Payday Loans Blog

-Do you find yourself often buying things that you really can't afford?

-Do you continuously pay just the minimum balance because you will pay it all off "one day" when you actually have money?

-Do you have more than two credit cards?

-Do you pay other bills using your credit cards?

You just might be dealing with credit card dependency; a bad habit that can leave trapped and under years of burdening credit card debt that will leave you feeling financially suffocated.

If you are relaying too heavily on credit cards, here are some tips to help get you back in control of your finances before your finances take control of you:

1.) Commit yourself to change

2.) Use a cash-only policy

3.) Consolidate all your balances onto one or two cards

4.) Destroy the other credit cards

5.) Keep your remaining card(s) at home!

6.) Pay off your balances

7.) Whenever temptation kicks in, recommit yourself; stay strong...your happiness depends on it!

Just when we think we know all there is about credit cards; it seems like something new comes along...new rewards, new laws, new fees; how are we ever going to keep up?

The best that you can do is to try to keep yourself informed!

Here are some great sources that just might help you out a bit:

Credit Cards with the Best Rewards

New Credit Card Fees Could Hurt your FICO Score

"Interest"ing news about credit cards

Paying Credit Card Debt Still Difficult Despite Credit Card Reform Act

The Benefits of a Credit Card Without the Credit

Credit or Debit: How to Decide When to Use What

Consumer Credit Tips for the Credit Card Act of 2010

The Credit Card Reform: For Better or Worse?

Sometimes Best to use Credit over Debit?

Credit Card Reform

Cut it Up or Cut it Out?

Credit Card Companies' New Fees Sneak Around Laws

Credit Card Tricks to Avoid

Calculate Your Credit Card Pay-Off Date!

Eliminate Your Credit Card Debt

Give Your Teens Plastic Without the Worry

Most people find themselves only paying the minimum balance on the credit cards each month. Often times, even people who could pay more money toward the credit card each month still only end up paying the minimum payment due so that they can have "extra money" incase of an emergency.

At that rate, depending on how large the balance is, it could take you literally years to pay off the card. However, many people think to themselves, "its only 18% interest, it's worth it to not have to pay it all off now and instead, be able to use my money for other things." 

Though, have you ever really sat down to figure out just how long you will be making payments on your card? Or more importantly; how much interest you will end up paying? The results may greatly surprise you. Luckily, you would no longer have to do all the math yourself.

There are calculators to help you figure out exactly how long it will take you to pay off your credit card and exactly how much interest you will end up paying over that amount of time.

Example:

Lets say that I have a credit card with a $6,500 balance with 18% annual interest and I only make the minimum payment of $50 every month. According to calculations, it will take me 9 years to pay off the balance, and I will have paid a total of $3,479 in interest alone, let alone the periodic finance charges or other fees that always seem to tag along on these credit cards. That is more than half of the original balance paid to interest!

After seeing your own results, you just might want to consider paying off those cards a little sooner than anticipated. You might even want to consider getting rid of your credit cards all together and chosing a different option to help keep you within your fincial budget such a pre-paid debit cards or at least make sure that you stop using credit cards to pay off debt.

Anyone who works with people struggling to either get out of or stay out of debt would warn people to avoid using credit cards and stick with using your debit whenever possible.

A recent report however by ABC news would like to contradict the common believe that we should avoid credit at all costs.

According to the report, there are a few instances in which you should use your credit card over your debit card:

1. When buying a "big ticket" item such as a television or maybe even a washer and dryer for example

• Reason: (especially if buying these items online) if there is a problem with the items, your credit card company will fight the battle for you verses if you bought the item using your debit card, you will be left to having to fight your own battles.
• Also, many credit cards will add to the manufacture's warranty on the purchased products. (Note: not ALL credit cards will result in this however so double check before purchasing)

2. When purchasing things like gas, hotel, and car rentals.

• Reason: These types of purchases will place holds on your account. If you use your debit card, you may forget about the purchase and leave yourself short at some point.

