An Introduction To The Humble, But Oh So Powerful, Credit Card
By Ron King
It's hard to imagine doing business today without credit cards.
If you are 1 of the few who do not own a credit card, you
probably have difficulty renting a car or reserving a hotel
room. On the other hand, if you have a fistful of maxed out
credit cards and want a new one, you have a whole new adventure
ahead of you, too.
Let's start with the basics.
What Is A Credit Card?
The dictionary defines a credit card as: "A card which can be
used to obtain cash, goods or services up to a stipulated credit
limit. The supplier is later paid by the credit card company,
which in due course is reimbursed by the credit card holder, who
will be charged interest at the end of the credit period if
money is still owing."
In other words, whatever you charge to your credit card has to
be paid back within the credit cycle, or an interest amount will
be applied to the remaining balance. Sometimes, lots and lots of
interest.
Pros and Cons of Credit Cards
The obvious advantage to using a credit card is that it allows
you to purchase goods or services that you might not be able to
pay for immediately. The credit cycle of most cards is usually
about 30 days, and if the money is paid back in that amount of
time, there is no interest owed. This sounds good in theory,
just like an interest-free loan. But the bottom line is that
most folks don't pay off their balances on a monthly basis. This
is where the disadvantages come into play.
Any amount that isn't paid off within the monthly cycle will be
subjected to an interest charge. Depending upon your balance and
the rate charged by the specific card issuer, that amount of
interest could be huge. On top of that, many people will
continue to charge things to their card, and the balance and
interest keeps growing until they have no hope of ever paying
off the card by only make the minimum payment. This is a very
common scenario, and most of us know someone who has been in
this situation.
The Rewards of Good Credit
Chances are that every few days you get a pre-approved credit
card application in the mail. Sounds easy, doesn't it? Well,
before you accept this generous offer, read the fine print.
You'll see that many of these promotions come with hidden
penalties in the guise of high interest rates and annual fees.
If you want to get the best possible interest rate with no
additional fees, you’ll need to give the credit companies what
they’re looking for in your credit history. They will check to
see that you are responsible with your credit and that you have
paid your bills in a timely manner. These signs of stability and
credit responsibility will encourage the card company to reduce
the amount of interest they will charge you. Outstanding loans
with late payments and too much available credit will work
against you.
Although credit cards can be great for emergencies, they can
easily get out of hand. Before you apply for one, decide in
advance what you plan to use it for. If used with discretion,
credit cards can give you added economic flexibility and buying
power.
About the Author: Ron King is a full-time researcher, writer,
and web developer. Visit http://www.new-credit-card-now.com to
learn more about this fascinating subject. Copyright 2005 Ron
King. This article may be reprinted if the resource box is left
intact.
Source: http://www.isnare.com
Tuesday, July 31, 2007
Friday, July 27, 2007
Credit Card Equipments
Find The Best Credit Card Type
By Ron King
There are a variety of credit card types, each claiming to
offer you the best possible deal. Finding the programs and
incentives that works best for you is key to maintaining a good
credit card history.
Each type of credit card offer different benefits. Some are
geared toward the individual consumer, while others are set up
to work for small businesses. To find the type of card that
best fits your needs, let's review some of the options.
Business Cards
A business credit card offers the business owner an opportunity
to keep business and personal expenses separate. The card may
offer special business rewards and saving opportunities that go
above and beyond what the individual card owner has. Since money
management is essential for running a business successfully,
this card may offer an expense management service that helps
track outgoing money. You can obtain additional cards for
employees who may need them for travel expenses and such. You
may also have a higher credit limit than you normally would on
an individual card.
Student Cards
Many credit card companies will issue student cards with lower
credit limits and fewer incentives, helping new card users to
keep their spending in check. However, note that many college
students now graduate with credit balances averaging from
$3,000 to $7,000. With high interest rates, these debts can be
a real problem to pay off.
Debit Cards
Prepaid debit cards are 1 type of credit card that has grown
significantly in recent years. Although it works like a
traditional credit card when making a purchase, that is where
the similarity ends. With a prepaid debit card, you actually
set the credit limit yourself by depositing money into the
debit card’s account. The amount you deposit determines the
credit limit on that card. This is a great way to have the
convenience of a credit card without the possibility of
charging more than you can afford to pay off.
Cards for Bad Credit
Even with bad credit, it is possible to obtain a credit card.
These cards come with some restrictions not typically found on
other types of cards. Your credit limit will be lower and your
interest rate higher. Some may require you to have a secured
card, meaning you have to maintain a savings or some other type
of account that will cover the expenses on the credit card. Once
you have established that you will be responsible in your credit
handling, some, if not all, of your restrictions may be lifted.
Cash Back Cards
Many cards will now offer you cash-back incentives for using
their cards. Depending on how much your balance is, and how
often you use the card, you can earn cash back for your
purchases. Some companies offer 1% off your balance while
others, like Sears, will offer you cash off purchases made in
their store. Either way, if you are planning on using a card,
finding one that will offer you a cash incentive is a smart
choice.
Low-Interest Cards
One of the more recent additions to the credit card world is
the low-interest credit card. These cards offer a significantly
lower interest rate than most of the older cards you may already
have. As balance-transfer cards, most of them offer you the
option of transferring a balance from a higher interest rate
card and, for a specified period of time, your transferred
balance will be at either 0% interest or something quite low.
This can save you a fair amount of money if your plan is to pay
it off.
Reward and Incentive Cards
Since credit cards have become such a lucrative business, many
corporations have jumped on the bandwagon. Even airlines now
offer credit cards that come with a certain amount of frequent
flyer miles attached, depending on your balance and purchases.
If you do a fair amount of traveling, this can be a real bonus.
Along these same lines, reward credit cards are growing in
popularity. Competition is stiff, and many card companies are
now offering different reward or incentive options for using
their cards. Once you accumulate enough points, the rewards
pour in. These can be anything from travel insurance to small
appliances. If you use a card regularly, finding one with a
reward program can really pay off.
Instant Approval Cards
Another form of credit card is the instant approval card. Once
you fill out the application, a quick background check will be
done and you will have your approval almost immediately.
Regular cards can take up to 2 weeks to process. Although you
can get instant approval, this does not always mean you can get
instant credit. Some companies will supply you with a temporary
credit card number and allow you to begin making purchases
immediately, while others will not, due to an increase in
credit card fraud potential.
Protect Your Credit
Since there are so many options in choosing a credit card, you
should do a little research before you apply. Decide what type
of card best fits your needs and apply for that one. Don't go
overboard, though. Applying for too many cards will negatively
affect your credit rating.
And, above all, once you get your new credit card, use it
responsibly.
About the Author: Ron King is a full-time researcher, writer,
and web developer. Visit http://www.new-credit-card-now.com to
learn more about this fascinating subject. Copyright 2005 Ron
King. This article may be reprinted if the resource box is left
intact.
