March 10th, 2010
Credit Cards Offering Perks For Good Credit Customers
While most customers are receiving costly bad news about annual fees or rate hikes from their credit card issuers, select cardholders are unexpectedly receiving new credit card perks such as more generous rewards programs.
Citigroup Inc. upgraded select customers’ American Airline-stamped credit cards to earn 1.2 miles for every dollar spent, up from 1 mile per dollar. JP Morgan Chase and Co. also improved their customers British Airway card to 1.25 miles, also up from 1 mile per dollar. Chase, and likely more issuers in the near future, did not disclose specifics but enhanced rewards earning power for their Marriott cards. Citigroup, and presumably other issuers, announced that these card enhancements are for customers with good credit standing.
Using reward incentives to encourage cardholders to spend more—rather than penalize cardholders or excessively charge them—is a new tactic to recoup money lost to the CARD Act without hurting customer loyalty. This move is certainly a 180 degree turn from the past months of cutting back rewards programs, implementing annual fees, unexpected charges, inactivity penalties, and more. These so-called “earning accelerators” are designed to get cardholders to use one credit card over another.
March 10th, 2010
Wednesday Trends in Credit Cards & Debt
Consumer credit levels have up and down results at the start of 2010. On the one hand, overall consumer credit increased 2.4% in January (as compared to a 2.2% decline in December) and showed $2.45 trillion in consumer credit outstanding, reports Credit.com. But, the good news is that revolving consumer credit has consistently decreased every month for over a year, showing that consumers are continuing to pay off their credit card debt.
Credit.com writes, “Though a drop in revolving consumer credit may be taken as a positive sign in the form of people paying off their credit card debt, it also can have a negative connotation. A drop in revolving debt outstanding could also mean that banks had to charge off of what is owed to them as customers find it hard to pay off their credit card debt.”
Stay on top of your debt and credit card news with the rest of today’s roundup favorite personal finance articles and posts.
March 9th, 2010
What Does Your Email Provider Say About You?
You may have kept your AOL account since receiving a free disc in the 90’s, signed up for Yahoo! in college, got a Gmail invite, or moved to Comcast when you finally installed broadband, but what does it say about you? When categorized by email provider, the credit score and debt averages of users begins to tell a story. Do Gmail users take on larger mortgages? Do Yahoo! users have lower credit card limits? Credit Karma takes a closer look at how users of the most popular email providers stack up.
Disclaimer: Our analysis is for informational purposes. The data shows correlations for a number of reasons and is based on averages. As anyone who has taken a statistics class knows, causality and correlation are very different.
March 8th, 2010
REVIEW: Newest Additions To Capital One’s Credit Card Family – Venture and VentureOne
Capital One recently rebranded two great travel rewards credit cards, the Capital One’s No Hassle Miles Excellent and No Hassle Miles Ultra for Professionals, into the new benefits and sleek look of the Venture Rewards Card and VentureOne Rewards Card.
The Venture Rewards Credit Card is replacing the No Hassle Miles Ultra for Professional while the VenureOne Credit Card replaces the No Hassle Miles Excellent. The two preceding No Hassle cards that have long been one of the best value travel rewards cards, so what can we expect with its chic changes?
March 5th, 2010
Dear Credit Karma… More On What Affects Your Credit Score
Dear Credit Karma,
How could moving affect my credit score?
Moving from one home to another will not directly affect your credit score, but beware of any fallout that may occur with misplaced bills that could end up hurting your credit score.
When you move, make sure you update your new address for all financially-sensitive mail like credit card statements, utility bills, and loan payments. Remember, it takes a week or so to have your mail forwarded. These changes can get lost in the transition of moving and ultimately hurt your credit score. Missing or paying late on a bill just because you didn’t receive it at your new home and forgot to take care of it will deal an unnecessary blow to your credit score. Also, if you left your previous home because of an eviction (which may be reported on your credit report, depending on your landowner) or a foreclosure (can cost up to 160 points in damage to your credit score), it will negatively affect your credit score.
March 3rd, 2010
Wednesday Trends in Credit Cards & Debt
America is shopping again! Most retail sectors, including electronics, men’s clothing, and luxury items, gained in sales in February. Online sales also rose sharply, however some spending categories, such as women’s clothing stores, slowed down; Associated Press blames bad weather and snowstorms keeping consumers indoors and away from cash registers. Despite these increases, spending overall remains tepid in the face of high unemployment and tightened credit.
Need some debt help or advice on your latest credit card? This roundup features great articles and blogs that will fill you in.
February 28th, 2010
Favorite Product Picks for February
Every month, Credit Karma hunts through the top financial products to bring you our favorite picks, what we loved about them, and why you should give them a try too.
In February, we are focusing on offers that have the Best Service and came up with three that we just can’t stop raving about. If you want to treat yourself to a little TLC in your personal finance life, the following picks are sure to deliver.
February 26th, 2010
Top 7 Costly Changes On Your Credit Card
With the CARD Act striking down the credit card industry’s predatory practices, issuers are coming up with creative, sneaky ways to make up for the $15 billion dollars in penalties and fees they stand to lose. By adopting new fees and finding loopholes, issuers will profit off of consumers unaware of these tactics.
Before you find yourself paying dearly for your credit card, be aware of the potential changes that threaten to burn a hole in your pocket and possibly your credit score.
February 24th, 2010
Should You Stick With A Bank Or Switch To A Credit Union?
In light of increasing credit card fees and loopholes in the CARD Act, fed-up consumers are ditching banks for credit unions to take advantage of lower interest rates, better banking practices, and consumer-friendly policies. Credit unions continue to have some of the best deals on credit cards as well as a consumer-friendly approach that is a welcome reprieve from exorbitant credit card fees and predatory practices. But just how do credit unions measure up against big banks?
February 24th, 2010
Wednesday Trends in Credit Cards & Debt
When consumers were asked if their bank does what’s best for the customer, the nation’s biggest banks ranked rock-bottom of the list, reports CNN Money.. Last on the list in regards to customer service were Bank of America, Chase, Capital One, TD Bank/Commerce, Citibank, and HSBC.
Customer dissatisfaction is old news in the banking and credit card industry, as the CARD Act–in effect this week–attempts to reform and regulate practices to improve consumer protections. For customers looking to break up with their bank, financial institutions that scored well amongst consumers in the survey include local and regional banks, as well as credit unions.
More credit cards and debt news and advice included in today’s roundup.
