Money Release: Making, Saving, Investing and Debt Management » Credit Cards

What is the Difference Between Visa and Mastercard?

Vic — Sat, 21 May 2011 15:38:26 +0000

Out of all the credit card companies that exist today, Visa and Mastercard are the two of the best known. Most people who use a credit card won’t really see a big difference between the two. Both cards are accepted in pretty much every country that accepts credit card payments, the only major difference would be what fees are charged.

Visa and MasterCard actually have very little to do with the services that their cards offer – that is handled by the bank issuing the card. A Visa credit card issued in Australia might be different than a Mastercard credit card issued in Australia. In all reality, both companies only handle the money part of the cards.

With that said, it’s for this reason that most people have not just one credit card, but several. If one of your cards is declined somewhere, you can use your other card and be on your way.

At the end of the day, if you’re only going to choose one of these credit card companies, it’s simply a preference. Just ask your bank what differences you can expect to find between Visa and Mastercard.

If you’re trying to decide which one you should get, I would say to get one of each, and just using one of them as your main card and having the second card just in case your main card doesn’t work. You would be surprised how many businesses accept one card but not the other.

The plus side of the cards being mainly differentiated by the bank is that you can negotiate what your card’s interest rates and the spending limit that your card has. Banks are happy to get any customer’s business that they can, so you don’t have to worry about them turning you down for trying to negotiate, either.

Top 10 iPhone and iPad Apps For the Investment Savy

Vic — Fri, 20 Aug 2010 05:23:21 +0000

The following blog entry is a guest post from Money Choices.

With mobile banking becoming the norm, mobile investment tracking is quickly following suit. The number of investment apps is rapidly growing, making sorting through them to find the perfect app that does exactly what you want it to do increasingly difficult. Following is the list of our choices for the ten best investment tracking tools available for the iPhone and iPad.

1. Stock TickerPicker (MF Software) priced at 14.99 is a powerful investment tool that allows the user to watch real time information. Support for NYSE/Nasdaq, international markets, a variety of chart views, customizable listing of favorite stocks, and Bollinger bands make this the app to use if you want to both keep a close eye on the market, and plan your future stock purchases.

2. DailyFinance (AOL) is compared to some of the most costly paid apps, yet this one is free. With real-time quotes and stock news, as well as a large selection of data available, this is one app that is worth your time to check out.

3. Morningstar (Morningstar, Inc.) is another free app that is useful for the research phase of your investment strategy. This app features market research and syncing with your Morningstar.com account.

4. FX360 (FX360) offers insight and tracking of the Forex market, as well as US Currencies and oil markets. This app features commentary from Kathy Lein and Boris Schlossberg, an economic calendar and the ability to sign up for FX News Alerts.

5. Forbes Intelligent Investing (Forbes) will keep you in the look of investing. While this app does not feature any real-time information, it does offer video of interviews, panel discussions and articles related to the word of investing. A free app that does not require any investment on your part to stay informed.

6. iStockManager (iStockManager) is a free app that allows you to link with your Ameritrade account and trade directly from your phone. If you do not have an Ameritrade account, you can still use this app for watching current market prices.

7. E*Trade Mobile Pro (E*TRADE Securities) This is a free app that allows the user to access their E*Trade account and also offers real-time trading, investment news and commentary and cash transfers to and from any banking institution.

8. Mint (Mint.com) is an all-around finance tracking tool that not only allows you to view your banking accounts, but your investment accounts, and it does this all for free. US only.

9. iFutures (Toughturtle) allows you to keep track of 100 different contracts in eight of the main markets. This flexible app, priced at 2.99, lets the commodities investor have the market at their fingertips.

10. BlackGold (Toughturtle) is free, but not feature free. This app tracks the current pricing of crude oil, and other commodities and includes a clean and easy to understand interface.

Whether you are a seasoned investor, or just getting your feet wet with penny stocks, these iPhone and iPad apps can help you to keep on top of the market.

For more Internet stuff and ways to make your money work hard for you then stop by Money Choices and check out all the best online savings accounts and low rate credit cards.

Advantages and Disadvantages of Using Credit Cards

Jay — Sat, 27 Mar 2010 06:26:27 +0000

Credit cards have become a major element of every working individual’s life. It is even used by children and teenagers as well because their parents allow them to become supplementary or extended credit card holders. However, it is advisable to often remind these young people on how to be responsible in using credit cards because the use of these cards may have its advantages and disadvantages. Let us learn more about on how to become responsible users of credit cards as we will know its different advantages and disadvantages in this article.

Credit cards have plenty of advantages. One of its greatest advantages is the permission it extends to people in doing huge purchases such as expensive cars, jewelries, book, shopping, and even school tuition fees. The cards also help in paying emergency bills such as hospital or medical bills resulting from accidents. On the contrary, credit cards also have its disadvantages. If the credit card holder cannot control the temptation and gratification of using credit cards, he or she is likely to do continuous purchases, which eventually will turn into debts. Once the purchases are huge, the credit card holder may not be able to pay back the amount of money he spent, including the charges or fees of using the cards. Because of this, an individual may experience personal finance problems.

Although credit card is a great idea for many people, it still gets to ruin many people’s financial status. One reason for this is that people do not use the cards in the right manner. They often spend the entire balance of their credit cards as one time and then end up paying off the interests incurred. With this method, people barely made a dent on the overall principal balance of the credit card. This is not an effective way to manage money.

