Driving down the highway, Tyler Hogstrom sees smoke begin to pour out from underneath the hood of his car. As he pulls over to the shoulder the first thing that goes through his mind is a string of expletives.

Working a low-paying part-time job, Hogstrom, a senior at the University of Kansas, won’t be able to afford the necessary repairs on his car. There’s only one way he’s going to be able to pull this off: his credit card.

“I hated to do it but there was just no way I could afford to fix my car without them,” Hogstrom said.

Like other students, Hogstrom has a credit card dedicated specifically for such emergencies. And, like other students, he has come face to face with both the pitfalls and the benefits of having a credit card.

When it comes to credit cards, students must consider how well they handle their finances before taking on that kind of responsibility. Credit cards can be both good and bad for students, depending on how responsible they are with their money.

On the one hand, if students use credit cards responsibly, they could potentially boost their credit scores making future financial endeavors, such as buying a house, run more smoothly.  On the other hand, if students aren’t careful they could rack up thousands in credit card debt to accompany the debt owed for their student loans.

Hogstrom, who uses his card for emergencies and textbooks, has noticed that his credit card company rewards him when he pays off his card, but those rewards end up causing more temptations.

“After I paid off my card from fixing my car, my credit card company raised my limit to $1,000,” Hogstrom said.  “But then I went and bought textbooks and I wasn’t worried about paying it off because I still had so much left.”

Tim Reeb, a junior at KU, has also been tempted by an increased credit limit.

“The hardest thing, now that I have a higher limit, is not buying things I don’t need,” Reeb said.

Yoonsook Chung, peer educator for Student Money Management Services at the University of Kansas, encourages students to apply for a credit card when they’re ready, but warns that they must be careful not to overuse them.

“The credit card is very necessary. It’s a good thing, not a bad thing. But if you abuse it, if you don’t know how to use it very well, it’s going to eat you up,” Chung said.

According to a 2009 study done by Sallie Mae, 91 percent of college students have at least one credit card and the average undergraduate carries $3,173 in credit card debt.

Sallie Mae also reported that most students will amass $20,000 or more in student loan debt. This, added to any credit card debt students may accrue, will rack up interest quickly. Students could potentially spend years trying to pay off purchases they made in college, causing their credit scores to plummet.

Chung said many students don’t understand that credit cards do not equal free money. What they need to know, Chung said, is that credit cards are small loans with extremely high interest rates. If students understand this, they can avoid accumulating thousands in credit card debt.

According to CreditCards.com, interest rates on student credit cards can range from 13 percent to 24 percent. This means that a new pair of $100 jeans could end up costing the student more than $120 after interest is added.

Chung believes that it is situations like these that get many college students in to credit card trouble.  Instead, she encourages students to make smaller purchases that they won’t have trouble paying off.

“Before you purchase, keep in mind that you have to pay that off by the end of the month,” Chung said.  “If you don’t keep track of what you’re using and pay it off quickly, you end up paying way more than you anticipated.”

Additionally, Chung suggests that students keep the balance on their credit cards significantly lower than their limits so they don’t hurt their credit scores.

“Don’t use more than 35 percent of your credit limit,” Chung said. “If you use more than 35 percent of your limit the bank will see it as risky and it will cost your credit score.”

When it comes to choosing the right credit card, Chung advises students to look for a credit card with the lowest interest rate possible and no annual fee. She also said students should avoid getting credit cards from department stores, as these credit cards usually have the highest interest rates.

Chung said that her biggest piece of advice for students looking for credit cards is to remember that credit card companies are trying to sell a product, so you have to be careful to avoid their schemes.

“It is your responsibility to look out for your self,” Chung said.  “The credit card company isn’t going to do that for you.”

Before making the decision to get a credit card, students should ask themselves a few simple questions about their financial habits to make sure they are responsible enough to handle a credit card. The graphic below was designed to help students evaluate their level of financial responsibility.

Debt! We’re all familiar with it in one way, shape, or form.  Some of us are paying off student loans, mortgages, and, of course, credit card debt.  If you’re lucky, you’re dealing with the trifecta and repaying all three (just kidding.)  On a serious note, credit card debt is taking its toll on the population.  A new poll conducted by CreditCards.com illustrates the uneasiness associated with debt.  According to their findings, people are more comfortable talking about politics and religious views than the amount of credit card debt they’re carrying. Wow, talk about a 180.