3. For your every day purchases if your are on a rewards program, so long as you keep track of your spendings. (Note: NOT paying your balance in full at the end of the month is pretty much reversing any rewards or costing even more on top of that with interest.)

4. Any time you make an online purchase.

• According to the article, credit cards offer more protection against fraudulent charges and this will protect such people from having access to your checking account.

The report does make some good points, however, card holders should use particular caution when using credit as to make sure theystay out of debt and keep themselves from paying more for their purchases than they are worth. Credit when used properly can be a useful tool although too many people get trapped by their credit card abuse such as by using their credit cards to pay for bills and then not paying off the balance at the end of the month.

If you are running short in the bank and need a little extra money to get you through until your next payday, Check City offers a great alternative to using your credit cards to pay your bills. You can apply online or stop by a Check City store location and get a payday loan. Once your paycheck comes, the money along with a small fee is deducted. Its fast, easy and more affordable than you thought possible.

Credit and debit cards are a big area of concern lately, and many consumers are unsure which to use, and in which situation to use them. As the economy makes a more concrete upturn, debts are being reduced, and people are slowly climbing their way out of the holes they had previously gotten themselves into. Questions about debt, credit and debit are being asked, and knowledge is power, so here are some suggestions for when to use credit or debit cards, and what you can do to get and stay out of debt.

Since 2000, the amount of charges to debit has almost doubled, and the amount of charges to credit cards has been cut in half.  When you use debit, it is the same as using cash. This could be good in some situations, but credit could and should be considered in others. Some situations that may be good for credit purchases instead of using cash are:

A Major Purchase is Being Made

When a major purchase is being made, you may want to consider not only using credit, but by getting a fast cash loan from Check City.  However, when you do get a loan from us, be sure to use it only as a short term solution, instead of a long term solution to financial problems. 

Because credit card issuers and creditors have more control over situations, and may stop payment, etc, when there are disputes over payment and credit companies are more likely to be able to help you get your money back than when debit cards are used. 

When Buying Gas, Checking in at a Hotel, or Renting a Car

When you use a debit card at one of these places "the merchant -- to avoid being caught short -- figures out the maximum you could spend, then puts a hold on your bank account for that amount."  More times than not, the amount they put on hold is quite a bit larger than your purchase ends up being, and therefore cannot be accessed, until your account is cleared."

 You Want Rewards

Another good time to use credit over debit is when you want rewards.  Debit cards are slowly getting reward programs for every dollar spent, but their rewards are minimal in comparison with the rewards credit card companies offer.  

 You Don't Keep a Vigilant Watch on your Account

If you don't keep a great watch on your accounts, credit card companies usually cover theft and credit fraud better than debit companies. 

Check City offers a prepaid debit card that can do wonders, if a debit card is something you need, or if credit cards cause you too many problems. A netspend Prepaid Debit Card can give you all the features of a credit card, without all the hastle. 

Social networking using sites such as Twitter, Facebook and My Space are almost as essential to people, and as much of a routine, as getting gas or buying groceries. For many Americans, and others around the world, social networking, especially using these sites is an everday occurance and some people may even feel lost without them.  Sites, such as the ones mentioned, allow you to post your daily activities, your pictures, and really any type of social, or even non-social events and happenings that you want, as long as they meet site rules.  People everywhere, including businesses and banks, can then look at your profile and any information you choose to share with the general public can be viewed by literally anyone in the general public.

What Does This Mean for You?

Sites, especially advertising and marketing sites are gathering this information to use for their own personal benefit. If you say you love ice cream and to ride horses on the beach, chances are that some marketing or information gathering site somewhere on the internet has this information about you in their database under the "Robert Smith" file. Even though most of this information gathering is rather innocent, there are people who may be gathering your personal information for financial, social and political gain.  If you don't believe me, check and see what ads are coming up on the right side of your facebook account. Chances are they are tailored specifically to you, based off of information you provided on the site. 

