Archive for the ‘credit cards’ category

Rent And Mortgage Payments Made With Credit Cards

January 6, 2011

More and more people are paying their rent or mortgages with money borrowed from credit cards. The charity Shelter surveyed 2,202 people and found that 6% of those people had uses money borrowed from a credit to pay the rent or mortgage. Shelter reflected that borrowing money from a credit card company to pay these sort of bills is the “worst possible course of action” for householders.

A spokesman for the Council of Mortgage Lenders (CML) said the vast majority of cases would relate to rent payments, as regular mortgage payments were deducted from bank accounts rather than from credit cards. “Some 11% have used a credit card to pay their bills at some point. Despite recent sensationalist news headlines, only 2% of mortgagors have ever paid their mortgage on a credit card, with half of these paying off the balance at the end of the month.”

What is a charge card?

January 5, 2011

A charge card can be used in much the same way as a credit card; the definitive distinction between the two being that a charge card must be paid off in full each month.

Although this kind of credit might not be everyone’s cup of tea, charge cards can be incredibly useful for those who use them because the certainty of having to pay off your outstanding credit bill each month means that there is no real way you can fall behind and get caught up in dire financial situations. You simply borrow money and then pay it back each month, simple!

It is a simple agreement between you and the issuer which cites that the debt incurred on the charge account will be paid off at the end of each month. It is not hard to see why certain people would find more piece of mind with such an agreement, but again, it is essential that you are sure you will always have the necessary funds to pay off your balance in full as if you do not, you will most definitely fall into trouble.

Charge Cards As An Alternative To Credit Cards

December 7, 2010

If you have a secure and guaranteed income which is not likely to change, perhaps you might like to think about taking out a charge card as opposed to a credit card.

As is the case with all charge cards they should be taken on with caution because as the alternative to traditional credit cards, charge cards must be paid off in full each month-consequently the fees or fines for not doing so are generally higher than standard credit cards-this is definitely something to watch as you really must be prepared to pay off all your balance in full each month.

However, charge cards are a new alternative to spending and saving and in some ways, charge cards can be a better alternative to credit cards because knowing that you absolutely must pay your balance off in full each month generates more user responsibility and therefore you are less likely to fall behind on repayments and get hit by charges.

The bonus of the Charge Card is that they remove you from being subject to annual percentage rates. With this card yo can earn 25,000 complimentary bonus points if you spend up to $3,000 in the first three months. The more you spend, the more you earn!

However, just make sure you are able to cope with the monthly pay offs. The amount you are able to spend on this account will relate to various factors such as your credit record, account history and your personal income and your outgoings so not all customers will be accepted,

Would You Make a Claim?

September 9, 2010

Would you make a claim against your employer if you had an accident in the workplace that wasn’t your fault?

In Britain and many other countries (the US, Australia to name a couple) consumers are more confident than ever when it comes to their rights.  OK, so they may not be as happy to splash their cash on the high street just yet but when it comes to claiming compensation and their rights it seems that everyone is now an expert.

Critics argue that this culture of claiming is verging on an aggressive attack on many sectors and businesses that otherwise provide excellent services.

However, others weigh up that ordinary people do have rights and if they have suffered as a result of negligence on the part of someone else, they are entitled to their compensation.  There are claims services for every purpose today – from standard injury claims to more complex clinical negligence claims.

Financial Review for September

August 23, 2010

As students and schoolchildren look ahead (but not necessarily forward) to a new term, parents may be clearing up the financial clutter.  After a summer – with perhaps a break abroad – many professionals attempt to review their finances and start the ‘new term’ at work with a fresh approach.

While it is never a fun prospect to consider ones bank statements, credit card bills and savings, it is a sensible idea to regularly review your own money and make sure you are making – and getting – the most of it.

September is rarely as ‘poor’ as January with its post-Xmas hangover and battered credit, but there is a similarity especially for parents that have had to deal with ‘back to school’ costs and a family holiday too.

Get Proper Debt Advice

August 19, 2010

You may have been hit with rising debts and more money worries – unemployment figures are still increasing on a daily basis.  As those figures have increased, so have those of people seeking debt management advice.

But today it has emerged that the Office of Fair Trading is to close down a total of 27 websites who, according to them, are deliberately misleading consumers.  The websites have been accused of using names very similar to free agencies in a bid to give people an impression of a non-profit-making service.

The OFT are urging consumers to be vigilant and thorough when looking for debt advice.  Companies and websites are allowed to charge for their service, but must be in possession of a consumer credit license.  You can check if a company has this by looking at their Terms and Conditions – they may try to be vague in the main pages of the site but are required to put all information with the Terms and Conditions.  They must also adhere with OFT guidelines.

So make sure you shop around and do your homework before taking advice…

Heading for South Africa – How Will You Pay?

June 9, 2010

The financial world might be bemoaning the current ‘teetering-on-the-edge-of-a-double-dip’ situation, what with the European debt crisis and news like Finland returning to a recession in the first quarter (according to official data) – so with the World Cup around the corner, is there any good ground to splash out on drinks or better still, go to South Africa?

Banks around the world are being increasingly warned that credit card fraud could be rife during the World Cup.  With fans heading down South from all around the world, many will rely on their credit cards for making payments.  Wise?

According to foreign currency specialists, it is indeed best not to lug great wads of cash around when you are abroad – and by the sounds of it, South Africa might be one place where you ought to be particularly vigilant.  But using a credit card overseas can incur large fees and often, the currency conversion is done at a poor rate and with added ‘currency fees’ (in some cases up to 3%).

A better option is to go for traveller’s cheques – despite their cumbersome nature – because of the safety attached to them.  If your cheques get lost or stolen, they can be replaced quickly anytime.  Another way to pay could be the new prepaid currency cards that are doing the rounds.  Most of them are offered in GBP, USD or EUR but if you go for a sterling card then the conversion will be made at point of sale, into South Africa rands, at a competitive rate.

Before you leave, don’t forget that while safety is important, so is having fun!  Go England!