Aside from the great convenience that credit cards give, the cards also provide safety in dealing with actual cash. With credit cards, a person does not need to bring plenty of cash for his or her purchases. In some sense, credit cards are also very useful to people since most credit card companies offer protection act to consumers. The act covers money back guarantee to consumers once fraudulent purchases are made. Another advantage of using credit cards is that it entitles consumers for incentive benefits such as shopping points or air miles. In some cases, credit cards would often take a percentage of your purchases and give it to charities.

Having too many credit cards is not advisable. Aside from the temptation it brings, the great chances of being stolen are there. Keep in mind that your credit cards can also be used by other people when stolen. Other people would just have to forge your signature when making the purchases on your credit cards. As this happens, you will end up in mountain of debts that you have not made yourself. In addition, maintaining too many credit cards will not be easy as you will not be able to maintain the balances effectively as well as payments. On the contrary, credit cards can be your best buddy as long as you are using it the right way and you pay cash payments on time.

How to Choose the Best Credit Card

Jay — Mon, 08 Mar 2010 07:58:10 +0000

It’s no secret that there are seemingly countless credit cards available for people interested in acquiring one … or more. If you’d like to get a new credit card, the question you need to ask yourself is this: with so many to choose from, how do I pick the best credit card for me?

It’s not easy, but if you’re willing to invest a little time to conduct simple research – online is the best place to go – you’ll learn all you need to know about the cards that are available and you’ll be able to carefully review the benefits and costs associated with each card and then … make the right decision.

First, you need to know that there are two kinds of cards –

(1) 30-Day Loan Credit Card … the American Express Green Card is a good example. This card requires that you pay back whatever you have charged over the preceding thirty days. In essence, it provides you with a 30-day interest-free loan. The card does have requirements regarding income, work and credit history. In other words, you need to qualify for it and can be turned down.

(2) Revolving Credit Card … this is the card that most people carry. It could be a Visa or a MasterCard credit card. It doesn’t matter. You are generally required to pay back as little as 10% of your debt in any given month and the remaining balance is subject to interest charges. The interest charged by the bank that issued the card to you can be excessive or reasonable. It often depends on your credit history.

When you decide to apply for a credit card, it’s important that you understand – in advance – the terms being offered to you. Interest rates differ from one revolving credit card to another. It depends on the bank that issues the card. Importantly, penalties and late fees also differ from bank to bank. So … do your homework. Determine which credit card issuer is willing to offer you the best deal (lowest interest rate on purchases and on ATM withdrawals … most reasonable late fees and penalties).

It takes a little effort to find the best cards, but it’s definitely worth your trouble. Find the best card and you will save money, probably lots of it.

Of course, if you qualify, you are better served by applying for a card like American Express Green (30-day Interest-Free Loan). You can use that card and spend the bank’s money and then simply pay back that money after 30 days – no interest, no fees, no penalties … nothing.

Keep this thought in mind: Cards that include interest charges run the gamut from moderate to excessively-high interest rates. If your credit and work history is good, you will be able to qualify for – and get – a credit card that charges affordable interest on purchases and ATM withdrawals. And… you will save money – lots of it!

How to Use Your Credit Cards Wisely

Jay — Mon, 08 Mar 2010 07:52:52 +0000

There are two ways to look at credit cards and what they can mean to you. One: they are a very useful tool that provides you with instant credit, a chance to purchase goods or services (or pay important bills) when you don’t actually have cash on hand.

Two: they are dangerous “pieces of plastic” that don’t look like money, don’t feel like money, but can be used like money … money you often don’t have. The problem with credit cards is that in the wrong hands, they can be used foolishly creating substantial personal debt very quickly. It’s easy to use a credit card, much more difficult to pay back the money you’ve borrowed when you did use the card. The problem is simple: people use credit cards when they don’t have money to pay for the purchase they’ve made.

That’s a surefire method for getting into debt – FAST! The rule of thumb for credit cards should be as follows: if you don’t have the money to buy something for cash, you can’t afford to make the purchase with your credit card. It’s really that simple.

If you can’t pay for something with cash, you can’t afford to use your credit card. Follow that logical reasoning all of the time and you will avoid the “black hole” that swallows up so many credit card users and pushes them into debt that often lasts for years and years.

Credit card issuers know that people use their cards foolishly. That’s why they issue them so freely. A credit cardholder who pays late gets socked with late fees, high interest rates and penalties. The credit card company makes a fortune, the credit card user falls deeply into debt.

Here’s how to avoid that problem: treat your credit cards as if they were blank checks in your personal checkbook. You would never write a check if you didn’t have cash in your account to cover a purchase. Imagine – always – that your credit cards are blank checks. In that way, you will avoid spending money you don’t have … avoid debt that will be difficult to repay.

Here is another good idea. Eliminate your credit cards or, if absolutely necessary, keep one card for purchases related to your car (gas, repairs and the like) and a second card for everything else. That’s all you need … just two cards. If you have more than two, you may end up using the credit they provide and you will almost certainly fall into debt.

Finally, use debit cards instead of credit cards. Why … because debit cards allow you to spend only what you have on hand in a tie-in account (usually your personal checking account). Debit cards can be used like credit cards, but they do not allow you to spend beyond your means. That makes them the best possible solution for you.

And if you feel you have to use credit cards, be judicious. Never spend beyond your budget. That means you need to be realistic and disciplined. Do it … for your own good!