Monday 31 May 2010

Numerous Benefits Of Co-Branded Debit Card Programs

Branded debit cards, or co-branded debit cards, are powerful tools for businesses to attract new customers and strengthen relationships with existing customers. Co-branded debit card programs involve collaborations between banks, companies and reputed credit providers such as VISA and MasterCard. Co-branded debit cards have earned huge popularity amongst different business organizations.

Co-branded debit cards have become immensely popular in almost all business organizations. Through co-branded debit card programs, companies can print their names and logos on these co-branded debit cards; these function in association with highly esteemed credit card companies such as MasterCard and Visa.

Since these cards are recognized and command worldwide acceptance, they allow the company to get international exposure. In addition, co-branded debit cards boost the recall value and the overall image of the brands in the market.

These cards also help a business to win the loyalty of the customer. The benefits achieved by the company are directly proportional to the number of times the customer uses the card.

These prepaid cards help companies to increase their customer base, and help to minimize the acquisition costs of the company. Hence, these cards help the companies to grow their business prospects.

These card programs are not only beneficial for companies, but also useful for their customers. Customers are always in search of improved and flexible payment options. Co-branded debit cards can be very helpful in providing the best solution to these customers.

These cards allow customers to make purchases even after they fall short of cash. In addition, customers can also get attractive discounts at merchant establishments that have an association with banks that issue co-branded cards. Co-branded cards offer customers different methods of payment. They can either withdraw money from an ATM to make payments, or they can also shop online and make payments through these cards.

Many financial institutions, Forex companies and insurance companies have benefited immensely from the usage of branded prepaid cards program. Many companies in America, the Middle East and Europe have achieved successful implementation of generic card programs.

Offshore Pro Group

Co-branded Debit Card Program : An Efficient Marketing Tool for Companies

Co-branded debit cards programs involve affiliation of a bank, a business organization, and credit card providers such as MasterCard or Visa. Co-branded cards prove economical for companies business prospects. Hence, many business organizations worldwide are recognizing the advantages offered by these cards.

Business organizations can gain huge benefits from co-branded debit cards. Hence, various business establishments world over have started to involve into co-branded card programs. Today, organizations across different sectors including entertainment, retail, travel ad telecom can use co-branded debit cards.

If you wish to expand your customer-base and want to improve the reputation of your company in the international market, you can consider implementing these card programs. These cards represent the company’s brand name along with the name of esteemed credit card companies such as Visa and MasterCard which have a world-wide acceptance. Thus, by implementing co-branded programs, you can gain more exposure and tap more customers.

Co-branded debit card programs will also help your to study the spending methods of your customers. It can thus help you to formulate suitable marketing strategies.

You can provide attractive bonus and discounts offers to your customers through co-branded card programs. This will help you not only to lure new customers but you can also effectively retain your existing customers.

Co-branded debit cards are also beneficial for your customers. Owing to their flexibility in terms of spending patterns, they can offer a huge amount of convenience to your customers. Your customers can spend money even if they don’t have sufficient amount of cash.

These cards can be used by customers to pay their monthly bills or shopping bills. Besides, they can also be used to make payments over the Internet. Co-branded debit function are similar as prepaid cards. Thus, these cards allow the the customers to continue shopping even after they run short of cash in hand. The bill amount is later subtracted from their accounts.

Various business organizations such as trade organization, insurance firms and financial institutions have been greatly benefited from branded prepaid card program or Generic debit card program. Several business organization based in Asia, America, Middle East and Europe have reaped great benefits from co-branded debit cards.


Offshore Pro Group

Sunday 30 May 2010

Offshore Pro Group - The Industry Leader in Co-Branded Debit Card Options

Offshore Pro Group - The Industry Leader in Co-Branded Debit Card Options

Consumers today are flooded with payment choices. But they most commonly utilize payment solutions which allow them to express their individuality, while also simplifying their lives. Co-branded debit card programs from Offshore Pro Group satisfy both of these consumer demands.

Co-branded partnerships strengthen customer loyalty as well as attract new customers, lowering the organization's overall acquisition costs.

Offshore Pro Group is the industry leader for co-branded debit card programs, white label programs, software and payment integration platforms and turnkey payment solutions. Some of the payment programs currently offered by Offshore Pro Group include:

· Co-branded debit card programs

· White label programs

· Co-branded pre-paid credit card programs

· MasterCard or VISA

· Magnetic stripe and/or EMV (chip cards)

· Embossed and un-embossed card programs

· Full suite of services for the un-bankable clientele

· Turnkey solution including licensing and payment processing integration.

The company develops programs for clients within the following regions: Asia, Latin America, Caribbean, Europe, Middle East, Africa, South America, North America.

Offshore Pro Group prepaid debit card programs are used worldwide by clients for a variety of needs, such as Dividend, incentive and Forex payouts, Membership based affiliation applications, Loan and benefit payout applications, Insurance payout programs, Commission payout applications, Travel and remittance card programs, Telecommunications and cellular phone companies, Department stores and supermarkets, Gaming and gambling organizations, Service and utilities companies, etc.


Offshore Pro Group

Saturday 29 May 2010

Offshore Pro Group advice: “Reward Your Co Branded Debit Card Program Users”

To keep your company competitive, you might find that it needs an edge over the other companies or businesses that you compete with. One tool that you should consider is the co branded debit card program. This program allows you to place your company logo and name on a debit card that your customers will see every time they make a purchase. Keeping your company's name in front of your customer is very important.

If you can keep your company name or logo in front of your customer, you have a better chance of developing more return business. How do you keep these customers is the question you have to ask yourself. One way is to offer special rewards to your customer for using your debit cards. It might be something as simple as a cash back offer on certain amounts of money spent on the card. You might decide to offer something different but it should be something that your customers can appreciate and will find worth their effort.

Many airlines offer miles on their cards and this has proven to be very popular. While you may not be able to offer miles that can be turned into free trips, your co branded debit card program should offer something that is unique to your type of business, yet something that your customers will value. You might have to think carefully about the rewards you offer but it will be worth it to your business in the end. The reward does not have to be something large or difficult to implement. Sometimes the simplest reward is the best.

Everyone appreciates being rewarded for doing something that he or she already does. If your customer does not have to do anything special to get the reward, it makes the reward even much more attractive.


Offshore Pro Group

Pros and cons of going cashless with a credit card

We've all heard the prognosticators say that a cashless society is right around the corner. They've been saying this since the 1970s, when people began using credit or debit cards for the majority of their purchases. Perhaps the much vaunted cashless world is a virtual Neverland where people get around with Jetson-type cars and jet backpacks.

Regardless of the hype, it is quite possible to live a largely cashless existence in this country by relying on a credit card. This is particularly true if one lives in a major metropolitan area that provides major retailers and restaurants on every corner. It's almost hard to find a gas station anymore that doesn't have a pay-at-the-pump with a credit card option.

However, this does not mean that cash is dead, by any means. It's just a matter of choice and financial style that determines the degree to which a person relies on plastic, in the form of prepaid debit cards and credit cards, to get through their day to day lives.

There are distinct advantages and disadvantages to both paper and plastic forms of payment. Concerning cash, it can provide a healthy dose of anonymity when used as legal tender to pay for goods and services. And, privacy is a rapidly vanishing commodity in this country, so that advantage shouldn't be discounted. On the other hand, cash generally requires in-person payments to be made, which can be inconvenient compared to credit card and prepaid debit card transactions. The latter can be used remotely in a point of sale scenario where the customer swipes the card through a reader as well as for online purchases.

