Many customers got a poor experience with frequent flyer miles programs in the past when they found that it is very hard to redeem the miles and the whole effort is not worth the benefits. Credit card companies noted the grumble and promptly shifted to other incentives.

Credit cards seem to have become a fad today. Almost everyone has a personal credit card today (a lot of people have more than one credit cards). Though most of the people use personal credit cards for what they are really meant for, some are unable to decide on when to use which type of credit card.

So is there a difference in terms of what credit card – Personal or business, you use for what transactions?

The answer very clearly is ‘Yes’.

Some people use their personal credit card for paying the bills of the small business they run. However, this is not what you should be doing. Personal credit cards are meant for just personal expenses and the business credit cards just for business expenses. So unless you want to utterly confuse yourself and spend hours together on sorting out business and personal expenses, you should not create this confusion in the first place. This confusion is very easy to avoid and just requires some discipline on your part. Just use your small business credit card for whatever spends you do for your business and the personal credit card for the personal expenses.

If you feel that getting the business expenses segregated is not much of a problem and you would rather use just your personal credit card, you need to re-consider using a small business credit card. This springs from the fact that the small business credit cards generally carry a lower APR as compared to the personal ones. So it makes more sense to make your business spends on your small business credit cards. Moreover, the small business credit cards also carry a reduced or no annual fee on them.

Also, the customer query resolution and support services are much better with the small business credit cards than with the personal credit cards. The credit card companies always give preferential treatment to the small business credit card customers. This is owing to the simple fact that small business owners are much bigger consumers of such services than the personal credit cards. Obviously, the needs of an enterprise are expected to be more than those of an individual. Moreover, if the business grows, it might create more customers for the credit card company (e.g. in the form of corporate credit cards).

There are times when one requires quick money for a short period of time. This can be due to some immediate purchase requirements which you are ultimately going to invoice your client to or some other unplanned/emergency expenses. In most of the cases you have a visibility of a month or so in which you are expecting your invoices to clear. Having the small business credit card can be more beneficial in such cases (as compared to a personal credit card).

Moreover, as with personal credit cards, the small business credit cards can also help in building your business’ credit rating. So when it comes to getting a loan for business expansion, you at least have something to show for the credit rating.

It should be noted and understood that there are several different types of BP Gas Cards available to both individual consumers and businesses. This article covers the features and benefits of the BP Visa

The Chase Platinum Card is now offering a no fee “Flexible Rewards” program. The Chase Flexible rewards program is unique in that it provides consumers with the opportunity to choose their rewards from a variety of categories, including travel, cash back, merchandise, and retail gift certificates. However, with the ability to choose your rewards, also comes the task of figuring out how to get the most value out of the points you earn. Here, we will examine the value of Flexible Rewards points when used for each rewards category and compare this program with more specific rewards programs.

Earning points with the Chase Platinum Card is a straightforward process: consumers receive 1 point for every dollar spent. However, the value of each point earned will vary from reward category to reward category. The following are hypothetical examples of how choosing the right reward is the key to getting the most value out of your flexible rewards:

Redeeming points for merchandise rewards with just about every credit card on the market is usually a tremendous waste of points. For example, a $2000 flat screen t.v. might cost 400,000 points. This is generally not a bargain. The same is true in this case. However, smaller merchandise items, such as CD’s and DVD’s, are good redemption deals, as they often require 1500 to 2000 points, or roughly 1 point for every cent that would be spent on the item. Overall, however, the best value usually comes in the form of gift certificates and cash back rewards.

Retail gift certificates generally cost points that are inline with the gift certificate cost. For example, a $50 giftcard would require 5,000 points. With giftcards available from a wide range of major retailers ranging from the Gap to Home Depot, using flexible rewards points to obtain gift certificates can provide solid overall value.

Cash back rewards work very similar to giftcard rewards. A set amount of points, such as 1000, can be redeemed for a cash back reward of $10. Since cash back puts money in your pocket, cash back rewards, like giftcard rewards, are a means to get the most value out of your points.

The final Chase Flexible Reward category is travel. As with most travel rewards programs, the best way to utilize this type of reward is to redeem it towards free airline miles, as opposed to trip packages, which are the equivalent of using your points to buy that flat screen t.v. When you redeem points for miles, which then discount your airfare, you essentially maintain the point value of 1% of every dollar spent.

