Negotiate That Credit Card Transfer Fee

Credit card legislation that goes into effect next summer will put a crimp in the ways banks can earn a profit. Your credit card company may be looking for ways to increase their profits before the new limits cut their options. One of the easiest and fastest ways is by increasing the fees.

One of your options to avoid higher fees is to transfer your balance to a lower APR card. But with transaction fees up to 5% of the transferred amount, the initial cost of the transfer may make the transfer futile. The concept of bargaining with your local auto dealer is easily to understand, what many people may not know is that they can negotiate with card companies. So before you go searching for a better deal, perhaps you should consider negotiating for lower rates.

If you must resort to a balance transfer, speak to the potential card issuer for a lower transfer fee. You may be approved for a lower credit card rate because of the vast amount of competition, especially for consumers with excellent credit.

But, before you make contact, do your homework by researching the company. Always comparison shop and read the fine print; be prepared to tell of the offers you’ve found. Be pleasant but don’t show too much enthusiasm. Open your conversation by saying, �•I’d love to take advantage of the balance transfer offer, but the fee is just too much. I’m requesting that you waive the whole fee.”

Your chances for approval will be higher when you mention your many years of loyalty to the company and your record of on-time payments. If you use a large amount of credit, remind them of how much business you were worth in the previous year – the company gets a percentage of every one of your purchases. If your request for a fee-waiver is denied, ask that the fee be capped at something you think is reasonable — say $50, or even $100, which is a lot better than 3% of a large balance.

When you get a great credit card offer, it may be worth taking a moment to call the company to see if there is anything else they can do, quite often there is. This is especially true with new customers, who are given special perks, like the introductory low APR deals or no-fee balance transfers. Become an informed negotiator by understanding current terms and comparison shop. For example, you may be offered a credit card with a 2.9% APR and an uncapped transfer fee but another at 3.9% APR may be available with a cap of $75.

If you’re transferring a large sum of money or expecting to carry the balance for a while, knowing your options opens up opportunities to use credit more to your advantage. Understanding the variables and fine print really matters. Watch for grace periods and late-fee policies before you move your debt to a new company, and carefully calculate if you really will be saving and how many months it will take you to pay it off. Those who pay attention to the details and are willing to fight over them will come out ahead.

Get Rid of Credit Card Debt Without Bankruptcy

Your phone won’t stop ringing. You are stressed out and overwhelmed by the constant harassment by the credit card companies. The thought of filing bankruptcy has entered your mind; you have to find a way out of this! The first thing you need to know is that you are not alone! The second is that there is a better way out!

The average American currently has $10,000 in credit card debt. Your total balance may be more or less, but we will use the average for now. Using $10,000 as the current amount of credit card debt, if you paid just the minimum monthly payment every month, it would take you 40 years to pay this off! If your balance is higher, then you could be looking at 50 or 60 years! It doesn’t take us that long to pay off our mortgages; it is simply outrageous that paying off a credit card should take that long!

The reason is simple! It’s called interest! Did you know that the Credit Companies make on average of $700 BILLION dollars a year just on the interest they charge their card holders? The government knows this and is finally saying enough! They are putting limits on interest rates the credit companies can impose on us. But even that isn’t going to rescue you from your current credit card debt.

Credit Companies don’t want you to realize how much money they are making off of you, nor do they want you to know there are ways to cut your debt in half! Instead they want you to keep charging, keep paying the minimum and keep lining their pockets!

It’s time you said ENOUGH! No more cringing when the mail comes and no more pretending to be deaf when the phone rings! You can cut your debt by as much as 50% right now! It’s legal, ethical and frankly long overdue! No more being forced into bankruptcy simply because you can’t see a better way. No more lining the pockets of credit card companies, it’s time to line your own pockets with your hard earned dollars.

There are credit counseling organizations that are in existence solely to stop this insanity! They want to help you get back your financial security. The sleepless nights are over! You can take control over your future and they can help!

Security features that credit card services use

Still, the card processing job that merchant services do is a job fraught with risk. It is mainly a sort of number game played by a network of participants and slightest errors at any stage of the operation can result in complications. Because much of the operation is based on permuting numbers, credit card services are a medium that lends itself easily to data theft and malpractices.