Source: http://www.isnare.com
By Ron King
There are a variety of credit card types, each claiming to
offer you the best possible deal. Finding the programs and
incentives that works best for you is key to maintaining a good
credit card history.
Each type of credit card offer different benefits. Some are
geared toward the individual consumer, while others are set up
to work for small businesses. To find the type of card that
best fits your needs, let's review some of the options.
Business Cards
A business credit card offers the business owner an opportunity
to keep business and personal expenses separate. The card may
offer special business rewards and saving opportunities that go
above and beyond what the individual card owner has. Since money
management is essential for running a business successfully,
this card may offer an expense management service that helps
track outgoing money. You can obtain additional cards for
employees who may need them for travel expenses and such. You
may also have a higher credit limit than you normally would on
an individual card.
Student Cards
Many credit card companies will issue student cards with lower
credit limits and fewer incentives, helping new card users to
keep their spending in check. However, note that many college
students now graduate with credit balances averaging from
$3,000 to $7,000. With high interest rates, these debts can be
a real problem to pay off.
Debit Cards
Prepaid debit cards are 1 type of credit card that has grown
significantly in recent years. Although it works like a
traditional credit card when making a purchase, that is where
the similarity ends. With a prepaid debit card, you actually
set the credit limit yourself by depositing money into the
debit card’s account. The amount you deposit determines the
credit limit on that card. This is a great way to have the
convenience of a credit card without the possibility of
charging more than you can afford to pay off.
Cards for Bad Credit
Even with bad credit, it is possible to obtain a credit card.
These cards come with some restrictions not typically found on
other types of cards. Your credit limit will be lower and your
interest rate higher. Some may require you to have a secured
card, meaning you have to maintain a savings or some other type
of account that will cover the expenses on the credit card. Once
you have established that you will be responsible in your credit
handling, some, if not all, of your restrictions may be lifted.
Cash Back Cards
Many cards will now offer you cash-back incentives for using
their cards. Depending on how much your balance is, and how
often you use the card, you can earn cash back for your
purchases. Some companies offer 1% off your balance while
others, like Sears, will offer you cash off purchases made in
their store. Either way, if you are planning on using a card,
finding one that will offer you a cash incentive is a smart
choice.
Low-Interest Cards
One of the more recent additions to the credit card world is
the low-interest credit card. These cards offer a significantly
lower interest rate than most of the older cards you may already
have. As balance-transfer cards, most of them offer you the
option of transferring a balance from a higher interest rate
card and, for a specified period of time, your transferred
balance will be at either 0% interest or something quite low.
This can save you a fair amount of money if your plan is to pay
it off.
Reward and Incentive Cards
Since credit cards have become such a lucrative business, many
corporations have jumped on the bandwagon. Even airlines now
offer credit cards that come with a certain amount of frequent
flyer miles attached, depending on your balance and purchases.
If you do a fair amount of traveling, this can be a real bonus.
Along these same lines, reward credit cards are growing in
popularity. Competition is stiff, and many card companies are
now offering different reward or incentive options for using
their cards. Once you accumulate enough points, the rewards
pour in. These can be anything from travel insurance to small
appliances. If you use a card regularly, finding one with a
reward program can really pay off.
Instant Approval Cards
Another form of credit card is the instant approval card. Once
you fill out the application, a quick background check will be
done and you will have your approval almost immediately.
Regular cards can take up to 2 weeks to process. Although you
can get instant approval, this does not always mean you can get
instant credit. Some companies will supply you with a temporary
credit card number and allow you to begin making purchases
immediately, while others will not, due to an increase in
credit card fraud potential.
Protect Your Credit
Since there are so many options in choosing a credit card, you
should do a little research before you apply. Decide what type
of card best fits your needs and apply for that one. Don't go
overboard, though. Applying for too many cards will negatively
affect your credit rating.
And, above all, once you get your new credit card, use it
responsibly.
About the Author: Ron King is a full-time researcher, writer,
and web developer. Visit http://www.new-credit-card-now.com to
learn more about this fascinating subject. Copyright 2005 Ron
King. This article may be reprinted if the resource box is left
intact.
Source: http://www.isnare.com
Monday, July 23, 2007
Credit Card Equipments
Closing Credit Card Accounts
By Joseph Kenny
Most experts advise consumers to avoid having too many credit
card accounts. When you decide to open a new card because it has
better rates, it is important to make sure you properly close
your existing credit card. There are a number of reasons why you
should close existing accounts when opening a new credit card.
Closing some of your cards will allow you to have control over
them. When you have multiple cards, it is easy for some of them
to get lost. If this happens, you are susceptible to being the
victim of fraud if somone finds it. Closing your accounts will
also allow you to maintain a good credit report. You credit
score may be lowered if you have multiple accounts, because you
are seen as being a risk. Closing your accounts will also allow
you to avoid fees and universal default.
Any credit card accounts which are not being used should be
closed. At the same time, you want to make sure you don't close
your oldest card, as this could damage your credit score. It
will also allow you to avoid being the victim of identity theft.
It is important to remember that some cards have annual fees,
and you will still be charged even if you're not using them. If
you have an account with a balance that you are trying to pay
off, and you don't want to use it, cancel the card and continue
making payments. This will keep you from using the credit card
and adding more money to it.
It is important to remember that it is best to have a single
credit card, but at the maximum you should only have three. This
will keep your credit score in good shape, and your creditors
will reward you for using them in a responsible manner. You will
want to reserve a credit card for making specific payments, and
setup a plan to make sure it is paid off by the end of the
month. If you cancel a credit card, make sure you cut it up.
Otherwise, someone could steal it an reopen the account.
It is important to make sure you call the company and cancel
the card. Don't assume that the card is closed just because you
cut it up. You may have to submit a request in writing. The
company will typically send you a letter confirming the account
has been closed in about 14 days.
About the Author: Joe Kenny writes for the credit card
comparison sites http://www.creditcards121.com and
http://www.cardguide.co.uk
Source: http://www.isnare.com
By Joseph Kenny
Most experts advise consumers to avoid having too many credit
card accounts. When you decide to open a new card because it has
better rates, it is important to make sure you properly close
your existing credit card. There are a number of reasons why you
should close existing accounts when opening a new credit card.
Closing some of your cards will allow you to have control over
them. When you have multiple cards, it is easy for some of them
to get lost. If this happens, you are susceptible to being the
victim of fraud if somone finds it. Closing your accounts will
also allow you to maintain a good credit report. You credit
score may be lowered if you have multiple accounts, because you
are seen as being a risk. Closing your accounts will also allow
you to avoid fees and universal default.
Any credit card accounts which are not being used should be
closed. At the same time, you want to make sure you don't close
your oldest card, as this could damage your credit score. It
will also allow you to avoid being the victim of identity theft.
It is important to remember that some cards have annual fees,
and you will still be charged even if you're not using them. If
you have an account with a balance that you are trying to pay
off, and you don't want to use it, cancel the card and continue
making payments. This will keep you from using the credit card
and adding more money to it.