Banks

Banks are not likely to use the information found on your social networking site for personal gain, but bank representatives have told the media that their marketing departments use data to determine your daily activities and ability to receive a loan or other credit or debit products or services. 

Friends

Remember when your parents always told you to choose your friends wisely? This is when it may be important to watch who you associate yourself with; especially closely with on social networking sites.  Banks and other lending companies may check those you are closely associated with to see if they make wise credit decisions and to see what kind of a risk you may pose to their company upon receiving a loan, etc.

The basic idea then is watch who you associate with and the privacy settings you choose to use on your various accounts.  Things you may say or do, could come back to haunt you in more ways than one. 

Check City offers great Social Media Networking. You can become our fan on facebook, follow us on twitter, watch our commericals on YouTube, and stay up to date by reading our daily blog posts. With so many ways to learn about Check City and the great things we have to offer, you are sure to find a financial service that is perfect for you. Visit us Online or in one of our Store Locations today. 

There are new devices and methods with which crooks and scammers are obtaining your credit and debit card information, skimmers; on ATM and gas station credit card machines. Skimmers are becoming ever more sophisticated and harder to distinguish from the actual machines.  With national debt and individual debt rising every year, banks lose on average about 10 billion a year due to credit card fraudulent purchases. Learn how can you protect yourself and learn to spot these skimmers and understand how they work, so that you aren't taken by a scam artist.

Traditional Skimmers:

Credit and debit card skimming machines are traditionally placed above or below the spot on the machine that reads your card, so that you have to scan your card through both the skimmer and the credit card runner in order to make a purchase. For more on the traditional skimming device read this  previously published blog Credit Card Skimming: Protect Yourself. Theives are also placing hidden near by cameras or key loggers on the machine in order to access your accounts. 

How to Avoid Getting Scammed:

• Use an ATM at one of the bank's branches, and preferrably one that is bigger and open more often. The chances of a skimmer being able to place a device on the machine or a camera in the vicinity without being spotted is slim at best.
  
• Compare other ATMS with the one you traditionally use, or compare any two ATMs to see if there are any phisically noticible differences.
• Don't always trust "out of order" signs. Sometimes crooks will place "out of order" signs on ATMs and redirect the traffic to a nearby ATM so that they can get even more numbers, etc. Just find a different ATM all together or call your local bank to see if it is indeed broken and they are responsible for the sign, etc.
  
• Be wary of stand alone ATMs in far away or not well monitored locations. These are the easiest targets for skimmers.
• Skimmers usually portrude from the ATM and look like they match the Gray or other colors the ATM uses.  Be sure the rest of the ATMs of that particular company look the same, if not, report it to authorities.
  
• Always cover the pin pad when entering your pin number. This prevents any hidden cameras from capturing your pin as well as pick pockets, etc and is just a smart idea in general.
• Check your account balance on a weekly, or at least bi weekly basis, so you that you will immediately notice if something fishy or out of place is going on.
  
• Setting up account alerts and putting a lock on your credit will help you even more closely monitor your accounts.
  

Check City offers a netspend Prepid Debit card that has all the convenient features of a credit card without all the fees and monthly payments. It's easy to obtain and even easier to figure out. You just bring in cash or a check that you want deposited on the card, and when that money runs out you will have to deposit more in order to use the card again. You can't overdraft or get late payments fees because there are none. Visit us today to learn about our other helpful financial services.

Visa makes a bold step on Wednesday March 24 as it pushes forward its agenda to phase out the need for signatures on credit card receipts hoping to help stamp out credit card fraud.  Visa is hoping to introduce chip and PIN technology for all Visa cards by 2014 and plan on having the signatures completely phased out at checkouts by 2012.  Visa's New Zealand manager is working with banks and retailers to upgrade over 2.6 million cards as well as thousands of point of sale terminals and ATM machines.