But credit card services avoid frauds and data thefts to an astonishingly high degree because of the several security features they use. Merchant services are well equipped to make the transactions of every client secure. The most common security system used by credit card services is SSL or Secure Socket Layer. This is a two-stage data verification process for preventing data substitution, data modification, or stealing of information.

VeriSign is the leading SSL certificate authority and as long as the merchant services have SSL certificate, merchants can rest assured that all the credit card transactions of their customers are safe. SSL is an encryption technology that creates a unique communication channel of its own by scrambling the data. It is also known as TLS or transport layer security. It is one of the cryptographic protocols used for data transfer across the Internet.

The technology works by using what are known as a public key and a private key respectively. The first key encrypts the information that is sent to the credit card services and the private key opens the scrambled information at the other end. The scrambled form in which the data is sent to the merchant services negate the possibility of the information being accessed by other Internet users or manipulated by hackers.

AVS or address verification service is also a security system used by some of the merchant services to make credit card transactions safe. Using this system, the credit card holder’s billing address is checked against the billing address provided for the card by the credit card company. AVS helps credit card services by responding with certain codes to convey to what extent the address matches.

For example, when an address with a zip code of nine digits matches exactly, the system would respond with the code X. It would respond with Y when a zip code of five digits matches, and with an A where the address matches but the zip code doesn’t. Like that, it has got codes that denote several grades of matching, finally ending with the code letter E for invalid data. As a security feature for credit card services, AVS system is not as important as SSL system.

While business owners should not use merchant services that do not have SSL security system, online shoppers should also avoid using an online shopping facility whose credit card services is not supported by this security feature.

The Difference Between Prepaid Debit Card and a Secured Credit Card

Prepaid debit cards and secured credit cards differ from the usual credit cards that are on offer. The difference being that both these cards need the customer’s money as a deposit. The prepaid debit card is one, which on deposit of a certain amount by you is provided to you. The background checks or referential checks to provide you this card are almost nothing. This is a boon for those who live on the wrong side of the law or those who stay on as immigrants without proper papers. This debit card is a bank in itself wherein they provide facilities usually not given to the people who live on the other line of the society.

The transactions are not notified to the credit authorities and therefore, it has no bearing on credit ratings. There is interest charged on this card, the reason being the money that you swipe around is your own money. So naturally, this is a card for those who cannot get a credit card or a banking facility through usual means – people who do not have the right kind of papers.

Secured credit cards are a different kettle of fish altogether. They are exclusively for customers who want to soar up their credit ratings. This is for people who have their credit ratings on the downhill and need to hike it badly and fast. The secured credit cards are provided after you pay a decent deposit amount and that particular amount is kept as your limit in terms of credit. You can use that amount to make purchases or transactions and achieve your goal of good credit ratings. Of course, it is not like you just get a secured credit card by depositing some money and start purchasing and pay it immediately and you are fine. It does not work that way. You don’t get a secured credit card just to spend and show the numbers in the records.

The records do not show how you purchased and repaid, it doesn’t give you brownie points. The idea of the credit bureau in awarding or negating points is through your restraint. The amount of tolerance you show and the judgment you practice while making use of the money you have taken as credit. This goes a long way in securing you good credit ratings. There are no short cuts in making a good name. It is always about good judgment and right calculation with solid ethics. As with many things in life, to get a bad name is the easiest thing to do. Just like getting a bad credit rating.

Secured credit cards are sought for the sole purpose of getting good credit ratings. The way to go about it is what would determine if you would reach the goal. It is advisable to do the saving before you get a secured credit card. Yes, make sure you gather a good amount that would look real decent when you deposit it as the deposit money for securing a secured credit card. Once you have done that just wait and watch. Do not go near it. You do not need to transact to show you are acting well. The best thing to do is to stay away from that money. Money not spent is money earned. The money not spent on a secured credit card equals to good credit rating from the credit bureau. That is exactly what you came for when you secured a secured credit card.