It is important to remember that it is best to have a single
credit card, but at the maximum you should only have three. This
will keep your credit score in good shape, and your creditors
will reward you for using them in a responsible manner. You will
want to reserve a credit card for making specific payments, and
setup a plan to make sure it is paid off by the end of the
month. If you cancel a credit card, make sure you cut it up.
Otherwise, someone could steal it an reopen the account.
It is important to make sure you call the company and cancel
the card. Don't assume that the card is closed just because you
cut it up. You may have to submit a request in writing. The
company will typically send you a letter confirming the account
has been closed in about 14 days.
About the Author: Joe Kenny writes for the credit card
comparison sites http://www.creditcards121.com and
http://www.cardguide.co.uk
Source: http://www.isnare.com
Friday, July 20, 2007
Credit Card Equipments
Merchant Credit Card Services
By [http://ezinearticles.com/?expert=Alison_Cole]Alison Cole
Studies have shown that you can increase your business sales manifold if you accept credit card payments from your customers. This is because most people are not like to carry cash around, and so using their debit card or credit card is their preferred mode of payment. Suppose, you own an online store where people can make orders by the click of the mouse. It follows naturally that you should be also in a position to accept credit card payments online. Then there may be situations where the people would prefer to make their orders by phone. There are companies that give a toll free number and the people can place their orders and give their credit card information based on voice prompts.
To accept credit card payments, you need to have an online merchant account with any financial institution, bank, or acquiring institutions. These institutions will deposit the money accepted through a website into your account. Apart from getting a merchant account, you must also get a payment gateway. As the name itself suggests, the payment gateway is a gateway, actually a code, which processes and validates the credit card information by sending the information provided to the credit card company and gets an accept or decline message. On getting the accept message, the gateway then transmits the amount from the website to the merchant account.
Address verification is the most important aspect of credit card services, as it is essential to fight against credit card fraud. Some credit card companies ask for the CID or the credit card identification digits.
Software such as the IC Verify (DOS winpopup), PCAuthorize (Windows), or MacAuthorize (Mac) These software are required to process the credit cards.
As a merchant, you can accept credit card information on your own website or on the website of the acquiring institutions, with whom you have your merchant account. These institutions charge a nominal fee for their services, but the increase in sales is well worth the investment. [http://www.MerchantServices-Web.com]Merchant Services provides detailed information about merchant services, e-commerce merchant services, high risk merchant accounts, internet merchant services and more. Merchant Services is the sister site of [http://www.e-TelecomAudits.com]Telecom Audits Info.
Article Source: http://EzineArticles.com/?expert=Alison_Cole http://EzineArticles.com/?Merchant-Credit-Card-Services&id=144902
By [http://ezinearticles.com/?expert=Alison_Cole]Alison Cole
Studies have shown that you can increase your business sales manifold if you accept credit card payments from your customers. This is because most people are not like to carry cash around, and so using their debit card or credit card is their preferred mode of payment. Suppose, you own an online store where people can make orders by the click of the mouse. It follows naturally that you should be also in a position to accept credit card payments online. Then there may be situations where the people would prefer to make their orders by phone. There are companies that give a toll free number and the people can place their orders and give their credit card information based on voice prompts.
To accept credit card payments, you need to have an online merchant account with any financial institution, bank, or acquiring institutions. These institutions will deposit the money accepted through a website into your account. Apart from getting a merchant account, you must also get a payment gateway. As the name itself suggests, the payment gateway is a gateway, actually a code, which processes and validates the credit card information by sending the information provided to the credit card company and gets an accept or decline message. On getting the accept message, the gateway then transmits the amount from the website to the merchant account.
Address verification is the most important aspect of credit card services, as it is essential to fight against credit card fraud. Some credit card companies ask for the CID or the credit card identification digits.
Software such as the IC Verify (DOS winpopup), PCAuthorize (Windows), or MacAuthorize (Mac) These software are required to process the credit cards.
As a merchant, you can accept credit card information on your own website or on the website of the acquiring institutions, with whom you have your merchant account. These institutions charge a nominal fee for their services, but the increase in sales is well worth the investment. [http://www.MerchantServices-Web.com]Merchant Services provides detailed information about merchant services, e-commerce merchant services, high risk merchant accounts, internet merchant services and more. Merchant Services is the sister site of [http://www.e-TelecomAudits.com]Telecom Audits Info.
Article Source: http://EzineArticles.com/?expert=Alison_Cole http://EzineArticles.com/?Merchant-Credit-Card-Services&id=144902
Wednesday, July 18, 2007
Credit Card Machines
Credit Card Processing
By [http://ezinearticles.com/?expert=Thomas_Morva]Thomas Morva
Nowadays, almost all establishments accept credit card payments. This is because many consumers make their purchases using their credit cards, and establishments who do not accept credit card payments risks losing potential sales. Given this, it is then essential for any company that intends to sell products in the market to make sure that their stores can accept credit payments. There’s good news, though! Today, accepting credit cards is usually a fairly easy process because companies can gain access to the tools that they need to be able to process credit card payments from a number of sources.
Setting up a merchant account
The first step in accepting credit cards is setting up a merchant account. This will involve locating the right merchant account provider or credit card processor. Many businesses do this through the banks where they do their business banking. However, not all banks provide credit card processing services.
A good source of information is any trade associations that a business belongs to, which may have negotiated rates with a certain credit card processor that the business could contact. Another good source of leads is from other businesses that already accept credit card payments. On the other hand, given that most processors aggressively pursue clients especially start up companies, it is most likely that these processors will contact new business owners and offer them their services.
In deciding on which credit card processor to use, it is a good idea to employ canvassing strategies, which includes interviewing each credit processor and asking them questions that can help business owners pick the right processor. Some of these questions include asking them about their fees, their rates, and other services that they provide their clients. After which, business owners then should analyze which processor can give them the best deal for the credit card processing services that they are offering.
Nowadays, no business establishment should be without credit card processing capabilities. This is because given that most people make many of their purchases using their credit cards, establishments that do not accept credit card payments risk losing a significant number of sales. The good news is that today, the tools that businesses need to be able to accept credit card payments, which includes merchant accounts, are easily accessible, as there are a large number of companies that provide credit card processing services. [http://www.i-CreditCardProcessing.com]Credit Card Processing provides detailed information on Credit Card Processing, Online Credit Card Processing, Credit Card Processing Software, Wireless Credit Card Processing and more. Credit Card Processing is affiliated with [http://www.e-CreditCardTerminals.com]Wireless Credit Card Terminals.
Article Source: http://EzineArticles.com/?expert=Thomas_Morva http://EzineArticles.com/?Credit-Card-Processing&id=255743
By [http://ezinearticles.com/?expert=Thomas_Morva]Thomas Morva
Nowadays, almost all establishments accept credit card payments. This is because many consumers make their purchases using their credit cards, and establishments who do not accept credit card payments risks losing potential sales. Given this, it is then essential for any company that intends to sell products in the market to make sure that their stores can accept credit payments. There’s good news, though! Today, accepting credit cards is usually a fairly easy process because companies can gain access to the tools that they need to be able to process credit card payments from a number of sources.