Just a few short years ago credit card debt was seen as a way of American life.  Prior to the recession, credit cards were ‘cool.’ “Don’t have cash? No worries… use plastic.”  However, the last few years have wholloped our wallets.  We had foreclosures soar, lost a good amount of our retirement savings, and have dealt with relatively flat incomes.  The American Dream resembled more of a nightmare than anything, and now we’re living this reality – wide-awake and cognizant of the trouble debt can cause.

If you’re struggling with credit card debt, don’t stick your head in the sand.  It’s important to have open and honest conversations with reliable individuals who can help you dig out of your situation.  Contact one of Cambridge’s counselors who will lend an empathetic ear, and solutions to help stabilize your situation – Get help Now!.

On the subject of debt, April is Financial Literacy Month and we’re celebrating by holding a very special contest. If you answer the most money related questions on our website correctly throughout the month, you could win a coaching session with ‘America’s Money Answers Man,’ Jordan Goodman.  To enter, simply answer our Question of the Day at Cambridge Credit’s Financial Literacy Month Contest.

Until next time I’m Thom Fox for Cambridge Credit Counseling Corp.

CreditCards.com has the offer through their CardMatch service.  The nuts and bolts are you’ll earn 25,000 miles after your first purchase and an additional 20,000 miles after you spend $5,000 in the first 6 months.  There’s no annual fee for the first year and if you fly Delta, the card comes with some other perks you might not already get:

• 2 miles per dollar spent on Delta purchases.
• First checked bag free for you and up to 8 other passengers traveling with you on the same record.
• Priority boarding.
• 20% discount on meals, beverages and movies onboard.

That might sound like a lot of money to spend on a card, but there are lots of everyday charges you should already be putting on your cards, and plenty of other ways to meet minimum spending requirements like this.

Don’t be scared by the requirement to enter your social security number.  You should be able to leave that field blank, filling in your correct name and address.

A quick perusal of the Delta website shows the best offer on their site is 30,000 miles.  This definitely seems like the best offer in the market.

This is an affiliate link I receive credit for if you apply and are approved.  I certainly appreciate you using my link; it’s the best offer I’ve found.

HT: View From The Wing

4 On Your Side Money Saver Suzanne McCarroll found happily married couples who admit to keeping some money secrets. A lot of the secrecy revolves around shopping and credit cards.

The majority of those who admit financial cheating say they have a credit card tucked away that their spouse knows nothing about.

[worldnow id=7268524 width=420 height=278 type=video]

Patty Spurway keeps her shopping bags in her trunk so her husband of 40 years doesn’t know what she buys.

“It’s easier on me and easier on the marriage,” Spurway said.

RELATED: ‘Financial Infidelity’ Is A Slippery Slope For A Marriage

Brian Sells and his wife Nancy never bicker over who pays the lunch bill, but there are bills that Brian finds hard to digest.

“I’m a financial planner, and so we had a little situation where we found a mystery credit card that had racked up a little bit of money on,” Brian said.

Nancy said she had been buying clothes.

“But I get the mail,” Nancy said.

Secrets about money are incredibly common in couples, according to a new study by CreditCards.com.

“About six million people have some kind of financial account that they kept secret,” Ben Woolsey with CreditCards.com said.

Women are most likely to have secret savings accounts. Men are more likely to have covert credit cards. The average purchase hidden from a spouse is $266.

“Most of the issues or the hiding came from women, not men. Well that didn’t surprise me, just based on people that I’ve talked to and just being in my business,” Brian said.

Spurway apparently isn’t the only one with a stash of secrets in her trunk.

“I would assume everyone shops like this,” she said.

LINK: CreditCards.com

Six million Americans may be committing financial infidelity.

According to a poll conducted on behalf of CreditCards.com, nearly 7% of the more than 1,000 adults surveyed admit to hiding a secret financial account from their spouse or partner. Two-thirds of those responding said they have a hidden credit card account, and 45% have a secret savings account.

Understandably, perhaps, individuals who have not formally tied-the-knot and are simply living together are much more likely to keep part of their financial life hidden from the other person in the relationship.