New Zealand is the first in this new phase of credit cards.  They feature securely embedded smart chips to give consumers a heightened sense of security and will be embedded in all cards starting in April of 2010.  After these changes are made Visa will also be making changes to their debit and reloadable prepaid cards by April 2012. 

These chips will also provide benefits such as faster services and transactions.  Some innovations also include contactless payment and rewards information will be able to be stored on their cards. This plan also includes moves to enhance online security.  A few websites already have updated security measures that require a password to access online transactions and payments and these retailers will be required to capture the three-digit cardholder verification number and small and medium businesses will be required to have even more security features in place.

The new technologies available make it easier than ever to control and even stop credit card fraud overseas.

Check City offers a great alternative to Credit Cards with its netspend Prepaid Debit Card.  With this easy and convenient Prepaid Card you won't have to have your credit checked and you won't receive monthly bills or fees.  You will never overdraft because the only way to get money on the card is to deposit it there yourself.  It is a simple way to stay out of debt, and it is much more secure than a credit card, and less prone to fraud. 

Over the past week and a half I have been giving you as much information as I can on the new CARD Act Reform policies, procedures and laws that have been put into place. Today I'd like to wrap it up with one last article about what will go on your monthly statement as well as the deadlines companies have been given for the policies and practices to be completely enacted.

One of the best changes, that I haven't discussed yet, when it comes to your monthly statement is the fact that they are now also requiring credit card companies to make the fine print a little less fine, and a little more readable by everyone.  Follow this link at CreditCards.com to see a mock up of what your statement will look like when it has been completely changed over to the new format.  

All changes must be completely in place by July of 2010 and if for some reason this doesn't occur with your company, it is a good idea to contact them just to see what is going on.  The contact numbers and emails should also be more readily available on the monthly statement in perhaps more than once place, so don't hesitate to call.  

Instead of dealing with the hassle of interest, minimum payments, overdraft and late fees, get a netspend Prepaid Debit Card from Check City. We can save you time, stress, and even money with our low deposit fees and the easiest services in town.  With a netspend Prepaid Debit Card the only thing you have to do is load money onto the card, and you can spend it anywhere Visa or Mastercard are accepted, all over the world! Its easy and we charge minimal fees.  Once your card has been emptied, you have to reload it in order to use it again. It is a great way to get the convenience of a credit card, without all the hassle.

I have written two previous sections, about what is included in your monthly statement according to new rules enacted by the Credit Card Act of 2009. This next portion that lawmakers have included, I'll admit, is one of my favorites. It is particularly helpful to Credit Card consumers who may be confused about when exactly the companies have to receive their payments so that they, as consumers, can avoid late fees.

The third thing Credit Card Companies are now required to put on the monthly statement, billed to consumers, is the date on which you will be charged a late fee if payment has not been postmarked/received.  This will depend on the credit card company and will most likely vary from company to company as different Credit Cards consider different situations to be late payments.  This will be helpful to the consumer because as a consumer, you will know whether you must have your payment simply postmarked by the due date, or at the payment center by the due date.  There is quite a difference, especially if every day payment is not received incurs a slightly larger payment.

Check City offers netspend Prepaid Debit Cards so you can avoid the hassle of credit card companies all together! It is a great way to get the convenience you crave from credit cards, while avoiding the fees and interest payments you dread each month.  With a netspend Prepaid Debit Card you will deposit all of the money you want to use onto the card, via cash or check, and then when the money is gone, aka your credit limit has been reached, you will have to reload money on the card to use it again. It is a great way to help you stay within a budget and still have all of the conveniences of a credit card. Visit Check City's Prepaid Debit Card Page to learn all about our great offers and deals on prepaid debit cards and to start saving today.

* This entry was published out of order, with CARD Act Reform: Included in your Monthly Statement Part 4 being published previously due to a technical difficulty.