using your card.
Credit History
A record of how you have paid accounts in the past; used as a guide to determine whether you''re likely to pay accounts on time in the future.
Credit Reference Agency
Organisations that specialise in providing credit reports that assess an individual or business''s credit risk.
Credit Report
An assessment of an individual or a company''s credit risk. These reports are composed using a variety of informational sources and are used by lenders in order to assess applicants.
Finance Charges
The price paid to a lender for the use of borrowed money.
Fixed Rate
A set annual percentage rate that does not change in response to interest rate changes and conditions.
Interest
The charge that the lender imposes on the borrower for the granting of credit.
Interest Free Period
The period during which no interest will accrue on credit card transactions.
Period
The period during which the Introductory Rate applies to balances outstanding on your account.
Introductory Rate
A special annual percentage rate that applies for only a limited time.
Minimum Payment
This is the minimum amount that you will need to pay back each month on your credit card balance.
Online Banking
Online systems enable you to access a host of banking services from a personal computer by connecting with the bank''s computers over the Internet.
PIN
Stands for ''personal identification number'' and is issued to a credit card holder in order to enable them to use cash machines to withdraw money.
Rewards Program
A point accumulating program based on purchases or transactions made on your card.
You may freely reprint this article provided the author''s biography remains intact:
About The Author
John Mussi is the founder of Direct Online Loans who help UK homeowners find the best available loans via the http://www.directonlineloans.co.uk website.', 127, 'Guide to Credit Terms, Credit, Credit articles, Credit information, about Credit, what is Credit, Credit Information', 'Guide to Credit Terms plus articles and information on Credit
5:25 AM | | 0 Comments
What You Need to Know About Credit Reports
You hear people talk about credit reports all the time but do you know what they are really all about? Well, if you have ever been turned down when applying for a credit card or a loan it is high time you learned all about your credit report and how you can get it working for you instead of against you.
Let''s start off by explaining what your credit report actually is. Your credit report is a public record of all of the transactions concerning any money you may gave borrowed in the past. Any payments that you make on time or late, will show up on this report as well. Any tax liens or bankruptcies are on there as well. Your credit report even notes each time your report has been requested by someone or some company.
The reason that this report is so important is that this is how most lenders make their decision about whether you are a good credit risk or not. If you have a history of not paying your debts, they are obviously not going to want to give you any money because they know they will have a hard time getting it back from you. If you have poor credit you will find it difficult to get any credit cards or loans, even employers and landlords are accessing credit reports these days.
Everyone should request a copy of his or her report at least once a year. This is a simple task, all you need to do is contact one of the three major credit reporting agencies and ask them for a copy. This will not cost you anything but the copying expense and the stamp. You can contact these agencies online at:
Experian (located at www.experian.com)
Trans Union (located at www.transunion.com)
Equifax (located at www.equifax.com)
It is a good idea to get a report from all three of these agencies because they are not always the same. Once you get your report you will want to check it over for any errors or discrepancies. If you find any be sure to contact your creditors right away so that they can fix the problem.
According to the law you are entitles to receive one free copy of your credit report each and every year sot here is a chance that you will have to pay for the other two. But there is a chance that you will be eligible to get free reports if you meet certain criteria.
This criteria is as follows:
You have been the victim of identity theft
You are on welfare
You are unemployed
You have been denied credit recently
If your credit report is not a good-looking one at all there are some things that you can do to fix it up. First off, as I mentioned before if you see any errors report them right away, but if the black marks you see are all legitimate claims you will have to do some serious repair work. You cannot fix your credit overnight, no matter what anyone tells you, it is going to take some time and some effort.
If you just cannot seem to get things together enough to start making all of your payments on time each month you can contact a credit counseling service. They can help you to manage your debt successfully.
Having good credit is very important and the truth of the matter is that it is only going to get more important. Now is as good a time as any to get things under control don''t you think?
Martin Lukac, represents, #1 Loans USA, a finance web-company specializing in real estate/mortgage market. We specialize in daily updates, rate predictions, mortgage rates and more: http://www.1LoansUSA.com', 127, 'What You Need to Know About Credit Reports, Credit, Credit articles, Credit information, about Credit, what is Credit, Credit Information', 'What You Need to Know About Credit Reports plus articles and information on Credit
5:25 AM | | 0 Comments
Are You The Only One Using Your Name?