Thanks to online access and paperless statements, it’s easier than ever before to live a double life. Ben Woolsey, director of marketing and consumer research at CreditCards.com, says people can easily hide their financials by having statements sent to work.

“Men are more likely to have secret credit card accounts, which allow them to make transactions outside the view of their partners.” On the other hand, women are three times more likely to hide a savings account, perhaps indicating a lack of security.

“This behavior has been around since the dawn of relationships. It is driven by fear and lack of trust,” says Allan Pass, director of National Behavioral Science Consultants and a licensed psycho-therapist in Adams Township, Penn. “People fear that when love leaves, so does the chattel.”

In addition, money has long been recognized as a source of power in a relationship. In Woolsey’s view, socking away your own private stash can represent a “rebellion against control, especially on the part of the lower earner.”

According to Dr. Karen Ruskin, a therapist and relationship expert in Sharon, Mass,“Women don’t want to feel they have to ask [for permission to spend money]. When you’re deciding for yourself, you get to be in control.”

via Why People Hide Money From Their Significant Other | Fox Business.

Strange Random Money Quote:

“Don’t tell me where your priorities are. Show me where you spend your money and I’ll tell you what they are.” – James W. Frick

Related articles

• Financial infidelity: Hidden credit cards most common (cbsnews.com)
• Tips for Credit Card Debt Reduction (ally.com)
• Guarding Against Inflation (money.usnews.com)
• Financial Infidelity Can Strain A Marriage (pittsburgh.cbslocal.com)
• Money & the Law: Fraud liability for debit, credit cards differs (gazette.com)

a) This video somehow wins the CreditCards.com video contest, and

b) Somehow alien toys become the new big thing in web advertising leading to an unforeseen and massive uptick in traffic to their site.

I’m not necessarily holding out hope that either of those things will happen, BUT I really like the song and the marimbas I used made me think of aliens, and aliens make me think of responsible credit card use, so I went ahead and made this just before the deadline ends (in 6 hours.) I titled it “CreditCards.com Alien Future Great Deal Wow.” (click the picture to see the video.)

I’m thinking of doing a Director’s Cut which features the other 30 minutes of footage I have of me running around behind these alien toys. If I do, I will take bets to see if anyone can physically stand watching it for that long. 6:1 against.

For those of us that maintain healthy credit profiles, there are an abundance of financial opportunities.  According to Mintel Comperemedia, credit card offers were up by 69% in the first quarter of 2011.  In the first quarter of 2010, Americans received 826 million offers for credit.  During the same period in 2011, mailboxes across the country have welcomed over 1.4 billion offers.   Mintel goes on to report that 60% of the offers contained some type of incentive, a dramatic change from 2010 offers. Primarily, consumers who maintain a score of 720 or over are receiving these more-favorable offers, but those with lower credit scores are also witnessing an increase in solicitations.

So, what are credit card companies offering to entice customers?  Well, these new incentives include cash-back, fee waivers, extended teaser rates, and the surprising return of lower interest rates.  Many of the people I’ve counseled over the last few years were put off by the card industry’s adoption of the Credit Card Act as it lead to the reduction of credit lines and the increase in interest rates.  Folks who were model users could not understand why they were penalized, but the industry’s reaction was foreseeable due to the new market dynamics it would face.  However, as unemployment and the economy stabilizes, lenders have a clearer view of the future and are preparing to ramp up business. If you’re in the market for a credit card, this could be a great time to review these offers, but you have to take care before entering new credit arrangements. It’s a buyer’s market out there, so don’t just jump at the first offer landing in your mailbox.

Before taking on any new credit cards, it’s important to review your budget to ensure you can comfortably accommodate the obligation.  As we’ve recommended in the past, it’s best to repay your credit cards in full, but at the very least you should be able to meet the monthly minimum obligation and a healthy amount above and beyond. Therefore, take some time to analyze your spending to see if a new card will adversely impact your financial situation. If you find that you can manage the new obligation, take time understand the terms offered to you.  The Federal Reserve has a great website, federalreserve.gov/creditcard, which helps you understand credit card offers so that you can compare apples-to-apples.  Their interactive site helps you weigh considerations such as interest rates, annual fees, rewards and other features.