Another set of positive and negative aspects of cash exists that should be discussed. Cash has an immediate, visceral quality that can actually help control excess spending relative to making purchases with a credit card or debit card. You can try this experiment the next time you make an impulse purchase and, instead of pulling out the Visa or MasterCard, count out what you owe in cold hard cash. It provides a greater degree of clarity regarding the sacrifice you are making in exchange for the object of your desire. The downside of being a heavy cash user is the security issue. Losing cash or having it stolen is always a risk, and once it's gone, it's gone.

Concerning plastic, there are many reasons to consider moving to this progressive mode of financial management. These include convenience, security and automatic record-keeping of your purchases. But, as with many seemingly great things in life, there is a price to pay for this convenience. One is the fact that it's much easier to let spending get out of control when all you have to do is swipe a plastic card to make your purchase.

Another involves the expense of paying interest for months or years if you are unable to pay your balance in full each month.

So, which is better? Cash will probably never go away completely, much to the consternation of Visa, MasterCard, Discover Card and American Express. Even though the major card companies have been going after the micro-payments market in a big way, there will probably always be currency floating around the globe. But, it's good to be aware of the pros and cons of both cash and plastic and manage your finances accordingly.


Offshore Pro Group

Friday 28 May 2010

How to Correctly Handle Credit Card Accounts in a Divorce

Each year in the United States there are over 1 Million divorces. There is a lot of great information available to those considering divorce on how to divide up marital assets, determine the custody of children, and deal with the emotional toll a divorce can take on its participants. Unfortunately, many people neglect to handle outstanding debts in a manner, thru the Divorce, that will prevent serious financial problems down the road.


The primary issue results from many believing the Divorce Decree will supersede any original debt obligations or contracts and the impact that can have on someone’s credit and their ability to obtain financing, employment, or housing in the future. It’s not uncommon at the time of divorce to have outstanding credit card debt that is jointly held. You have 3 options to handle this debt to protect you from future problems:

1) Sell Something – The first option is to sell a joint asset and use the proceeds to wipe out any and all outstanding credit card debt while also closing the accounts or converting them into individual accounts.

2) Apply for separate credit – The second option is for each spouse to apply for new credit in their own name and then transfer their share of the existing debt into their new account while closing out the joint account.

3) Free the Account - If you cannot afford to pay off the existing debt and have difficulty applying for new credit, another option is to have the account frozen so new charges cannot be added. While this won’t eliminate your obligation to ensure the debt is being paid, it will prevent your ex-spouse from charging more to the account.

If these options just aren’t feasible in your situation and your ex-spouse will be responsible for making payments on a joint debt, it’s your responsibility to monitor that account and ensure it is being paid on a timely basis. This can be done by having copies of the bills sent to your home, gaining online access to the account, or regularly checking your credit report.

If your ex-spouse is unable to make the payments in a timely manner, regardless of what the Divorce Decree says, to protect your credit, you will need to jump in and begin making payments on that account.

Anyone considering a Divorce should seek legal counseling due to the complexity of what is involved. Do not be bashful in bringing up these issues with your Attorney to prevent a financial nightmare down the road.

Offshore Pro Group

Ways to Cut Credit Card Debt

How to eliminate credit card debt—once and for all—is a common topic for personal finance writers. And a popular way to do so, they write, is as follows:

The objective is to eliminate the carry-over balance on one card at a time, until all your cards have a zero balance. The credit card issuers will hate you for doing this, of course. But if you don’t do it, you’ll continue to pay hefty interest charges every month and will owe a balance until you die. Even then, if any relatives or friends are authorized to use your card, those charges will continue until they die.

If you have several credit cards—as most people do—all with carry-over balances every month, select one card and call it Card A. Call the others Card B, Card C, and so on. Then start paying more than the minimum on Card A, while paying at least the minimum on the other cards.

Now here’s where the personal finance writers are divided. Most say that Card A should be the card with the highest interest rate. That’s because—all else being equal—this card accounts for more finance charges than the other cards.

The problem is,”all else” is usually not equal. The carry-over balances are probably all different. Therefore, a few other personal finance writers argue, you should designate the card with the lowest balance and pay that off first. Then you’ll have a card with a zero balance, and anything you charge on it will not be socked with a finance charge—if you pay the balance in full each month.

Naturally, if one particular card has both the highest interest rate and the lowest balance, that’s definitely the card to pay off first.

As soon as you pay off Card A, select another card and start paying off that one, too.


Offshore Pro Group

Thursday 27 May 2010

Paying Your Credit Card Bill by Mail

The traditional way to pay a credit card bill is to detach the “return this portion” of your statement that contains your name, address and account number, along with the address of the payment processing center.

You fill in the amount you’re paying and insert the portion, with your check or money order, in the envelope provided, making sure the center’s address shows through the window of the envelope. Affix a 42¢ stamp (44¢ after May 10) and mail, at least five days before the due date.

The further you are from the center, the more time it will usually take to get there. And vice versa. If you find out there’s a closer center than the one shown on your statement, ask the card company to list that one instead, to save a day or two of transit time.

In case you never noticed, there’s a series of five vertical lines to the left of where you stick the stamp. This indicates to the sorting machine at your local post office’s that there’s a barcode beneath the address, which the machine reads to speed up the processing. If you address a closed-face envelope instead of using the window envelope, this automation is lost and your mail may be delayed.

And that’s important, because if your payment is posted even a minute after the time noted on the back of your statement—e.g., 3 pm ET—on the due date, you’ll be hit with a late fee of $39 or so. Even if it arrived much earlier that day but a clerk didn’t get around to posting it until after the deadline.


Offshore Pro Group

Credit Card Tips: Save Big Money with a 5-Minute Phone Call

Credit card companies keep raising fees and interest rates, because they are struggling to survive one of the worst economic climates in history. Every day the headlines describe how another credit card company cut back lines of credit or spending limits while it raised interest rates that were already out of control. But if you are a good customer who has not given your card company any legitimate reason to be hard on you – if you pay your bills on time and do not exceed your spending limits – then you may be able to successful turn things around in your favor. And all it takes for many cardholders is a polite and simple five minute phone call.

Call the card company customer service line, and politely but firmly explain to them that you have been a loyal customer and are satisfied with your card – except that you are able to get a much more attractive rate from another card company that has extended offers to you. Let them know that you will stay with their company only if you can justify doing so by getting a more reasonable rate, and ask them what they are willing to do for you.

If your current interest rate is 20 percent, for instance, you may want to ask for 15 percent instead. If your rate is 15 percent now you might try to get them to lower it to 10 or 12. Usually the customer service representative is already authorized to give you a small rate discount, as long as there are no problems with your account. They will often offer you a lower rate on the spot, and if they don’t you have nothing to lose.

But if your phone call only gets you from 20 percent to 18 percent, for example, you can pat yourself on the back. You just scored a whopping 10 percent discount and it only took five minutes. That’s a much better rate of return than most Wall Street wizards can boast.

Offshore Pro Group

Wednesday 26 May 2010

Credit Card Tips for eBay: Rack up more reward points on PayPal

So you are one of those millions of Americans who loves to shop on eBay, and you’ve noticed that within the past year or two almost every single merchant on eBay prefers PayPal payments. In fact, many – if not most – of the sellers on eBay only accept one form of payment, and if you don’t use PayPal then you cannot transact business with them. That’s not necessarily a bad thing, mind you, but PayPal accounts are generally tied directly to your checking account. You buy something, you pay for it on PayPal, and the money gets electronically deducted from your bank account to pay the seller. That’s great, and it’s really fast and convenient – but it does nothing to help you earn more rewards points on the credit cards that pay you in airline miles or other perks every time you choose to use plastic instead of cash.