The Chase Platinum Card with Flexible Rewards offers consumers what it advertises: flexibility in using rewards points. However, credit card “rewards junkies,” i.e., those who use their credit cards for every purchase to obtain the most value for their spending, will likely benefit more from a traditional rewards program. For example, frequent flyers can definitely reap greater rewards with a traditional miles credit card like the Citi PremierPass or American Express’s Blue Sky which offer free miles and bonus mile opportunities.

Those who prefer cash back rewards might be happier with a traditional cash back credit card. Although interest rates have risen on cash back credit cards that offer 5% cashback on everyday purchases, those who use a card like the Citi Dividend Platinum Select or the American Express Blue Cash and pay their bill in full each month can literally “cash in” a great deal more than they otherwise could with 1% in flexible rewards.

Overall, the Chase Platinum credit card with Flexible rewards provides its best value to consumers by offering a 0% interest rate on purchases and balance transfers for up to 1 year, and a lower APR than most rewards credit cards. However, for credit card “rewards junkies,” more traditional category specific rewards cards will reap them the most rewards.

Nowadays, cash back cards are increasing in popularity because they provide consumers with more benefits and perks than regular or rewards cards. Consequently, since many financial institutions and card companies offer various deals on cash back cards, it is best to search for the right one that would best suit your needs, financial capabilities, and other preferences.

Credit card companies have different terms and conditions when it comes to their offers although they generally have the same process of obtaining cash rewards. More often than not, the process of earning rewards involves earning a point for every dollar spent by a cardholder or consumer. On the other hand, some credit and card companies double the points for every dollar spent in order to encourage more consumers to avail of their cash back cards. The points earned from the purchases of consumers can be converted to money points later.

The money points can be used for purchasing new items or even paying your bills. Some credit card companies have cash back cards that allow cardholders to purchase from a specified vendor only while others specify the items that cardholders can buy. However, most credit card companies provide cardholders the freedom to make use of their money points for purchasing any item at any store.

In addition, some credit card companies specify a limit on the reward points that a cardholder can earn. Say, if you have reached the limit specified, you would no longer be qualified to earn more points. Thus, you should be able to avail of cash back cards that do not have restrictions or limitations when it comes to earning money or rewards points. You should have the freedom to earn as much points as your can through your cards and be able to use the points at anytime and anywhere you want.

Prior to applying or availing for these credit cards, you should consider several factors including the process of application, rates of interest, and other pertinent information associated with using these cards. These things would help you determine if you are getting the right product to help support your finances, and if you are financially fit to respond to its terms and conditions. Bear in mind that these pieces of information will also serve as the main points of your rulebook in using your card.

When it comes to rates of interest, you should look for a credit card company that offers the lowest rate of interest. Prior to applying, you should check if the cash back credit card has annual fee. If it has an annual fee, you should make sure that it is not more than the amount of money points you are allowed to earn.

You should also consider the terms and conditions that are provided by the credit card company. Make sure that you would be able to abide them. It is one way of learning more about the credit card company as well as the benefits they can provide you.

When applying for a cash back credit card, make sure that you would be able to make payments regularly. You should make it a point to check on your balance at the start of each billing cycle so that you could avoid paying huge rates of interest. It is advisable to pay your entire balance every month so that you can optimize the benefits of your card.

Gas credit cards are one of the many new types of credit cards being offered by credit card companies that are aimed to get consumers attention. Almost everyone buys gas and when a credit card company teams up with a gas company it means more customers for both companies. With gas prices rising any way to save money on gas purchases is great. Credit card companies realized this and saw it as a way to get more customers. With the stiff competition between credit card companies they are always looking for a way to be better than one another and offer the best deals possible to their customers. Learning about the types of cards and following some tips to choosing one will help you find the best gas credit card.

Gas credit cards work like any other reward card. The concept is that when you use your gas credit card to make purchases you earn points that you can then use to get free gas. Credit card companies team up with a gas company and both logos are on the card. The points you earn can be used at the gas station that is tied in with your credit card.

There are other gas credit cards that are issued by the gas company only. These cards are easy to use like credit cards, but can only be used at a specific gas station for gas purchases or purchases inside the gas station. These cards are convenient if you need to track your gas purchases or just do not like to carry cash and prefer not to charge gas on your regular credit card.

Once upon a time, the Federal Government had a national cap on the amount of interest that could be charged on a loan. But after the Great Depression, it was repealed and it was left up to the individual States to place or implement “usury laws”. As you can see by your current interest and default rates, credit card companies found safe havens in certain states that either past laxed or no usury laws.