Setting up a merchant account
The first step in accepting credit cards is setting up a merchant account. This will involve locating the right merchant account provider or credit card processor. Many businesses do this through the banks where they do their business banking. However, not all banks provide credit card processing services.
A good source of information is any trade associations that a business belongs to, which may have negotiated rates with a certain credit card processor that the business could contact. Another good source of leads is from other businesses that already accept credit card payments. On the other hand, given that most processors aggressively pursue clients especially start up companies, it is most likely that these processors will contact new business owners and offer them their services.
In deciding on which credit card processor to use, it is a good idea to employ canvassing strategies, which includes interviewing each credit processor and asking them questions that can help business owners pick the right processor. Some of these questions include asking them about their fees, their rates, and other services that they provide their clients. After which, business owners then should analyze which processor can give them the best deal for the credit card processing services that they are offering.
Nowadays, no business establishment should be without credit card processing capabilities. This is because given that most people make many of their purchases using their credit cards, establishments that do not accept credit card payments risk losing a significant number of sales. The good news is that today, the tools that businesses need to be able to accept credit card payments, which includes merchant accounts, are easily accessible, as there are a large number of companies that provide credit card processing services. [http://www.i-CreditCardProcessing.com]Credit Card Processing provides detailed information on Credit Card Processing, Online Credit Card Processing, Credit Card Processing Software, Wireless Credit Card Processing and more. Credit Card Processing is affiliated with [http://www.e-CreditCardTerminals.com]Wireless Credit Card Terminals.
Article Source: http://EzineArticles.com/?expert=Thomas_Morva http://EzineArticles.com/?Credit-Card-Processing&id=255743
Saturday, July 14, 2007
Credit Card Equipments
Choosing The Right Auto Loan Online
By Lal Krishna
Buying a new car or a used car need not give you headaches
anymore. Getting auto loans has become easy; you can now choose
from online auto loan lending networks or get an auto loan from
your car dealer. And there are many auto loan options available
to choose from.
The competition to provide auto loans has boiled down to
better, and faster, deals for car loan borrowers. So if you
apply for an auto loan today you can probably drive home in
your dream machine by the evening!
Choosing the correct auto loan requires some homework on your
part - you should be willing to do some research. Not that it
is difficult; you can easily do it on the Internet.
First and foremost, you need to evaluate your credit status.
You need to ascertain how much of a car loan you can afford.
This is important before deciding on to the car to buy. Auto
loans require monthly payments, so it should be an amount that
fits into your monthly budget. Many auto loan sites have auto
loan calculators which can give an idea as to how much your
auto loan is going to cost you each month. Once you have worked
this out, you can get ready to apply for your auto loan.
Again, the Internet is a great help here. There are thousands
of auto loan sites where you can apply for an auto loan online.
Completing those forms is usually a breeze: just fill in a few
fields and click on the 'Submit' button!
Generally the online lenders offer interest rates 1-2 per cent
lower than that offered by the auto dealers. That money saved
can be used to bear the other costs associated with buying your
car.
Online auto loan forms ask for your basic banking details, your
job status, and residence proof. Online applications are
processed immediately by lenders in the network near to your
place of residence. Approvals usually take less than an hour,
and more important, on most sites this is a free service.
Better still, an approval does not put any obligations on you
about taking a loan from that lender.
If you have a clean credit status and a co-signer, then
consider your loan semi-approved! The good thing about auto
loans is that you can get one even if you have a less than
perfect credit history. Most auto loan lenders offer bad credit
auto loans. However, some lenders may charge you higher interest
rates and a larger down payment because of your bad credit
status. Some lenders also restrict the choice of cars models if
you have a bad credit status.
Once the loan is approved, you will get loan offers from the
lenders and you can choose the loan that you want.
The main criteria for choosing an auto loan should be the rate
of interest and the loan period. The loan period for an auto
loan is usually three to five years. You can ask for a longer
period on your auto loan, say, seven years. But it is always
better to repay the loan within a shorter period; that will put
a lower interest burden on you. You must also find out from the
lender if they allow faster repayment of auto loans without
penalty charges. If they do, you can opt to repay the loans
faster a few months later (depending on your income) and save
on the loan charges.
Auto loans are available for new and used cars. Usually, the
loan charges on used car loans are higher than that for new car
loans. Research the various auto loan options available and
always read the fine print of the loan agreement before you
decide on your auto loan.
About the Author: Lal Krishna runs the Web site Fast Credit
Info that gives information on all your credit needs. Learn
more about easy auto loans online at
http://www.fastcreditinfo.com
Source: http://www.isnare.com
By Lal Krishna
Buying a new car or a used car need not give you headaches
anymore. Getting auto loans has become easy; you can now choose
from online auto loan lending networks or get an auto loan from
your car dealer. And there are many auto loan options available
to choose from.
The competition to provide auto loans has boiled down to
better, and faster, deals for car loan borrowers. So if you
apply for an auto loan today you can probably drive home in
your dream machine by the evening!
Choosing the correct auto loan requires some homework on your
part - you should be willing to do some research. Not that it
is difficult; you can easily do it on the Internet.
First and foremost, you need to evaluate your credit status.
You need to ascertain how much of a car loan you can afford.
This is important before deciding on to the car to buy. Auto
loans require monthly payments, so it should be an amount that
fits into your monthly budget. Many auto loan sites have auto
loan calculators which can give an idea as to how much your
auto loan is going to cost you each month. Once you have worked
this out, you can get ready to apply for your auto loan.
Again, the Internet is a great help here. There are thousands
of auto loan sites where you can apply for an auto loan online.
Completing those forms is usually a breeze: just fill in a few
fields and click on the 'Submit' button!
Generally the online lenders offer interest rates 1-2 per cent
lower than that offered by the auto dealers. That money saved
can be used to bear the other costs associated with buying your
car.
Online auto loan forms ask for your basic banking details, your
job status, and residence proof. Online applications are
processed immediately by lenders in the network near to your
place of residence. Approvals usually take less than an hour,
and more important, on most sites this is a free service.
Better still, an approval does not put any obligations on you
about taking a loan from that lender.
If you have a clean credit status and a co-signer, then
consider your loan semi-approved! The good thing about auto
loans is that you can get one even if you have a less than
perfect credit history. Most auto loan lenders offer bad credit
auto loans. However, some lenders may charge you higher interest
rates and a larger down payment because of your bad credit
status. Some lenders also restrict the choice of cars models if
you have a bad credit status.
Once the loan is approved, you will get loan offers from the
lenders and you can choose the loan that you want.