Not to worry. You can still fuel your travel miles account while shopping on eBay and paying with PayPal. Here’s what you do: Once you get to your PayPal account, you will be presented with a page that shows you the details of your purchase, explains the shipping charges if there are any, and gives you a chance to double check and verify your shipping address and other pertinent details. But if you take time to study the page you will also notice that you have more than one choice for how you want to fund the transaction. The default or automatic setting is for it to take the money from you primary source of funds – which is usually going to be either your bank account or your special PayPal credit or debit card if you have one of those.

To use your purchase power to accumulate rewards on a special rewards card, however – such as an air miles card – you should list that particular card as your “back up source of funds” on PayPal. Then it will show up as one of the choices or sources of funds. Check that card – instead of automatically paying through your bank account – and it your charge will go on your designated rewards card. You’ll get your rewards points. You may not be entitled to special purchase protection plans from eBay or PayPal, so that is something you may want to consider. But chances are that your credit card company offers its own types of protection, so that may not be an issue after all.

Offshore Pro Group

The Online Era of Credit Card Management

Not that long ago the whole idea of doing any financial transaction over the Internet was looked at with great skepticism and a bit of paranoia by the average consumer, but that has all changed. These days the online credit card account is a common resource for most people who can use online banking and Internet credit card tools to do everything from online credit card applications to bill payments and online credit card travel arrangements or shopping.

The only difference between traditional credit card use and online credit card management is that instead of dealing through the mail, over the phone, or in person at your bank you handle transactions and other procedures virtually – by using email or going to your online credit card company’s website. You can even get credit card offers through email, respond to them on your computer, fill out an online credit card application, and get a new credit card approved in your name – all with a few clicks of the computer mouse.

The big advantage of online credit card accounts and online banking is that you can access the account, pay bills, check your balance or statement, and do dozens of other tasks 24 hours a day, seven days a week, just by getting to a computer that has an Internet connection.

Once you establish an online credit card account you can schedule bill payment, for example, so even if you are traveling you can still pay your bills on time. You can schedule automatic payments for a future date of your choosing, and you can use your online account to manage your budget, your credit card rewards program, and even your year-end tax accounting. Nowadays you can even pay for things like your license plate registration renewal or real estate property taxes with an Internet credit card. Plus, doing this kind of activity and getting your online credit card statements sent to you electronically reduces the need for paper printouts, paper documents, and mailed statements – which is a greener solution that is better for the environment.

Offshore Pro Group

Monday 24 May 2010

What Does a Credit Card No Response to an Application Mean?

The first time getting a new credit card has become a really important rite of passage in the modern world of consumerism, because without a valid credit card it is much harder to transact business, shop, and enjoy the convenience of carrying plastic. But if you apply for a card and get a credit card no or a rejection of your application, don’t panic. Just because one card company turned you down it does not mean that other credit card companies will say no to you.

What companies look for on your credit card application is a track record of good borrowing and timely repayment of your debts. So first of all, lots of people who are applying for a credit card but have never had one before are faced with a challenge. Since they do not have a credit card they also do not have any credit history, and they me get a credit card no acceptance reply. In that case they should talk to their bank about ways to take out small loans, pay them back, make sure that the loan history is conveyed to credit card reporting agencies, and in that way gradually build up a paper trail of good borrowing and credit history.

Other reasons for credit card no acceptance answers from your application could be that you do not have enough income to adequately cover your debts. In that case you can reduce your debt by paying it off while trying to increase savings. Or you may get rejected because you or your spouse or ex-spouse has a bankruptcy or foreclosure on their credit record. In that case take some time to clean up your credit history, improve your credit score, and then try again.

If you meet with repeated credit card no-go answers each time you do a credit card application, you can still get an approved card, however, by using what is known as a secured card. You deposit money into a bank account attached to the card and the amount you keep on deposit determines your credit limit. Use the card responsibly to build a credit track record and then soon you will be able to apply for a conventional non-secured ordinary credit card.

Offshore Pro Group

Understanding Your Credit Card Payment Options

Maybe you have noticed that once in a while, especially if you have been very good about making your credit card payment on time, you get a letter or note on your monthly credit balance statement that says you get a payment vacation. Some credit card companies offer these chances to skip a minimum payment, in other words, but before you accept the offer think about it for a minute because if you do not make the minimum payment you are still charged interest.

Making the minimum credit card payment just means you are keeping up with a portion of your interest payments, but by doing that you do not do anything to pay off the main balance of your debt. Only when you pay more than the minimum do your credit card payments cut down on your total outstanding balance – and only when you make a large enough credit card payment to pay off the entire balance do you stop getting charged interest.

Normally – unless you have a special card that lets you isolate certain purchases and pay them off separately – your card company will apply your credit card payments only to the total balance. So you may have a current outstanding balance, for example, of $300. If you buy something this month for $50 and pay for it at the end of the month by making a credit card payment of $50 your card company does not see it that way. In other words they don’t apply the $50 to that specific purchase but they just deduct it from the total you owe which is $300, plus the new $50 charge, plus any fees or interest you owe.

To really pay off your credit cards, therefore, you have to pay down the whole amount and clear the total outstanding balance back to zero. But keep in mind that there are some new cards being offered to those who have good credit and these cards offer financial management and budgeting tools that may let you pay off a designated purchase by itself – which gives you the flexibility to be more precise about how your credit card payment is applied. Some of these cards charge an annual fee but if you like that feature and option, you may want to look into getting one of these new cards.
Offshore Pro Group

Sunday 23 May 2010

Balance Transfer Strategies for Smart Credit Card Consumers

One of the fastest and easiest ways to cut down on credit card debt is through what is known as debt consolidation. Debt consolidation is simply the tactic of taking expense high interest loans and paying them all off with a single lower interest loan, effectively capturing the difference in high and low rates as your instant savings. Of course the problem these days is that banks and other lenders are being tight with their money, so it is not so easy to just walk into a bank and walk out with a good debt consolidation loan. Instead, many consumers are taking the debt consolidation idea and implementing it by themselves, just by doing a credit card debt balance transfer.

Here’s how it works, in a nutshell: Say – just for example – that you have two or three credit cards with credit card debts on each one of $1,000, for a total of $3,000 in balances carried forward month to month. Now for the sake of example let’s assume that each card has an interest rate of 20 percent. If you get an offer from a competing credit card company that will let you do a balance transfer for zero percent interest on the transferred balance, you could move all of your other credit card debt – from the three different cards – over to that one new card. You will still have an outstanding balance of $3,000 total, but it will be on one card, not three, which makes it easy to manage. You just have to pay one bill, not three bills, and that significantly decrease the chances that you will accidentally forget to pay one and go into default. But the best part is that your 20 percent debt is now transferred over to a credit card charging you zero percent.

Just by doing the balance transfer described in our little example, we saved 20 percent of $3,000 – which is equal to $600. Plus we simplified our budgeting and household accounting and check paying, which saves times and eliminates hassles. So if you want to take a bite out of your debt in 2010, consider doing a smart balance transfer. You could save hundreds of dollars in a matter of minutes.