Next, don’t make rash decisions with credit offers.  Although you may not have received offers for the past several years, don’t let the perks make you overlook the potential cost of credit.  Remember, credit cards companies are in the business of making money, and nothing is ever free.  Twenty-thousand travel miles may seem like a huge “win,” but if your being charged an extra 5% to get those miles you are indeed paying for it.   It’s best to compare the offers you’re receiving with those being offered on-line.  Bankrate.com and CreditCards.com have wonderful comparison tool that help you determine the best card for your situation.  Cards are evaluated according to their offer.  You can search for cards based on a host of criteria such as low-interest rates, balance transfer, rewards, cash back, and frequent flyer miles.

Lastly, always review your credit prior to opening any new accounts.  An astounding 85% of consumer credit reports contain some type of error, and you pay for what you don’t know.  Credit report errors can not only disqualify you for financing, but also cost you higher interest rates.   Therefore, request copies of your reports from annualcreditreport.com and review them carefully for mistakes before you consider any new financial obligations, credit cards or otherwise.

The company itself is offering 12,500,000 of the shares in the offering and the existing shareholders are offering an additional 7,500,000 shares.  For a fully diluted count the prospectus uses 100 million shares, generating a diluted market cap of close to $1.4 to $1.6 billion based upon the offering price.

The company’s personal finance categories cover mortgages, deposits, insurance, credit cards, retirement, auto loans, and taxes. The website also aggregates information about rates from over 4,800 institutions on more than 300 financial products, with coverage of nearly 600 local markets in all 50 U.S. states.  The company boasts some 172,000+ distinct rate tables capturing on average over three million pieces of information daily.  The site claimed over 150 million visits in 2010.  The company’s editorial staff includes 33 editors and reporters, 90 freelancers and 15 expert columnists which generate more than 150 new articles per week on top of over 50,000 stories in its database.

Affiliates of Apax Partners, L.P. own about 90% of the company.  The underwriting syndicate is rather large: Goldman Sachs, BofA Merrill Lynch, Citi, J.P. Morgan, Allen & Company, Credit Suisse, Stephens Inc., RBC Capital Markets, and Stifel Nicolaus Weisel.

After 10 years as a previous public company, Bankrate was acquired on August 25, 2009 by Apax’s Ben Holding.  The company has also executed several acquisitions and two are NetQuote Holdings and CreditCards.com.  As far as how this ties into the Apax value, Apax advises or manages more than $35.0 billion directly or indirectly.  While the acquisitions will throw a wrench in the machine on estimating the carry-cost, it should be known that Apax paid roughly $571 million for Bankrate back in 2009.

Our take: the pricing and terms here look mostly fair as the order book was said to be mostly in-line with expectations.  By not having a super-premium and by not having a large discount, it is easier to evaluate this one.

UPDATE: At 9:59 AM EST we have shares trading at $14.21 and we have an official opening price of $14.00.

JON C. OGG

Eventually, know that after bad objects are taken out you can request (make sure this is completed, it really is extremely essential) the credit score bureau to send correction notices to anyone who has obtained your credit report in the previous six months (two many years for employment reasons).

If your dispute request unsuccessful? Do this: Send a “Statement of Dispute” – This will exhibit that all your attempts at resolving the dispute have failed. So, file a dispute with the credit score bureau’s Nationwide Purchaser Help Middle. For you to enter this kind of a dispute just call the phone quantity which integrated with your credit score report or total a “Reinvestigation Request” Purchaser Response Center, FCRA, Federal Trade Commission, Washington, D.C. 20580

A last phrase, be warned about Illegal disputes It is considered illegal for you to change your social protection number to acquire a clean bill of credit. so get not that If any provider could possibly advise this type of credit fix be guaranteed to report them to the authorities.

I sincerely hope that this post provides you with a number of hints and gives you you some good information on filing a credit report dispute.

To get far more suggestions and info on credit score report dispute, or Credit score Score and Credit Reviews click on on a http://www.credit-reporter.net [http://www.credit-reporter.net]

The federal federal government is currently supplying all shoppers the option of obtaining a free of charge credit score report as soon as every last yr. This cost-free credit report will allow consumers the prospect to turn out to be knowledgeable of their credit history, feasible identity thefts, and locations to increase in, after every twelve months. Whilst this is a fantastic resource for all buyers, lots of will come across that viewing only one particular credit report per year does not give customers sufficient facts to remain up-to-date on their financial standing.