These clusters were largely formed by a 1978 Supreme Court decision that determined national banks only have to obey the interest-rate caps of the state that they are chartered in, not the state where the bank’s customer lives.

It may sound outrageous but that is why some credit card companies can charge as much as 60% interest and get a way with it. Maybe it’s time to start looking at a National Cap once again. You could always write to your local Congressional representative. Who knows, if enough consumers get behind it, maybe we will get some relief.

If you find yourself scrambling to make ends meet or just want to learn about your financial options and managing you debt, log onto www.debtreliefoptions.com.

Jon Noble

Staff writer

Debt Relief Options

asktheexperts@debtreliefoptions.com

While banks and other credit card companies tempt consumers with 0
percent interest credit cards, it is important to thoroughly understand
exactly how 0 percent interest works before applying. There are advantages
to obtaining a credit card with a no interest introductory period.
Nonetheless, there are also certain dangers. Here are a few tips to help
you avoid the pitfall of no interest credit cards.

Read the Credit Card Term of Agreement Carefully

Although several consumers have been hit big with hefty fees and
interest rate hikes while using a 0 percent interest rate credit card, the
credit card companies are within their limits.

Unfortunately, a large number of people do not carefully read credit
card agreements before completing the application. Written in small
print, the company issuing the card will state penalties for late payments.
In most cases, these companies also mention a universal default rate
within the agreement.

What are Universal Default Rates?

Those accepting a 0 percent interest credit card must make timely
payments. If the creditor receives a single payment late, they will likely
cancel the interest only period and charge a higher rate.

However, with 0 percent interest credit cards and other types of credit
cards, late payments do not only apply to that particular credit card.
Thus, if you are late on one credit account, other creditors may
legally raise your interest rate, regardless of whether you maintained a good
payment history with them. If accepting a 0 percent interest credit
card, it is essential to pay all creditors on time. One error can result
in higher fees.

Penalties for Closing the Credit Account

Individuals who are approved for a 0 percent interest credit card will
need to keep the account open until the balance is paid in full. Most
credit card companies will allow consumers to close accounts, and
continue to make monthly payments. However, several 0 percent interest credit
card companies will not allow credit account closings.

If an account were closed, you would be responsible for repaying the
entire balance immediately. Failure or the inability to repay the credit
card will result in paying a high interest rate on the remaining
balance.

Today, credit cards are becoming a very popular commodity among consumers and small business owners alike. It’s no wonder that banks are feeling the competition as better offers from competing banks keep getting better. The new craze is the “incentivized” credit card. You may know them as rewards or cash back credit cards.

Banks encourage spending with their issued credit card by giving back to the consumer in the form of cash or rewards points that you may redeem for merchandise or even airline miles. Although this may seem like a win-win situation, there are advantages and disadvantages to both types. Let’s explore this further.

Rewards Credit Cards

As sated before, a rewards credit card allows you to earn points for each purchase you make using the card, which can be redeemed for prizes or merchandise when enough points are accrued. A major disadvantage to a rewards card is that most of them only allow you to accrue points if you buy something from their allowed merchant list. This can be great if you shop at a store on their merchant network frequently – however the drawbacks are very obvious. Another disadvantage is the lack of merchandise or prizes available for the consumer to redeem. Although banks are getting better at creating a wider selection, you are still limited to what they allow you to purchase with your accrued points. Most cards also require a minimum amount of points to be accrued before spending. This can be a hassle if you don’t use the card much, or the prize you want is far out of reach.

Before applying for a rewards card, be sure to check out their merchant list. If you can’t find anything you like, you’re probably better off elsewhere.

Cash Back Credit Cards

A cash back credit card allows you to directly earn a percentage of every dollar you spend using the card. Many people prefer this type of rewards card because it is a no hassle, no haggle way of earning back for every purchase you make. There are no points to redeem or accrue, usually no “merchant network” to mess with, and no minimum required spends to earn back cash.

The only real drawback to a cash back card is usually the amount you gain is fairly insignificant to the amount you spend. A rewards card will generally give you more points per dollar spent than the cash back card will.

The Verdict?

The real choice is up to you. Do you prefer the no hassle, yet small amount in cash back over a rewards card that limits you to a few select merchants?

Cash back and rewards credit cards both have their advantages and disadvantages. Which is best for you?