Offshore Pro Group

Credit Card Limits: What’s typical and how are limits calculated?

Every credit card has a limit on how much the cardholder can spend each month without incurring extra fees and penalties. In other words, each credit card has a credit ceiling on how much can be purchased against it, charged to it, or borrowed from the account in a given month. Exceed that limit by, for example, spending more than the stated limit and the credit card company will hit you with a fine. Keep going too far over the limit and eventually the card company may lower your limit even further while also reporting your behavior to the major credit history agencies – which will result in a lower overall credit score or FICO score.

So it is to the consumer’s advantage to have a higher credit ceiling. While typical credit card customers with a major card like a Visa or MasterCard usually start off with credit limits of $500-$1,500, others customers have credit limits that are 10 to 15 times higher than that. When you first apply for a credit card, the card issuer will study your credit report and other information regarding your income, debts, and financial liabilities like mortgages or car payments. Using that data they will do calculations to determine how much of your monthly income is spent on paying your bills – and how much of it is left over after all your obligations are paid in full. In other words they try to predict how well you can budget your money, and how much extra money you have left over. Based on those calculations they will offer you an amount of credit – or a credit limit – that they think is reasonable. They want you to use your card but they also want to ensure that you do not default or miss a payment.

Once your credit limit is established, however, you can prove to the card company that you are ready to have a higher limit by paying your balance on time each month. Do that and every six months or so the card company will raise your limit. The limits are often raised by $200 or so at a time, so over a period of 10 years of good payment history your limit might go from $1,500 to $6,000. Sometimes you can also get your limit raised by transferring a balance from another credit card. So, for example, if you transfer $2,000 to your card from a competitor’s card, your card company may agree to raise your credit limit by $2,000. Combine balance transfers with a solid payment history and you, too, may wind up with a $25,000 credit limit – which is unusually high but not impossible to achieve.

Offshore Pro Group

Saturday 22 May 2010

Deciphering Tricky Cash-Back Rebate Card Terms

These days consumers are watching their expenses more carefully than they have in decades, and any opportunity to save a few dollars is greeted with eagerness. Credit card issuers know what makes consumers tick, and these days they are using their marketing campaigns to appeal to the urge to save while Americans struggle to pay their bills. But credit card cash back programs, rewards card offers, and advertisements for the newest and most exciting rebate card should be read carefully before signing up on the dotted line. That’s because many of these offers have contingencies or terms that need to be met in order to qualify.

Some rewards come in the form of gifts or merchant discounts, for example, but those will only be valuable to you if you shop for those items or with those particular retailers. Other rebates kick in after an introductory period or only if your spending limits reach a certain amount. Then there are cards that offer a higher percentage of rebate or reward for specific categories of purchases – but in other categories the perks are less. Card companies naturally emphasize the topmost rewards and highest values in advertising, so the prominent reward or percentage in an ad or mailed offer may only apply to some situations, while the average rebate is smaller.

Almost all of them offer perks, for sure, and many are rewarding and valuable. But to make sure you get the right card for your particular needs, be sure to read the smaller print. Thanks to new federal rules and regulations regarding transparency and clarity, that smaller print may have gotten a few font sizes larger in recent months. The consumer protection laws have forced card issuers to be more up-front about the terms of their agreements, and they are starting to use more user-friendly language. So generally speaking card statements and offers are now easier to comprehend. But smart consumers are choosing their credit cards carefully and avoiding the habit of carrying lots of different cards. So if you are searching for the ideal rebate card for your spending and savings needs, read the entire offer and the small print so that you can make a wise and informed decision.

Offshore Pro Group

Friday 21 May 2010

Is a Free Credit Card Too Good to Be True?

Just as the old saying goes, there is no free lunch in this world. But there are freebies attached to credit cards – including perks like no annual fee or yearly membership. These so-called free credit card deals may not be completely free of charges – such as interest you still have to pay on any balances you carry forward from month to month – but when it comes to owning a credit card one with no annual fee is as close to a free credit card as it gets. Pair that free yearly membership with a competitive interest rate – or a low or zero introductory rate deal – and you have a formula for a really attractive credit card.

Keep in mind that some cards that do charge an annual fee may have other benefits that can help to justify the cost of your yearly membership. Many rewards card, for example, like those that are connected to an airline frequent flier program may carry an annual fee. But if your rewards outweigh the cost of enrollment, then it may be worth it to you. Otherwise you will want to search out cards that are really and truly free credit cards with no annual fee – because unless you are getting some special perks there is no reason why you should have to pay for the privilege of carrying plastic around in your wallet.

Study the small print whenever you get a free credit card offer to determine whether it is a permanent offer or one that has an expiration date. Many cards will start you off for free, for instance, but maybe after the first year you will start to be charged an annual fee. Others will charge a one-time enrollment fee when you first get the card, a practice that is common with cards offered to people who have poor credit.

But if you have decent credit and plan to hold on to your card and rely on it for years to come, you might be better to keep shopping around. There are literally hundreds – if not thousands – of great credit cards that never charge any enrollment fee or yearly membership at all while the still offer great rates and benefits.

Offshore Pro Group

Credit Card Rewards Programs: Good reasons to say “charge it”

There are many different types of credit card rewards programs that will pay you back with money or other incentives in exchange for you using your card to pay for merchandise or services. Pick one that is appropriate to you based on what you buy the most often, and you can wind up saving a great deal of money – or getting lots of free perks or discounts – just by using your rewards card.

Let’s say, for instance, that you are a constant traveler who spends lots of money every year on airline tickets, rental cars, hotels, and out of town meals. Pair those spending habits with a good rewards card that tailors its incentives, rebates, or other credit card rewards to the business traveler and you may reap some really advantageous benefits.

Or if you are, for example, a truck driver or sales person who spends several hours each day driving from one customer or drop-off destination to another, you might be an ideal candidate for a gasoline credit card rewards program. These may pay you rebates or credits based on how much gas you buy or money you spend, or they may reward you for buying a particular brand of gasoline.

Some cards will even do innovative things such as entering you into a lottery type contest as their unique credit card rewards program. Get lucky and you might win a huge amount of money. There are cards that cater to people who support charities, too, and if you use those kinds of cards you might get rewarded not directly but through a program that automatically donates part of your credit card totals to your favorite non-profit organization.

The range of possibilities is huge, so if you want to earn cash back through a rewards card or get other types of credit card rewards as a bonus or incentive for being a loyal, active, and good credit card customer then shop around for a rewards card or cash back program that appeals to you and rewards your kind of spending patterns or shopping preferences.

Offshore Pro Group

Thursday 20 May 2010

Prepaid Credit Card Frenzy: Why they are so hot in 2010

The market for prepaid credit cards is one of the fastest-growing segments of the multi-billion dollar credit card industry, and it is expected to continue to swell in 2010. Much of the reason for this surge is that prepaid credit cards are being marketed and advertised much more effectively – even being issued by famous pop stars whose logos appear on the cards as a kind of status symbol perk.

But the biggest fuel behind the prepaid credit card boom is, unfortunately, bad credit. Those who have bad credit due to a credit history that involves bankruptcy, mortgage default, or some other major problem cannot get traditional credit cards. During the recession millions of people found themselves suddenly in that unfortunate situation. And without a credit card it is not just inconvenient but sometimes hard to do simple things like rent a car. So people turn to prepaid cards as a way to get some plastic in their wallets until they have a chance to get their credit histories and finances back on track.