The main criteria for choosing an auto loan should be the rate
of interest and the loan period. The loan period for an auto
loan is usually three to five years. You can ask for a longer
period on your auto loan, say, seven years. But it is always
better to repay the loan within a shorter period; that will put
a lower interest burden on you. You must also find out from the
lender if they allow faster repayment of auto loans without
penalty charges. If they do, you can opt to repay the loans
faster a few months later (depending on your income) and save
on the loan charges.
Auto loans are available for new and used cars. Usually, the
loan charges on used car loans are higher than that for new car
loans. Research the various auto loan options available and
always read the fine print of the loan agreement before you
decide on your auto loan.
About the Author: Lal Krishna runs the Web site Fast Credit
Info that gives information on all your credit needs. Learn
more about easy auto loans online at
http://www.fastcreditinfo.com
Source: http://www.isnare.com
Friday, July 13, 2007
Credit Credit Equipment
Electronic Credit Card Processing
By [http://ezinearticles.com/?expert=Thomas_Morva]Thomas Morva
The success of an online business depends on the process of accepting credit card payments. This type of payment permits you to attract both impulsive buyers and casual surfers alike. It also guarantees that you get timely payment.
Electronic credit card processing facilities handle orders directly through the Internet. This is normally a complex deal that needs the coordination of many things such as your website, your consumer?s credit card company, a payment gateway, and an account into which credits are deposited. Electronic card processing is safe and secure, and it provides the best customer service.
Three major types of electronic credit card processing are available. The first type uses a virtual machine that allows manual addition of mail. The second type involves a simple integration technique that links your site directly to the credit card and bank system. The third type uses a means for custom-linking your system to other more complex systems using a transaction gateway server.
Credit cards can be processed either in real-time or in a collective manner (batch processing). Electronic credit card processing generally has excellent real-time processing speed. The business is processed instantly and the consumer knows whether or not his card is accepted. But real-time processing has greater risk of fraud, since anybody can use a stolen card before it is reported stolen. Another disadvantage is that you cannot accept any order when the electronic credit card processor's server fails. Batch processing is ideal for smaller businesses. Here, many credit card transactions are processed jointly at a later time. The risk of fraud is moderately low.
Today, many companies offer fast, reliable and safe electronic credit card processing services. Each will work with almost all major credit cards, including Mastercard, Visa, American Express and Discover. [http://www.i-CreditCardProcessing.com]Credit Card Processing provides detailed information on Credit Card Processing, Online Credit Card Processing, Credit Card Processing Software, Wireless Credit Card Processing and more. Credit Card Processing is affiliated with [http://www.e-CreditCardTerminals.com]Wireless Credit Card Terminals.
Article Source: http://EzineArticles.com/?expert=Thomas_Morva http://EzineArticles.com/?Electronic-Credit-Card-Processing&id=353154
By [http://ezinearticles.com/?expert=Thomas_Morva]Thomas Morva
The success of an online business depends on the process of accepting credit card payments. This type of payment permits you to attract both impulsive buyers and casual surfers alike. It also guarantees that you get timely payment.
Electronic credit card processing facilities handle orders directly through the Internet. This is normally a complex deal that needs the coordination of many things such as your website, your consumer?s credit card company, a payment gateway, and an account into which credits are deposited. Electronic card processing is safe and secure, and it provides the best customer service.
Three major types of electronic credit card processing are available. The first type uses a virtual machine that allows manual addition of mail. The second type involves a simple integration technique that links your site directly to the credit card and bank system. The third type uses a means for custom-linking your system to other more complex systems using a transaction gateway server.
Credit cards can be processed either in real-time or in a collective manner (batch processing). Electronic credit card processing generally has excellent real-time processing speed. The business is processed instantly and the consumer knows whether or not his card is accepted. But real-time processing has greater risk of fraud, since anybody can use a stolen card before it is reported stolen. Another disadvantage is that you cannot accept any order when the electronic credit card processor's server fails. Batch processing is ideal for smaller businesses. Here, many credit card transactions are processed jointly at a later time. The risk of fraud is moderately low.
Today, many companies offer fast, reliable and safe electronic credit card processing services. Each will work with almost all major credit cards, including Mastercard, Visa, American Express and Discover. [http://www.i-CreditCardProcessing.com]Credit Card Processing provides detailed information on Credit Card Processing, Online Credit Card Processing, Credit Card Processing Software, Wireless Credit Card Processing and more. Credit Card Processing is affiliated with [http://www.e-CreditCardTerminals.com]Wireless Credit Card Terminals.
Article Source: http://EzineArticles.com/?expert=Thomas_Morva http://EzineArticles.com/?Electronic-Credit-Card-Processing&id=353154
Monday, July 9, 2007
Credit Card Equipments
Credit Card Processing
By [http://ezinearticles.com/?expert=Thomas_Morva]Thomas Morva
Nowadays, almost all establishments accept credit card payments. This is because many consumers make their purchases using their credit cards, and establishments who do not accept credit card payments risks losing potential sales. Given this, it is then essential for any company that intends to sell products in the market to make sure that their stores can accept credit payments. There’s good news, though! Today, accepting credit cards is usually a fairly easy process because companies can gain access to the tools that they need to be able to process credit card payments from a number of sources.
Setting up a merchant account
The first step in accepting credit cards is setting up a merchant account. This will involve locating the right merchant account provider or credit card processor. Many businesses do this through the banks where they do their business banking. However, not all banks provide credit card processing services.
A good source of information is any trade associations that a business belongs to, which may have negotiated rates with a certain credit card processor that the business could contact. Another good source of leads is from other businesses that already accept credit card payments. On the other hand, given that most processors aggressively pursue clients especially start up companies, it is most likely that these processors will contact new business owners and offer them their services.
In deciding on which credit card processor to use, it is a good idea to employ canvassing strategies, which includes interviewing each credit processor and asking them questions that can help business owners pick the right processor. Some of these questions include asking them about their fees, their rates, and other services that they provide their clients. After which, business owners then should analyze which processor can give them the best deal for the credit card processing services that they are offering.
Nowadays, no business establishment should be without credit card processing capabilities. This is because given that most people make many of their purchases using their credit cards, establishments that do not accept credit card payments risk losing a significant number of sales. The good news is that today, the tools that businesses need to be able to accept credit card payments, which includes merchant accounts, are easily accessible, as there are a large number of companies that provide credit card processing services. [http://www.i-CreditCardProcessing.com]Credit Card Processing provides detailed information on Credit Card Processing, Online Credit Card Processing, Credit Card Processing Software, Wireless Credit Card Processing and more. Credit Card Processing is affiliated with [http://www.e-CreditCardTerminals.com]Wireless Credit Card Terminals.