Identity theft has become an epidemic. Millions and millions of purses and wallets are stolen everyday and many of them are not just taken for the money inside. Thieves can use your credit cards to buy whatever they want to and whose credit does it ruin? Yours. Now, you are probably thinking about how easy it is or you to cancel your credit card, and you have protection through your issuer, but do you realize that by using your drivers license these thieves can get a whole new credit card? One you don''t even know about? If this happens to you, you will find that it is anything but easy to fix. Proving that your identity has been stolen can be extremely difficult to prove and getting your credit back up to snuff is next to impossible.
This terrible crime is so prevalent that it is something that we all should educate ourselves about so that we can prevent it if at all possible or at least know what to do once it has happened.
One of the simplest ways to safeguard against identity theft is to keep your personal information to yourself. Don''t give out much information, ever especially on the phone or online. It may be okay for you to give some information if you made the call to a company that you trust but if you are on the receiving end of the call forget it, this person could be anyone from anywhere. You have probably been asked for your Social Security Number when applying for credit over the phone or on the Internet, but you do not have to give it out. Ask the person or company you are dealing with if there are other options for you to do instead.
You might want to keep a detailed list of your credit card companies in a place that you will be able to find them quickly in case your cards ever get stolen. The sooner you report the theft to them missing the better off you will be. If you wait and the thief maxes out your card you could face taking some responsibility.
Getting a copy of your credit report on a regular basis will help you to nip any credit card fraud in the bud. If you do not go over your report you may miss what is going on and this is just giving the thieves more time to get away with their crime while getting yourself in even more trouble.
Everyone, and I mean everyone should invest in a paper shredder. Destroying all of your financial documents before you throw them away is another very important step to preventing identity theft. Identity thieves are great for going through people''s trash and picking out what they need. Don''t forget to shred all of the pre-approved credit card offers that you get in the mail all of the time. If these get into the wrong hands they could mean the end of your good credit.
Martin Lukac, represents, #1 Loans USA, a finance web-company specializing in real estate/mortgage market. We specialize in daily updates, rate predictions, mortgage rates and more: http://www.1LoansUSA.com', 127, 'Are You The Only One Using Your Name?, Credit, Credit articles, Credit information, about Credit, what is Credit, Credit Information', 'Are You The Only One Using Your Name? plus articles and information on Credit
5:24 AM | | 0 Comments
Rebuild Your Credit the Right Way the First Time
If you are one of the millions of people out there with bad credit you need to step up and start doing something to get yourself back into credits good graces. Having good credit is the only way to assure that you will get the best interest rates on any loans and credit cards that you apply for. If you have bad credit you may not even get approved, then what? If you applied for a loan it was probably for a good reason, if you don''t get what on earth will you do?
If you need to establish good credit here are some tips to help you succeed the first time out:
Get a copy of your credit report
Once you receive a copy of your credit report be sure to check it over carefully for any errors or omissions. If you see any at all, no matter how small they may seem, inform your creditors immediately. Give them a call first and then follow up with a letter. They will have thirty days from the time they receive your letter to get the problem fixed.
Lessen the number of credit cards that you carry
The fewer cards you have in your wallet the less money you will be tempted to spend.
For the love of green grass, pay your bills on time, every month If you don''t pay your bills (electricity, heating, etc.) on time this negative behavior will be put onto your credit report. This report is how creditors decide whether you are responsible enough to handle more credit or a loan.
Make your credit card payments on time
Just like with your ills, if you don''t make your payments it will be added to your credit report bringing down your credit score. You should always try to pay more than your minimum monthly payments if you can. This will help you to start chipping away at the principal debt, lowering the interest you have to pay each month.
If you are so far in debt that you cannot see a way out there are people and services that can help you. Get in touch with a reputable credit counseling service and see what they can do for you. Just be sure to check them out with your local Better Business Bureau first. There are many of these services out there that are just out to get your money from you and you don''t want to get sucked into one of these scams.
Rebuilding your credit is certainly possible, all you need to do is decide that it is something you are willing to buckle down and do. Then go for it.
Martin Lukac, represents, #1 Loans USA, a finance web-company specializing in real estate/mortgage market. We specialize in daily updates, rate predictions, mortgage rates and more: http://www.1LoansUSA.com', 127, 'Rebuild Your Credit the Right Way the First Time, Credit, Credit articles, Credit information, about Credit, what is Credit, Credit Information', 'Rebuild Your Credit the Right Way the First Time plus articles and information on Credit
3:52 AM | | 0 Comments
Pitfalls of the Credit Industry
The credit industry if rife with pitfalls. If you have ever owned a credit card you probably already have learned this the hard way. If you have not owned a credit card previously you should definitely learn all you can about these convenient little suckers (literally) before you commit to any contract.