With a prepaid credit card you establish your own credit history, basically, and you decide for yourself what your credit card charge limit will be. In that way these cards can be very empowering – especially for those consumer who are sick and tired of being turned down for credit at banks and other financial institutions. The way the prepaid card works is that you deposit cash into an account, and that reserve of cash is used as your line of credit. You can charge on your card, make purchases with plastic, pay bills via credit card, or perform other typical credit card functions just as you would do with a conventional credit card, but only up to the amount that you have on deposit. Once the cash you prepaid into the account is used up, the credit card is also used up and will not function for you anymore.

So prepaid lets you control your finances because you determine when and how much to put on deposit to back up the plastic. Used wisely these card can be both convenient and helpful because you have the freedom of a credit card paired up with the responsibility that comes from managing money intelligently. Use a prepaid to shop, but also use it to improve your credit history so that you can eventually graduate to a full-service credit card.

Offshore Pro Group

Tips for Finding the Best Prepaid Mastercard Card

With the guide to prepaid cards we provide you will be able to compare the different offers of a prepaid Mastercard card in the market and find out the issuer offering you the best prepaid Mastercard card out there.

A prepaid MasterCard card is a card that is pre-loaded with money, specifically your own money. You can use this on any retailer or establishment that accepts payment via MasterCard cards. It works basically the same ways as a credit card but without the credit.

Credit card and prepaid MasterCard can be somewhat confusing and misleading. The difference between the two is that with a prepaid MasterCard card, you are already paying for the service or product and not through credit. This is because every time you are using a prepaid card, you are actually immediately spending the money stored in the prepaid card account thus you are already paying for it, thus, avoiding being in debt and the high interest rates that come with it.

Here are some advantages and reasons on why you should use a pre paid card:

  • The increase of identity theft and the chances of getting your cash stolen, it is more practical to just put all your money in a prepaid card because if stolen you can report it to the card company and they will replace the stolen value.
  • Prepaid cards could work a lot like gift cards with a few perks that makes it better, plus anyone can apply for it and get approved immediately.
  • It can be used at almost anywhere as long as they accept card as payment
  • A prepaid card acts like a credit card. It allows for online shopping, buying gas, and even in restaurants that accepts MasterCard. Transactions via phone are also possible.
  • If you have a bad credit record this is an ideal option. The fees are not that difficult and it could also help you build good credit profile since you can start all over again. If you are having problems applying for a credit card because of your record, it will be easy to apply for this card. No credit background check is done for prepaid MasterCard application.

There are two ways for applying for best prepaid credit cards. You may apply at a provider’s outlet (depending on your location) and you may also apply online. There are several brands of prepaid MasterCard cards. It will be better to check if the specific brand that you have chosen is available in your area.

If you are the type of person who want to have the perks that credit card holders have but does not want to be burdened with the problems that comes with it such as high interest rates, credit debt, and a long process of credit background check, then a prepaid credit card is really a good choice.

This option could also help you discipline yourself in your spending habits.

Another good benefit of this is that you can have your salary deposited to this account which makes your life way simpler. You may also pay your bills using your debit card which makes these transactions easier and more secure.

Although pre paid cards help in making you debt free it also comes with responsibilities. Remember that every time you swipe your prepaid Mastercard card, it’s just like paying by cash. The money in the prepaid Mastercard card is just equal to the money that you pre-loaded.


Offshore Pro Group

ATM Debit Card

A brief introduction to the ATM debit card:

ATM(Automated Teller Machine) debit card is a multifaceted, powerpacked globally accepted plastic debit card which enables one to access ones account from anywhere. The ATM debit card may have either the Visa or the Mastercard logo embossed on it.

The ATM debit card


is linked to an account from where the fees or charges are deducted as the transaction demands. The ATM debit card has the name of the debit cardholder embossed on the debit card.



· Withdrawal limit and Cost:

The maximum amount which one may withdraw per day is not more than $500. The cost of an ATM debit card is usually $150. The money is denominated in US Dollar.

· Working of the ATM debit card:

Whenever a transaction is processed on entering the PIN (personal identification number) the ATM debit card number is sent to the bank issuing theATM debit card where it is verified for the authenticity of the transaction as well as for the availability of funds.

The bank checks for the availability of funds. If there is sufficient fund the bank replies the same and the ATM debit card holder is able to carry out the transaction. In the event of non availability of fund the message of “Insufficient Fund” is displayed on the screen.

· Maintaining the confidentiality:

Only the bank is aware of the details of the transaction which it is not permitted to divulge. So, inspite of the name being embossed the confidentiality of theATM debit card bearer is maintained because the ATM debit card number is taken into account and not the name of the ATM debit card holder.

· Usefulness:

The ATM debit card is useful in the following ways:

  • Withdrawal: One can withdraw money from anywhere, from any Visa or Mastercard terminal with the help of one ATM debit card.
  • ATM debit card allows an individual to deposit money from any Visa or Mastercard terminal available.
  • With the help of the ATM debit card one can transfer cash from one place to another in no time.
  • Information on the available balance can be viewed by accessing any Visa or Mastercard terminals with the ATM debit card.
  • The details of all the transactions taking place using the ATM

debit card is made available to the ATM debit card holder by means of the statement generated by the issuing bank of the ATM debit cardholder.

  • Time taken for any transaction is much less because entering a PIN( personal identification number) is always faster than writing a cheque.


Offshore Pro Group

Wednesday 19 May 2010

Offshore Debit Card: the Solution to Bank Account Freezing

The savagery of the global financial crisis has had its great toll on everyone, changing their very way of life. Massive inflation, rising commodity prices and mass layoffs have made each day a fight for survival. The simple tax on bank accounts that was previously being ignored by the taxpayer has now become very material, as every cent counts in these harsh times. The tax someone pays just to keep his money in the bank is suddenly heavy for the pocket.

Even having cash in bank is no longer a guarantee for having enough money when you need it, as stricter legislation and restless financial institutions may very well have your bank account frozen. Simple mistakes may now cause you proceedings to have your bank account frozen and restricted from withdrawal or use. And a frozen bank account is just like having no bank account at all.

Personal security with our offshore debit card is also guaranteed because of our data encryption utility, which reduces the risks of identity theft when your funds are being drawn out of your virtual safe to almost zero. The data you enter also goes through a strict verification process to check its compatibility with your transaction history. Any unwanted intrusion from anonymous third parties will also be blocked by our account-locking system thus preventing any suspicious attempts. Any questionable attempt will be sent to you in full detail, asking your opinion about the matter at the same time. Your financial security and convenience are out utmost concern.


Offshore Pro Group

Debit Card Offshore

When you have an offshore debit card, you have placed your money with an offshore bank and can use the debit card to have access to your money. If you have an offshore checking account, having a debit card associated with that account gives you quick and easy access to your money. Before obtaining an offshore debit card, you should make certain you will be able to use it in your own country. Otherwise, having the debit card would be useless.

Maestro and Cirrus are two of the largest international interbank network. Most ATMs feature either one or both of these logos indicating that your offshore debit card can be used at this ATM. Ensuring that your offshore debit card has one of these logos is the best way to know that you will have access to your money.

It is important that you do your due diligence before placing your money in an offshore account and obtaining an offshore debit card. There are a great number of institutions and products available in other countries. The responsibility of checking out these offshore institutions and products is yours. You should check out the institution with local regulators as much as possible. Make sure the institution is a licensed bank or trust. Find out how long the bank as been in business and how long they have offered offshore debit card. You can also check with Visa or MasterCard to find out more about the institution. By doing this due diligence, you can have the peace of mind that your money is safe.