Three Reasons Why Obtaining One Credit score Report A 12 months Is Simply Not Sufficient:

one. When receiving one free credit score report a yr is improved than never ever viewing one’s report at all, it is virtually impossible to develop one’s monetary standing without viewing extra than 1 credit report per year. Most people will need to take into consideration making use of this no cost report as a starting up stage in repairing their economical background. Even all those that have a good score might still benefit from doing a couple of easy variations. This free of charge report could be applied to see any detrimental aspects in one’s monetary historical past, no matter whether all those might be a credit card debt in collections or credit cards that are nearing their restrict. As soon as the unfavorable things influencing one’s score has been determined, a person can then commence to perform towards fixing any imperfections.

2. A person that repeatedly checks their report is at a much lowered danger of starting to be a victim of identity theft. Whilst individuals that frequently test their credit report may perhaps also turn into victims of identity theft, they are at a a lot increased advantage of catching a theft early and rectifying the scenario ahead of it spirals out of management. FreeScore.com Review, Credit Karma Review, FreeScore.com Review

You can still be a victim of credit card fraud even if you use it with utmost caution. Credit card companies and banks are more and more often putting the onus of catching phony or incorrect credit card charges on the consumer.
The most important thing is to check your billing statement. And there are organizations like Creditcards.com that offer tips on how to keep your cards safe as well. Here, we take a look at 5 of the riskiest places you might use your card, according to Creditcards.com, and what you can do to stay away from dangers.

 Non-Bank Owned ATMs

Encryption at these ATMs is often not as good as at bank ATMs. These ATMs also are more likely to be hacked. And in some cases, people have put up devices that look like ATMs but don’t give out cash. Instead, they are just card-skimming devices aimed at stealing your credit card or debit card information.

 Flea Markets

Flea market merchants are often transient and can be difficult to locate if there is a problem with charges. It’s especially true for vendors who don’t have online credit card terminals and instead make carbon copies of your credit card.

That doesn’t mean those vendors are necessarily fraudulent, but it makes the transaction less secure. The credit card company might have trouble doing a charge back. If you’re going to the flea market, take cash. It’s also easier to negotiate that way.

 Small Shops/Cafes in Foreign Countries

These smaller merchants have a significantly higher percentage of credit card fraud as reported by large banks and credit card companies. Many of these transactions end up being written off by the banks because the merchants simply can’t be located. There’s just a higher chance of fraud when you get outside of the mainstream, so when in doubt, use cash.

Non-Secure Online Checkout

Any safe, reputable e-commerce site is going to have a secure checkout page, like the one shown at left. If that doesn’t appear, it should be a red flag. You can almost be sure it’s not legitimate, and even if it is, you’re opening yourself to that transaction being seen by others.

Purchases on Smart Phones

Purchases on smart phones can also be less than secure. If your smart phone connects to a public wi-fi signal, you’re going to be much less secure. Someone else can potentially see the transaction, or malware can be placed on your device that can potentially transmit your personal information

Top 5 Riskiest Places To Use Your Credit Card | B2B News.

The average is composed of 100 of the most popular credit cards, including cards from dozens of leading U.S. issuers. Introductory (teaser) rates are not included in the calculation. Among the nine categories that the cards represent, average APRs rose in two and held steady in seven.

Rates for card categories tracked by CreditCards.com are listed below:

Chase spurred this week’s rate change by adjusting the APR range on its Slate card. Chase raised the range’s bottom end slightly from 11.24 percent to 11.99 percent and lowered the card’s top end from 22.24 percent to 21.99 percent.

Citi also made significant moves this week. The bank raised the top ends of both the Forward card and the mtvU Platinum Select card by a full percentage point, leaving both cards at a range of 12.99 percent to 20.99 percent. However, because CreditCards.com uses only a card’s lowest available rate in its calculations, the bank’s moves didn’t affect the national average. 

At least, some of them do, and Congress is out to curb this sort of judgmental data mining, per this very interesting CreditCards.com article.