Article Source: http://EzineArticles.com/?expert=Thomas_Morva http://EzineArticles.com/?Credit-Card-Processing&id=255743
By [http://ezinearticles.com/?expert=Thomas_Morva]Thomas Morva
Nowadays, almost all establishments accept credit card payments. This is because many consumers make their purchases using their credit cards, and establishments who do not accept credit card payments risks losing potential sales. Given this, it is then essential for any company that intends to sell products in the market to make sure that their stores can accept credit payments. There’s good news, though! Today, accepting credit cards is usually a fairly easy process because companies can gain access to the tools that they need to be able to process credit card payments from a number of sources.
Setting up a merchant account
The first step in accepting credit cards is setting up a merchant account. This will involve locating the right merchant account provider or credit card processor. Many businesses do this through the banks where they do their business banking. However, not all banks provide credit card processing services.
A good source of information is any trade associations that a business belongs to, which may have negotiated rates with a certain credit card processor that the business could contact. Another good source of leads is from other businesses that already accept credit card payments. On the other hand, given that most processors aggressively pursue clients especially start up companies, it is most likely that these processors will contact new business owners and offer them their services.
In deciding on which credit card processor to use, it is a good idea to employ canvassing strategies, which includes interviewing each credit processor and asking them questions that can help business owners pick the right processor. Some of these questions include asking them about their fees, their rates, and other services that they provide their clients. After which, business owners then should analyze which processor can give them the best deal for the credit card processing services that they are offering.
Nowadays, no business establishment should be without credit card processing capabilities. This is because given that most people make many of their purchases using their credit cards, establishments that do not accept credit card payments risk losing a significant number of sales. The good news is that today, the tools that businesses need to be able to accept credit card payments, which includes merchant accounts, are easily accessible, as there are a large number of companies that provide credit card processing services. [http://www.i-CreditCardProcessing.com]Credit Card Processing provides detailed information on Credit Card Processing, Online Credit Card Processing, Credit Card Processing Software, Wireless Credit Card Processing and more. Credit Card Processing is affiliated with [http://www.e-CreditCardTerminals.com]Wireless Credit Card Terminals.
Article Source: http://EzineArticles.com/?expert=Thomas_Morva http://EzineArticles.com/?Credit-Card-Processing&id=255743
Friday, July 6, 2007
Credit Card Equipments
Credit Card Processing Terminals
By [http://ezinearticles.com/?expert=Thomas_Morva]Thomas Morva
Today, about 80% of customers choose credit cards to pay for online products and services. If an online firm doesn?t possess credit card payment facilities, certainly it loses consumers and sales. Credit card payments are safe and secure, and they guarantee the best customer service. Besides, these payments give a more professional look to any business.
Several different types of credit card processing terminals are available in today's market. These terminals are also referred to as point of sale (POS) terminals. Their type and style depend on the kind of business and style of credit card processing. Prices also vary according to their functions and the technology they use.
Card readers with a small keypad and display are the most basic form of the POS. These are the most economical type of terminals. A credit card processing terminal first checks the customer?s card information. After that, it withdraws money for the purchase from his account and places it directly into the merchant account.
Most merchants prefer a terminal without an attached printer, while retail merchants usually go for a terminal with an integrated printer. There are also wireless machines that are more costly, but the processing volume supports their cost. Wireless credit card processing terminals are mainly used for businesses that continually change their location. Door-to-door salesmen, taxi cab drivers, and seasonal shop owners are the main other consumers of wireless terminals.
Manual credit card processing is a difficult task and it is more time consuming too. The finest choice is to automate your manual credit card processing machine, if possible. Credit card processing machines use different software packages that provide for instant processing, and encrypted SSL (secure socket layer) for safe deals. Of course, any leaks or losses of personal information immediately break the credibility of a business.
Some latest credit card processing terminals can handle multiple merchant accounts. Examples include Nurit 2085, Omni 3750, Nurit 3020, Omni 3740, and Verifone Tranz 380x2. All these terminals provide retailers a fast, low-cost way to approve and process credit card sales. [http://www.i-CreditCardProcessing.com]Credit Card Processing provides detailed information on Credit Card Processing, Online Credit Card Processing, Credit Card Processing Software, Wireless Credit Card Processing and more. Credit Card Processing is affiliated with [http://www.e-CreditCardTerminals.com]Wireless Credit Card Terminals.
Article Source: http://EzineArticles.com/?expert=Thomas_Morva http://EzineArticles.com/?Credit-Card-Processing-Terminals&id=353153
By [http://ezinearticles.com/?expert=Thomas_Morva]Thomas Morva
Today, about 80% of customers choose credit cards to pay for online products and services. If an online firm doesn?t possess credit card payment facilities, certainly it loses consumers and sales. Credit card payments are safe and secure, and they guarantee the best customer service. Besides, these payments give a more professional look to any business.
Several different types of credit card processing terminals are available in today's market. These terminals are also referred to as point of sale (POS) terminals. Their type and style depend on the kind of business and style of credit card processing. Prices also vary according to their functions and the technology they use.
Card readers with a small keypad and display are the most basic form of the POS. These are the most economical type of terminals. A credit card processing terminal first checks the customer?s card information. After that, it withdraws money for the purchase from his account and places it directly into the merchant account.
Most merchants prefer a terminal without an attached printer, while retail merchants usually go for a terminal with an integrated printer. There are also wireless machines that are more costly, but the processing volume supports their cost. Wireless credit card processing terminals are mainly used for businesses that continually change their location. Door-to-door salesmen, taxi cab drivers, and seasonal shop owners are the main other consumers of wireless terminals.
Manual credit card processing is a difficult task and it is more time consuming too. The finest choice is to automate your manual credit card processing machine, if possible. Credit card processing machines use different software packages that provide for instant processing, and encrypted SSL (secure socket layer) for safe deals. Of course, any leaks or losses of personal information immediately break the credibility of a business.
Some latest credit card processing terminals can handle multiple merchant accounts. Examples include Nurit 2085, Omni 3750, Nurit 3020, Omni 3740, and Verifone Tranz 380x2. All these terminals provide retailers a fast, low-cost way to approve and process credit card sales. [http://www.i-CreditCardProcessing.com]Credit Card Processing provides detailed information on Credit Card Processing, Online Credit Card Processing, Credit Card Processing Software, Wireless Credit Card Processing and more. Credit Card Processing is affiliated with [http://www.e-CreditCardTerminals.com]Wireless Credit Card Terminals.
Article Source: http://EzineArticles.com/?expert=Thomas_Morva http://EzineArticles.com/?Credit-Card-Processing-Terminals&id=353153
Wednesday, July 4, 2007
Credit Card Equipments
Credit Card Lingo
By Max Hunter
Knowing What’s Out There – And What To Choose
The World of finance can be a tricky game for both the seasoned
veteran and the novice borrower. Banks can – by accident or
design – make even the most simple information seem complicated
and through this unwittingly (or not) induce their customers to
go for products that might not be best suited to their needs.
Credit, charge, ATM and debit cards are not all alike. Although
you might think that they are basically the same thing – a way
of making payment for purchases or means of getting cash – they
are actually quite different. So as to use these cards wisely,
you should know what each one is and how it differs from the
others. Here’s some information to help you choose wisely.