Find out how of your money is protected and how. For example, in the United States, up to $100,000 per account per institution is federally insured. This means if the bank happens to go bankrupt, or some other calamity occurs, the federal government will cover your loss, provided it is $100,000 or less. Does the bank abroad you are interested in have such insurance? If not, you face the risk of losing all the money you have in the account.

Make sure you fully understand the costs associated with obtaining the particular debit card. You could end up paying account maintenance fees, ATM withdrawal fees, and transaction fees to name a few. The fees charged will vary depending on the institution from which you obtain your offshore debit card. If possible, get the fees in writing for your records.


Offshore Pro Group

Monday 17 May 2010

Teaching Young People about Finance through Prepaid Credit Cards

Parents are always looking for innovative ways to teach their kids about financial responsibility – especially these days when the average college student leaves college with 5-digit credit card debt and teen budgets can go haywire during just one short trip to the shopping mall. But with the advent of many new types of prepaid credit cards, parents are finding that using a prepaid card – which has a fixed credit limit – is a great way to help kids learn about credit card responsibility.

Think of a prepaid credit card as a financial bicycle with training wheels or a long leash to rein in spending. One of the biggest challenges when teaching a young person about finances – especially credit card debt – is to figure out how to balance financial freedom with budget limits. If you don’t give the child freedom to make their own money management decisions they will never learn how to be responsible with a budget, but if you give them too much slack they may get into financial trouble – and could even wreck your credit along the way.

Prepaid credit cards eliminate those factors because you cannot go over the limit on a prepaid card, and since it is backed up by cash in an account you cannot misuse the prepaid card in a way that will mess up your credit score. Meanwhile you can use it to build credit, so if a teen does a good job of using their prepaid credit card wisely they can earn the right to have their own real credit card – by earning a good credit rating that will start them out as an adult on a solid financial foundation. Good budget habits are rewarded in ways that the teens can clearly see and understand, but there is so much less risk than you can potentially incur by just letting a kid be one of the signers on your own Visa or Mastercard account. In that way the prepaid credit card is really like good training wheels because it is safe but helps the young person learn to navigate their own way in this credit-conscious world.

Offshore Pro Group

Sunday 16 May 2010

How do prepaid debit cards differ from bank debit and ATM cards?

How do prepaid debit cards differ from bank debit and ATM cards?

When banks first began issuing ATM cards in the 1970s, debit cards had very limited utility unlike their counterparts, credit cards, which could be used almost anywhere. Consumers could only withdraw cash from the automatic teller machines -- usually on premises at their bank. Later came other functions such as checking bank balances, transferring money between accounts and depositing funds after hours. Bank debit cards have always required the use of a personal identification number (PIN) to access funds or perform other transactions. Certain merchants began accepting debit cards for point of sale transactions in the late 1980s, notably supermarkets, convenience stores and gasoline retailers. These transactions still required the input of a PIN via a keypad used by the consumer. The settlement process involves transferring cash from the individual's checking account to the merchant's account.

The debit card world changed dramatically when Visa and MasterCard credit card associations entered the arena and teamed up with banks to issue bank debit cards and prepaid debit cards with the Visa and MasterCard credit card logo. This allowed PIN-less debit card transactions to occur and provided worldwide acceptability to debit cards as with Visa and MasterCard credit cards. Visa and MasterCard had figured out a way to make money from merchants when consumers paid for goods and services through their checking account. Consumers were happy because they could have much of the utility of a credit card without having to worry about going into debt (although it required discipline to write down the charges to keep the

checking account balanced). And lastly, merchants were happy because they could avoid dealing with losses from bad checks -- by paying a percentage fee for each sale to the card associations.

Bank debit (also known as check cards) and prepaid debit cards differ from bank ATM cards in that they do not require use of a PIN to access funds, unless the customer is using an ATM to withdraw cash. A prepaid debit card also has a credit line equal to the amount on deposit with the card company, so it is a pre-funded credit line rather than a borrowed credit line. Debit cards draw funds from a bank checking account and prepaid credit cards draw funds from the money "loaded" onto the card beforehand.

Prepaid debit cards carry the Visa or MasterCard logo and are accepted worldwide as with normal credit cards. These cards are a good option for those with insufficient credit history or impaired credit because they do not require a credit bureau check to be approved. The traditional un-banked populations in the United States have proven to be a tremendous growth area for these products and should continue to fuel growth over the next decade.
Offshore Pro Group

How to Choose the “Best” Credit Card

The best-known credit cards in the U.S. carry the name of Visa, MasterCard, American Express or Discover—the Big Four. But Visa and MasterCard cards are not actually issued by either Visa or MasterCard. They’re issued by more than 20,000 individual financial institutions (mostly banks) that are licensed to do so. And each card issuer sets—and often changes—its own rules and rates in regard to finance charges, fees, benefits, credit limits, application approval, account restrictions or cancellations, etc.

With so many different cards to choose from, and so many recent changes throughout the credit card industry due to the recession and federal government intervention, it’s more difficult than ever to choose the “best” credit card. It could take you weeks and much effort to check out every credit card by yourself, and you might overlook a number of cards that are unknown to the general public.

Fortunately, our website can be of help. As you explore our website, you’ll see that we’ve made it easy for you to express your needs, wants, credit situation and other variables, so we can recommend which card is best for you, right now.

Are you primarily interested in a low interest rate, balance transfers, instant approval, reward or cash-back programs, airline miles, a high credit limit, a prepaid debit card, a student card, a card for business use, a gasoline card, a card for world travel, no annual fee, a decent grace period, a card for use at ATM machines...or something else? Is your credit very good, bad, or somewhere in between? Would you like a card that will impress others?

When comparing cards—and we’ve made it very easy to do so— keep these suggestions in mind:

1. Don’t just look at the introductory “teaser” rate, if there is one, and ignore the other data. After the specified period (which might be only a few months), the regular rate will kick in, and it could be much higher than cards without an intro rate.

2. If both you and your spouse are considering a new card, you might want to apply to different card issuers, to help control your use of credit. If you both use the same card (i.e., one account with two actual cards), it’s all too easy to inadvertently exceed your credit limit and be hit with over-limit fees, or have your card rejected when trying to use it.

3. If you run a small business, it helps to have a separate card only for business-related purchases (unless that’s prohibited by the card issuer). It will help you keep track of expenses and at tax time.

Once you’ve narrowed down your card choices, just follow the simple directions, and in seconds you’ll find out which cards are the best for you. There’s no charge—now or ever—for our services!
Offshore Pro Group

Credit Card Tips for Travelers

As the famous credit card advertisement advises, “Don’t leave home without it.” Traveling light is the name of the game, and nothing lightens the load like a thin plastic credit card that can replace cash and traveler’s checks while also making financial logistics a cinch while you’re far away from home. But before you embark on your next trip, it is good idea to first make sure that you have the right card – and the appropriate procedures and precautions in place – to ensure smooth sailing and safe, easy access to your cash.

First of all, make sure that you have a system in place to pay your monthly credit card bills. Otherwise regardless of how carefully you plan your trip you may wind up unable to make timely payments, and that will add fees, penalties, and damage your credit score while potentially leaving you unable to use your card because of an overdue balance. Next, make sure your card is not going to expire while you’re still on the road. If that happens you may have a worthless card in your pocket while the new valid one sits collecting dust at home in your mail box.