The notion of purchaser profiling is exasperating but it also makes me laugh, wondering how inscrutable my persona must seem to the Bank of America’s computers.   Including auto-charged utilities I generate several dozen transactions per month.  Recent purchases ranged a $4.69 used 1930s travel book to nearly $600 for a couple of nights in an out-of-town hotel.  I’ve never (yet) swiped my card for a set of retreads but have charged up massages, thrift-store knickknacks and my share of casino amenities.

Perhaps the computer is eyeing May’s statement, with those six cases of cheap Stroh’s Light, two concrete urns from a rural garden center, five bags of marked-down birdseed, a full bolt of clearance-priced upholstery fabric from JoAnn’s or $18 worth of weather-forecasting sticks mail-ordered from Maine, wondering if I’m about to hide from my creditors in a home-made tent and swill the summer away reading about Depression-era tourism in between wild gambling bouts and nibbles of sunflower seeds.

It must be confounded, however, as to where that impulse buy last week of a $20 Sephora mascara fits in to the tightwad profile.   I know I still am, every time I open my make-up kit!

CreditCards.com filed an S-1 for an IPO in August 2007 to raise almost $110 million, but withdrew late that year due to what it said as adverse market conditions.

At that time, Austin Ventures owned around 65 percent of the company with the remainder owned by American Capital and other insiders. After failing to recap and restructure its debt, CC was finally taken over by AC, our sources say. AV, which initially bankrolled CreditCards.com back in 2006, still holds a small minority stake in the venture.

The company PR and CEO Elisabeth DeMarse, former *Bankrate* CEO, did not return e-mails asking for comment.

A short history, from DealScape: It was formed in 2005 by DeMarse and Austin Ventures with the intent of acquiring an online financial services company. The group in 2006 purchased CreditCards.com for $133.8 million in cash and 2.1 million shares of stock from Daniel Smith, the company’s former CEO. DeMarse and AV in late 2006 tapped American Capital Strategies to recapitalize the company with an additional $160.3 million in debt.

As it turns out the “unusual activity” was actually me, traveling on a road trip and buying gas in multiple states with my Visa card. I was still at the gas station when the call came through — perhaps a minute after the gas station attendant told me the transaction was denied. It seems buying gas is a common tactic used by fraudsters who have stolen credit cards.

Call me!
The poll of 200 consumers (I know, a small sampling) asked how credit cardholders would prefer to be notified of potential fraud on their accounts. A majority (54 percent) preferred cell phone calls from the credit card issuer. Another 20 percent said they prefer calls to landline phones, 20 percent said they wanted e-mail alerts and six percent preferred SMS/text messages on their cell phones.

A cell phone call would be my first choice as well. It’s the fastest way to reach me — although a text would be fine as well.

The poll’s authors note that credit card fraud as a percentage of overall identity theft has decreased for six years in a row, largely because credit card companies are reacting in real-time to prevent losses from fraudulent activity.

Keeping tabs on account activity
I’m especially sensitive to fraud because I was a victim of ID theft several years ago. So, another aspect of the poll — how often people, especially those who have been victims of fraud already, check their account status online — caught my eye. I would be among the 11 percent of the poll respondents who check their accounts daily.

Yes, daily. Online banking makes this very easy and quick. I know what purchases I’ve made and I check daily to see when they post to the account. I recently caught a suspicious charge from a hotel I had visited in August. They charged me an additional $12.88 AFTER I had checked out — even though I hadn’t charged anything to the room. I called and e-mailed the hotel’s accounting manager to question the charge. He called it a hotel error and credited my Visa account.

The majority of the people in the poll (53 percent) said they check their accounts weekly and a third (33 percent) check them once a month. Three percent said they never check their statements. Yikes! This is troubling since a popular credit card scam involves making small $1 transactions on a card to see if the card is valid and to slide under the radar of fraud detection programs.

I welcomed that call from my credit card issuer at the gas station — although it was an annoyance to have the transaction denied. What if it hadn’t been me buying all that gas and it really was fraud? Shutting down the account so quickly was a positive thing to protect both me and the bank, but mostly the bank. Since many credit card companies now have zero customer liability for fraud, there is more incentive for the banks to quickly identify and stop fraud losses. I’m sure there are probably people who have horror stories about not getting prompt notification. For me, that cell phone call from the bank offers piece of mind.

Source: CreditCards.com