Credit Cards
Credit cards can be a great way of paying for a purchase. They
are easy to apply for, easy to use, and flexible in their
repayment options. However, if you carry a balance, credit
cards can be like very expensive loans.
A credit card works like this: the credit card company supplies
you with a card; you use that card to pay for items and services
up to a certain total amount -- your credit ‘limit.’ The store
or service provider then collects what you owe from the card
issuer, whom you repay. You're then allowed to pay off as much
or almost as little as you like off the balance each month, so
long as you pay a minimum amount each time (usually 2.5 per
cent).
On the outstanding balance you’re charged interest (which can
be as high as 25% or more each year) at the end of each monthly
period, unless you pay the full balance each time your bill
arrives.
Credit cards are immensely profitable for issuers for a variety
of reasons. The high rate of interest yields issuing banks and
companies vast profits – in some cases the bulk of an
institution’s earnings. In addition to the interest, many
companies charge an annual membership fee for a credit card, as
well as a plethora of other charges, including late fees,
over-the-limit fees and other miscellaneous charges. Companies
also profit by charging stores a fee each time a customer uses
a credit card in their establishment.
There are three different types of credit card available:
Unsecured Credit Cards
These cards are commonly made available to those with good
credit history and credit score. These cards require no bank
deposit amounts to secure and usually have no annual fees and
low rate of interest.
Higher Risk Credit Cards
These cards are usually given to people who have a lower paying
job, and/or poor credit history and credit score. Often these
cards charge an activation fee, and also usually charge an
annual fee of up to $80.
Secured Credit Cards
These cards are given to people who have a lower paying job,
and/or a very poor credit history and credit score. Often these
cards require a deposit to be made to the lender, sometimes as
much as near or equal to the amount of credit available on the
card. If the borrower can prove their credit worthiness over
time, that credit limit is then upped. These cards also attract
a high annual fee of up to $100 and charge high rates of
interest.
Charge Cards
Charge cards (also known as travel and entertainment cards) are
slightly from credit cards. The most famous charge cards, such
as American Express and Diners Club, have an unlimited credit
limit. Normally you can charge as much as you like, but you are
required to pay off your balance in full when your bill arrives.
There’s one exception to this: If you charge air fare, cruise
fees or hotel charges booked through a travel agent on an
American Express card, you have an option to pay off your
balance over 36 months. There’s a sting in the tail, however:
you'll be charged around 20 per cent interest and will have to
make minimum monthly payments of $20.
The way charge card companies like American Express make their
profits is by charging very high annual fees – up to $100 – and
by hitting merchants with relatively high charges each time a
customer pays using their card.
If you don't pay your charge card bill in full (unless the
charges are travel expenses on an American Express card),
you'll get a one-month period of grace, when no interest is
charged. Beyond that, however, you'll be charged interest,
which weighs in at about 18 per cent. After about three months,
if your account is still not settled, your account will be
closed and your bill sent to the collections department.
Cash Advances
Some people use their credit or charge cards to obtain cash
advances. This can be an expensive way of accessing cash. Most
banks charge a transaction fee that can be as much as 4% for
taking a cash advance. Interest is also charged from the date
the cash advance is posted, even if it’s paid back in full when
your bill arrives. Moreover, the interest rate is usually higher
on cash advances than on ordinary credit card charges.
ATM & Debit Cards
ATM and debit cards offer most of the same functions as credit
and charge cards, but the crucial difference is that the money
comes out of your bank account straight away. If you don’t have
the money, you can’t buy the product.
For some people this is a preferable option: they like to keep
track of their outgoings, to keep tabs on what they’ve spent,
to avoid any sort of debt – no matter how brief.
There are disadvantages to using debit cards. It doesn’t give
you the option of up to a month to settle your statement. You
also don't have the right to withhold payment with a debit card
(the money is immediately removed from the account) in the event
of a dispute with the merchant over the goods or services paid
for. Some banks and merchants also charge transaction fees for
the use of debit cards.
About the Author: Max Hunter is the author of many credit
related articles. If you are looking for help with Home Loans
or any other type of credit issue please visit us at
http://www.creditcardunlimited.com
Source: http://www.isnare.com
By Max Hunter
Knowing What’s Out There – And What To Choose
The World of finance can be a tricky game for both the seasoned
veteran and the novice borrower. Banks can – by accident or
design – make even the most simple information seem complicated
and through this unwittingly (or not) induce their customers to
go for products that might not be best suited to their needs.
Credit, charge, ATM and debit cards are not all alike. Although
you might think that they are basically the same thing – a way
of making payment for purchases or means of getting cash – they
are actually quite different. So as to use these cards wisely,
you should know what each one is and how it differs from the
others. Here’s some information to help you choose wisely.
Credit Cards
Credit cards can be a great way of paying for a purchase. They
are easy to apply for, easy to use, and flexible in their
repayment options. However, if you carry a balance, credit
cards can be like very expensive loans.
A credit card works like this: the credit card company supplies
you with a card; you use that card to pay for items and services
up to a certain total amount -- your credit ‘limit.’ The store
or service provider then collects what you owe from the card
issuer, whom you repay. You're then allowed to pay off as much
or almost as little as you like off the balance each month, so
long as you pay a minimum amount each time (usually 2.5 per
cent).
On the outstanding balance you’re charged interest (which can
be as high as 25% or more each year) at the end of each monthly
period, unless you pay the full balance each time your bill
arrives.
Credit cards are immensely profitable for issuers for a variety
of reasons. The high rate of interest yields issuing banks and
companies vast profits – in some cases the bulk of an
institution’s earnings. In addition to the interest, many
companies charge an annual membership fee for a credit card, as
well as a plethora of other charges, including late fees,
over-the-limit fees and other miscellaneous charges. Companies
also profit by charging stores a fee each time a customer uses
a credit card in their establishment.
There are three different types of credit card available:
Unsecured Credit Cards
These cards are commonly made available to those with good
credit history and credit score. These cards require no bank
deposit amounts to secure and usually have no annual fees and
low rate of interest.
Higher Risk Credit Cards
These cards are usually given to people who have a lower paying
job, and/or poor credit history and credit score. Often these
cards charge an activation fee, and also usually charge an
annual fee of up to $80.
Secured Credit Cards
These cards are given to people who have a lower paying job,
and/or a very poor credit history and credit score. Often these
cards require a deposit to be made to the lender, sometimes as
much as near or equal to the amount of credit available on the
card. If the borrower can prove their credit worthiness over
time, that credit limit is then upped. These cards also attract
a high annual fee of up to $100 and charge high rates of
interest.
Charge Cards
Charge cards (also known as travel and entertainment cards) are
slightly from credit cards. The most famous charge cards, such
as American Express and Diners Club, have an unlimited credit
limit. Normally you can charge as much as you like, but you are
required to pay off your balance in full when your bill arrives.