Sometimes carrying an ATM card tied to your bank checking account is the most convenient plan, but depending upon your circumstances and financial situation you may want to just you a credit card – or take both pieces of plastic along for the ride. Regardless of which cards you decide to take, always find out if your card is accepted in the places you intend to visit. If you aren’t sure, ask your card company, bank, travel agent, or a travel information office located in the city or town you plan to visit. While you’re at it, make sure that your personal identification number or PIN is updated so that you can use the card to access quick cash from ATM machines.

Last but not least, make photocopies of any cards you intend to pack along on the trip, remembering to copy both sides of the card. Give one photocopy to a trusted friend or family member so that they can retrieve your card information if your credit card is lost or stolen. Put the other one in a safe place and take it with you, but do not stash it in the same place as your actual cards. If you carry cards in your wallet, for instance, carry the photocopy someplace else or leave it locked in a hotel safe. That way if your wallet is lost or stolen you will still have copies of the cards elsewhere, and that will help you immensely when it is time to contact your credit card company and get a replacement issued and sent to you.
Offshore Pro Group

Saturday 15 May 2010

Four Quick Tips to Avoid Financial Fraud in 2010

During any economic downturn the prevalence of fraud increases, and in 2010 consumers need to be more vigilant than every about various scams to steal their money, financial identities, or both. Here are three ways to help protect yourself and your bank and credit card accounts from thieves and criminals intent on sabotaging your savings and taking advantage of your good name and credit history.
Invest in a Paper Shredder
Old bank statements, canceled checks, purchase receipts and various other financial documents may be your trash, but they are a con artist or thief’s gold mine. Buy a shredder and use it to shred up all documents related to your finances or other personal information, otherwise they may be plucked from your garbage or even from a public landfill and used against you.
Check your Credit History
Without paying for it you can order a copy of your credit report once a year and review it for discrepancies, mistakes, or evidence that someone else is tampering with it. Take advantage of this opportunity – otherwise someone with bad intentions may take advantage of you.
Guard Passwords and PINs
Once a thief has your password on personal identification number they can burrow down deep into your personal data and – if they are so inclined – wreak havoc on your finances or steal you blind while you aren’t even looking. So protect vital info like passwords by never writing them down and frequently updating them and making them harder to figure out or decode.
Beware of Phishing Schemes
One of the easiest ways to steal is to send you a notice by email that looks just like it came from your own financial institution. Cyber criminals can even use the same logo or create a fake website to convince you, but you should never reply to an email asking you to reply with any confidential info such as your social security number or account password. If you get an email and cannot tell if it is legitimate or not, just phone your bank or credit card company instead.
Shredding and guarding in 2010 could save you from a really damaging victimization by a financial fraud scheme, so be alert, follow common sense guidelines, and then enjoy a more stress-free and safe 2010.
Offshore Pro Group

Get a Credit Card Despite Terrible Credit

Even if you were turned down for a credit card or have such bad credit that nobody will lend to you, it is still possible for you to get a valid credit card. That’s right, even if everyone has rejected your credit card applications the chances are extremely high that you can walk into your local bank and walk out with a brand new MasterCard or VISA Card that will work credit cards are accepted. Use it for groceries, to buy gas, to shop at the mall, to purchase souvenirs while on vacation, or to rent movies or pay for a fancy meal in your favorite gourmet restaurant.

The kind of card you want is a “collateralized” credit card, because it has collateral or actual cash to back it up in the event you fail to repay your balance. Ordinary credit cards, on the other hand, are not backed by anything but good faith – which is why lenders and credit card issuers will not grant you one unless they think you have a strong record of repaying your obligations. But if you get a collateralized credit card it will be tied to your checking or savings account in much the same way that an ATM card is connected to that kind of bank account.

Your bank will put a limit on how much you can spend based on how many dollars are held in your matching bank account. Put $500 in the credit card bank account, for example, and your bank will typically issue you a credit card with a $500 spending limit. As you spend money during the month, the limit shrinks – just as it does on a conventional credit card – and when you repay the card by paying off your outstanding balance then the limit goes back up. The major difference is that with money in the account to back up the credit card you are able to get a VISA or MasterCard when you would otherwise be totally refused and rejected.

The best feature of these unique credit cards, however, is that they give you a way to build up your credit rating. Once you get one and start using it responsibly, make sure your bank reports the account activity to the major credit rating services on a regular basis. Before long you will have good enough credit that you will be able to apply and get your own traditional style non-collateral credit card, even if you were rejected in the past.
Offshore Pro Group

Credit Cards for Kids: Some have way-cool parental controls

Teaching your son or daughter how to manage money is an increasingly important aspect of good parenting, and if you choose the right kind of credit card you can get some help from your card company. That’s because many credit card issuers offer special products in the form of credit cards that have built-in parental controls.

You get the peace of mind and confidence of knowing that you child will not be able to misuse or abuse the card – which could destroy your own credit rating and create havoc. You also get help teaching your kids how to use a credit card in the grown-up world of modern finance and commerce. They can learn safely and securely, because even if they accidentally slip up and make an innocent mistake – like going over their spending limit – the automatic card controls will kick in and save the day.

These cards put the son or daughter on your own credit card account as another card user or cardholder, which makes it easy for them to get a card even if they are still too young to have a credit history or good credit score. But since you are being exposed to liability by having them on your account, the credit card features also offer various types of protection. You can set the limit for how much the kid is able to withdraw at one time, for example, from an ATM machine. If they go to the ATM and your imposed limit is $25 per day and they try to withdraw more than that, the transaction will be blocked.

But you can also sign up for e-mail alerts, which are super-cool. Let’s say your child has a spending limit of $100 but they try to get access to $150. You will get an email within 24 hours telling you all about it. If they try to use the credit card in designated places that are inappropriate, you can also get notifications about that kind of behavior. Your son who is 17 tries to use the card to rent a car, a hotel room, or pay to get into a place where only adults are allowed and not only is his card usage stopped but you get notified. Your daughter tries to use the credit card in a restaurant to buy alcohol – even though she is under age – and you find out with a convenient e-mail. The features vary from card to card, and you can choose among those that offered to set your own menu of preferences.

So instead of being afraid to let your child have a credit card, take advantage of these great features to train your child to be a more responsible and savvy consumer. It is a lesson that will reward them for the rest of their lives.
Offshore Pro Group

Thursday 13 May 2010

How are Debit Cards Different from Credit Cards?

People often ask what exactly are debit cards and how have they managed to grow in popularity so much since the credit crisis began. Also commonly known as ATM cards – since they can be used in these automatic teller machines to gain access to bank checking or savings accounts – debit cards are a versatile and handy type of plastic and they share many characteristics with ordinary credit cards.

But while a credit card can be used to carry a balance as a revolving line of credit, a debit card can only be used to take money directly from a deposit account – like a savings or checking account – that has money in it already. In other words it can debit an existing source of cash, but cannot be used in place of cash as a means to borrow money you do not already have in the bank.

That feature limits the ways that debit cards can be used, of course, but it also puts limits on how much they can be misused or abused. You can only buy what you can already afford to pay for, in other words, whereas with a credit card you may get into trouble by spending money one month that you are unable to repay when the bill arrives the following month. For that reason debit cards have actually grown in popularity since the start of the recession and credit crisis, because people can use them to make purchases instead of carrying cash, but they cannot use them to take out loans or buy things with money they do not actually have in the bank.