While not all credit cards are the same many do have similar things in common. For instance they will all charge you interest on your purchases. The only difference there is the amount of interest and how long after you make your purchase that you begin getting charged the interest.
Most people assume that they will not be charged interest for at least a month. This is called the grace period. The thing is that not all credit cards have the same length of grace period. Some companies have 15-day grace periods and others have none at all. This is the kind of thing that you need to find out before you ever make a charge on your card.
When you apply for a credit card you may be offered a lower interest rate. This "introductory rate," as it is called, is most likely only temporary. Once you have owned the card for a few months your interest rate will go up substantially. And the thing is that credit card companies can change their interest rates whenever they feel like it. Did you know that? It''s true.
There is a clause in most credit card contracts that allow for the lender to up their interest rates at any time as long as they give you 15 days notice. No matter what rate is quoted in your contract they have this right.
One of the common myths people succumb to when using their credit card is the belief that paying of your balance every month is a good thing. Well, surprise, it''s not. People who do not carry a balance on their cards are considered to be "deadbeats/" That''s right the responsible, conscientious people are the bad guys. Creditors don''t like them because by paying off their balance all of the time they are not letting the lenders make any money off of them. The interest is why they give you credit in the first place, that is their bread and butter. If you were not paying interest why would they want to bother with you?
If you are a deadbeat there is a better chance of your credit card company raising your interest rate or even eliminating your grace period. You might even begin to be charged annual fees for your card. Credit is not free after all.
Credit cards are a great tool to have at your disposal. They can help you get out of a jam quickly and easily, but don''t let yourself get carried away by the convenience that they offer. Try to keep your credit card spending to a minimum and you will find in the end you are much better off.
Martin Lukac, represents, #1 Loans USA, a finance web-company specializing in real estate/mortgage market. We specialize in daily updates, rate predictions, mortgage rates and more: http://www.1LoansUSA.com', 127, 'Pitfalls of the Credit Industry, Credit, Credit articles, Credit information, about Credit, what is Credit, Credit Information', 'Pitfalls of the Credit Industry plus articles and information on Credit
3:51 AM | | 0 Comments
Why Does Your Credit Card Rate Keep Going Up?
Have your read your credit card contract through completely? Do you know when it is okay for your creditor to raise your interest rates? If you are not sure about how and when your rates can be affected over the life of your contract you should take a few minutes to read your contract thoroughly from beginning to end.
Creditors must have clauses in their contracts that give them the right to change your interest rates. And if your rates have gone up you can be pretty sure that they are there, you may have missed them on your first read through but they are there buried in the contract.
If even after reading your contract again you still cannot figure out just how your credit card issuer can do this to you ask yourself the following questions.
Have you been late paying your monthly credit card payment recently? If you have, your interest rate going up is most likely due to this factor. Whenever you are late making a payment the credit card company has the right to raise your interest rates.
Have you been late on any other debt payments? Any late payments can cause your interest rates to rise, even ones that are not associated with your credit card. Your creditors have access to your credit report and all payments that you make are on there, if they see you made a late payment to someone else it can get them concerned that you will do the same to them in the future. That is why it is so important to always make your payments on time every single month.
Has your credit card company merged with another company? Mergers can affect your contract. The acquiring company has the right to change the rules on you as long as they let you know what is going on and why.
It is amazing what credit card companies can get away with legally. All you can do is make sure that you understand the ins and out of your contract, that way you will not be stunned when you get hit with extra fees.
Credit cards are a big financial responsibility, before you sign for one decide if it is really the right thing for you financially.
When you sign your credit card contract you probably assume that the interest rate quoted in this contract is the rate that you will always be paying. This is not the case. Credit card companies have the right to up your interest rate. Knowing how and why can save you a lot of stress in the long run.
Martin Lukac, represents, #1 Loans USA, a finance web-company specializing in real estate/mortgage market. We specialize in daily updates, rate predictions, mortgage rates and more: http://www.1LoansUSA.com', 127, 'Why Does Your Credit Card Rate Keep Going Up?, Credit, Credit articles, Credit information, about Credit, what is Credit, Credit Information', 'Why Does Your Credit Card Rate Keep Going Up? plus articles and information on Credit
3:51 AM | | 0 Comments