When they were first created, most people used their bank debit cards only at ATM machines, like when the bank lobby was closed or they were traveling out of town. But because a debit card can also be used in place of a Visa card or other credit card, they have now become much more popular as a less risky alternative to the traditional credit card. They offer the convenience of plastic carried in the wallet, in other words, without the option to use them irresponsibly and wind up going way over your realistic budget.

And for those whose credit has been damaged by the credit crisis – and who now find it impossible to get a credit card application approved – the debit card is simpler to acquire. You do not have to have a great credit score to carry an ATM card and you don’t have to fill out complicated applications forms. All you really need to do is open a bank account, which is something that even people with bad credit are often able to do with no problem.
Offshore Pro Group

Wednesday 12 May 2010

Using Prepaid Credit Cards to Manage a Tight Budget

Prepaid credit cards – those that don’t have a line of credit or credit limit established by a card company but are instead based on how much cash the cardholder keeps on deposit in the card account – are gaining in popularity faster than any other kind of credit card. That’s mostly because they can be easily gotten even by people who get turned down for other more traditional types of credit cards. Even with bad credit, a bankruptcy, a foreclosure, or little or no income and assets it is still possible to succeed at getting your own prepaid credit card, and it works anywhere that major cards like Visa and Mastercard are accepted. But what many people do not realize is that the prepaid credit card is also one of the best tools you can use to help you manage your budget and personal expenses.

To use a prepaid card as a budget tool, first create your budget. Figure out how much money you have to spend, what your main expenses are each month, and how many dollars you have to spend in each category such as gasoline, rent, groceries, and so forth. Then get a prepaid card and deposit your monthly budget amount into that account. You then can use the card for those expenses, and you’ll be forced to manage the card in such a way that it does not run out before the end of the month.

You can even have more than one card – like one for groceries and another for car expenses. You can even get a prepaid card that lets you make payments online for things like your mortgage payment or rent, and once all of your big ticket budget items are designated and tied to a card, all you have to do in order to keep within your predetermined budget is to not totally max out the card until the month is over.
Offshore Pro Group

A Totally New Kind of Gold Card

Everyone has seen the infomercials and newspaper ads about selling gold because gold prices are historically high. But while you may not be ready to trade in your high school ring or grandmother’s necklace quite yet, you can start investing in gold by applying for a new kind of credit card that has a credit limit determined by current gold prices.

A company by the name of Gold Solutions Marketing in Florida is the brainchild behind the gold card. But unlike the American Express gold card or other VIP cardholder cards that are gold, this one is backed by gold that is held in a special vault in Delaware. Your credit card is tied to that gold so that the precious metal acts like collateral, and then as a cardholder you are given a credit limit that is equal to about 75 percent of the value of that gold bullion.

Credit card activity will be reported to the credit bureaus just like with a normal credit card, and because gold prices continually fluctuate the card limit will be reviewed at least once a year and adjusted accordingly to keep up with the value of gold. That means that if there is a sudden spike in gold prices you could automatically get a much higher credit limit, but by the same token your spending limit could be curtailed if the price of gold plummets.

The gold that is deposited belongs to you, which means you have to buy it up front to set up the card. But if you later decide to close the account you are entitled to receive either a cash payment based on your gold’s price on that day or you can get paid in gold coins and will be given the same amount of gold you started off with in the account.

The gold card is a bit of a gimmick that is probably not ideal for every cardholder. But those who will benefit from it the most are people who own some gold bullion and also need a secured credit card because they have bad credit. They can put their gold to good use to get a card, start rebuilding their credit, and eventually qualify for a traditional non-secured card. Meantime their gold is in a safe place and will be returned to them if they decide to close the gold card account.
Offshore Pro Group

Frequently Asked Questions on Pre-paid Credit Cards

Frequently Asked Questions on Pre-paid Credit Cards

What is a prepaid credit card?
A prepaid card looks like a credit card, but works differently. You can use it everywhere MasterCard is accepted, but you can only spend up to the available balance on your card. With a prepaid card, you load funds onto your Card and use that money to make purchases and get cash - you are not borrowing money from a bank or other financial institution.

How does a prepaid card work?
Your prepaid credit card can be used anywhere MasterCard is accepted, including ATM's. The cardholder signs for purchases and gets a receipt. Unlike a credit card, though, each purchase is deducted from the pre-paid balance on the card.

Where can I use my prepaid credit card?
You may use your prepaid card to make purchases at over 21 million locations worldwide, get cash back at over 600,000 ATMs nationwide, make online purchases, buy airline tickets, make hotel or rental car reservations, pay for gasoline at the pump and more!

How is a prepaid credit card different from a credit card?
The prepaid credit card looks like a credit card - it has the Visa or MasterCard logo and hologram -and allows the convenience of cashless purchases like a signature-based credit card, with no PIN input required at the point-of-sale. However, your card accesses pre-loaded money from an account you fund with your funding source(s).

As a prepaid card, there is no "line of credit" extended. This means that your spending limit is determined by the amount of money that you have loaded to the card. Best of all, because it's not a credit card, there are no finance charges, no late fees, and no accumulation of debt.

What are the advantages of the prepaid card over cash?
The safety of carrying a piece of plastic with access to your cash, versus carrying a fold of bills in your pocket, is pretty straightforward. If you lose the cash or leave it somewhere where it is stolen, it is gone forever. If you lose your card or leave it somewhere, unless you put your PIN code on your Card (which you should NEVER do), your money is still safe.

What happens if the card is lost or stolen?
You should call the customer service to report it missing immediately and you won't be responsible for any unauthorized transactions. Remember to keep your card in a safe place and never lend it to anyone.

How is a prepaid credit card different from a debit card?
It is actually a pre-paid, reloadable card and completely separate from the checking or savings account, or credit or debit funding source account(s) that you use to load money to the card. Spending ability is limited to the amount of money that you separately load onto the card and store in the card account. When you purchase an item with your card, the purchase amount is withdrawn from your card spending balance, and never directly drawn from a funding source account that you use to load money onto the card.

With a debit card, overdraft protection may mask the actual account balance, resulting in over-spending. You won't be able to use a debit card for making a reservation on hotels and rental cars.

Can the prepaid credit card be used at ATMs?
Yes, your card will work at ATMs. You can receive cash with your card and a PIN (Personal Identification Number). There is usually some withdrawal fee at most ATMs.

How can I load money to the Citi Cash Card account?
Depending on which prepaid card you have, there are several ways to add value to your card using the followings:

* Check, Cashier's Check or Money Order
* Wire Transfer
* Regular Credit Card
* Online Card Load
* Western Union and other fund transfer services

Are there spending limits?
The beauty of the pre-paid credit card is that you set your own limits. Your spending power is limited only by how much money is loaded onto the card, up to the card issuer assigned value. When the money is gone, you ust need to load more money to it.

Is a security deposit required to open a prepaid card?
No.

Will my prepaid credit card have interest or finance charges?
Because you are not borrowing money, you will not be required to pay interest or finance charges on your Card.

When I use my prepaid card, is the money taken from my card right away?
Yes.

What happens if I return something I purchased with a prepaid card for a store refund?
Just like a regular credit card, the amount refunded will appear as a credit on your card account.
What if there isn't enough money on my card to cover a purchase?
The transaction will be declined if you do not have enough money loaded on your card.
Offshore Pro Group