There’s one exception to this: If you charge air fare, cruise
fees or hotel charges booked through a travel agent on an
American Express card, you have an option to pay off your
balance over 36 months. There’s a sting in the tail, however:
you'll be charged around 20 per cent interest and will have to
make minimum monthly payments of $20.
The way charge card companies like American Express make their
profits is by charging very high annual fees – up to $100 – and
by hitting merchants with relatively high charges each time a
customer pays using their card.
If you don't pay your charge card bill in full (unless the
charges are travel expenses on an American Express card),
you'll get a one-month period of grace, when no interest is
charged. Beyond that, however, you'll be charged interest,
which weighs in at about 18 per cent. After about three months,
if your account is still not settled, your account will be
closed and your bill sent to the collections department.
Cash Advances
Some people use their credit or charge cards to obtain cash
advances. This can be an expensive way of accessing cash. Most
banks charge a transaction fee that can be as much as 4% for
taking a cash advance. Interest is also charged from the date
the cash advance is posted, even if it’s paid back in full when
your bill arrives. Moreover, the interest rate is usually higher
on cash advances than on ordinary credit card charges.
ATM & Debit Cards
ATM and debit cards offer most of the same functions as credit
and charge cards, but the crucial difference is that the money
comes out of your bank account straight away. If you don’t have
the money, you can’t buy the product.
For some people this is a preferable option: they like to keep
track of their outgoings, to keep tabs on what they’ve spent,
to avoid any sort of debt – no matter how brief.
There are disadvantages to using debit cards. It doesn’t give
you the option of up to a month to settle your statement. You
also don't have the right to withhold payment with a debit card
(the money is immediately removed from the account) in the event
of a dispute with the merchant over the goods or services paid
for. Some banks and merchants also charge transaction fees for
the use of debit cards.
About the Author: Max Hunter is the author of many credit
related articles. If you are looking for help with Home Loans
or any other type of credit issue please visit us at
http://www.creditcardunlimited.com
Source: http://www.isnare.com
Tuesday, July 3, 2007
Credit Card Equipments
Credit Card Skimming
By Michael Russell
Credit card skimming is an international problem accounting for losses of over one-billion dollars a year. This type of credit card scam is common in Europe, Asia and Latin America and is starting to show up more in the United States.
This scam is easy to run - it can happen when you give your credit card to a store employee to make a purchase. That employee may not only swipe your card for payment, but also swipe the card with a small machine they hold in their hand known as a skimmer. This small device will store the information from your card into its system. The skimmer is equipped to hold information on hundreds of credit cards and from this information, the crooks are able to produce counterfeit cards.
There are skimming rings working all over the world and once your information is put into the skimmer, it is then downloaded into a computer, ready to be emailed to anyone worldwide.
A decade ago, this fraud was not as easy to accomplish as it is today, due to the fact skimmers were very large and had to be hidden under counters. However, with the advance of technology in the past ten years, they have been able to streamline the skimmer, making it small enough to be hand-held and out of sight of the unwary customer making a purchase. These skimmers are easy to buy; in fact, they can be purchased over the internet at around $300. The machine needed to make counterfeit credit cards is a much larger investment - costing $5,000 to $10,000.
Another form of this scam is done by actually pulling information directly from the credit card terminals. A skimmer bug is placed into the terminal and later retrieved with credit card information on it. Only the older terminals can be violated in this way and with the onset of new credit card terminals, this has alleviated much of this bugging.
As soon as the crooks have their needed information on you, they will start their shopping sprees using your credit card number. They purchase all types of merchandise and charge it to your credit card. Over half of credit card fraud is done over the internet with online purchases. With shopping on the internet becoming more and more popular, card fraud on the internet has also increased.
The crooks will also use the internet to verify the card information is valid. They will purchase many low-ticket items through various websites, checking to see if the card is active. Internet processing of card purchases is done by real-time processing and not handled by a person; thus, no chance of them being caught trying to use a stolen card number.
The cardholder is a victim of this crime and is responsible for up to $50 of the total amount charged on his card, while the real victim in all of this is the merchant whose employee did the skimming. The merchant is held 100% responsible and risks losing the merchandise, and is responsible for paying the fees of the investigation. Investigation fees paid by consumers and businesses in 2003 amounted to an estimated half-billion dollars in annual revenue for credit card companies. This money is used by the card companies to offset costs to investigate charge back claims by their customers.
The crook who perpetrates this card fraud, for the most part, goes unpunished. There is a limit of $2,000 before a criminal investigation can be started; the crooks know this and will not exceed $2,000 on their purchases from any one business. Thus, they are pretty much free to continue to victimize consumers and businesses.
Michael Russell
Your Independent guide to Credit Cards
Article Source: http://EzineArticles.com/?expert=Michael_Russell
http://EzineArticles.com/?Credit-Card-Skimming&id=363585
By Michael Russell
Credit card skimming is an international problem accounting for losses of over one-billion dollars a year. This type of credit card scam is common in Europe, Asia and Latin America and is starting to show up more in the United States.
This scam is easy to run - it can happen when you give your credit card to a store employee to make a purchase. That employee may not only swipe your card for payment, but also swipe the card with a small machine they hold in their hand known as a skimmer. This small device will store the information from your card into its system. The skimmer is equipped to hold information on hundreds of credit cards and from this information, the crooks are able to produce counterfeit cards.
There are skimming rings working all over the world and once your information is put into the skimmer, it is then downloaded into a computer, ready to be emailed to anyone worldwide.
A decade ago, this fraud was not as easy to accomplish as it is today, due to the fact skimmers were very large and had to be hidden under counters. However, with the advance of technology in the past ten years, they have been able to streamline the skimmer, making it small enough to be hand-held and out of sight of the unwary customer making a purchase. These skimmers are easy to buy; in fact, they can be purchased over the internet at around $300. The machine needed to make counterfeit credit cards is a much larger investment - costing $5,000 to $10,000.
Another form of this scam is done by actually pulling information directly from the credit card terminals. A skimmer bug is placed into the terminal and later retrieved with credit card information on it. Only the older terminals can be violated in this way and with the onset of new credit card terminals, this has alleviated much of this bugging.
As soon as the crooks have their needed information on you, they will start their shopping sprees using your credit card number. They purchase all types of merchandise and charge it to your credit card. Over half of credit card fraud is done over the internet with online purchases. With shopping on the internet becoming more and more popular, card fraud on the internet has also increased.
The crooks will also use the internet to verify the card information is valid. They will purchase many low-ticket items through various websites, checking to see if the card is active. Internet processing of card purchases is done by real-time processing and not handled by a person; thus, no chance of them being caught trying to use a stolen card number.
The cardholder is a victim of this crime and is responsible for up to $50 of the total amount charged on his card, while the real victim in all of this is the merchant whose employee did the skimming. The merchant is held 100% responsible and risks losing the merchandise, and is responsible for paying the fees of the investigation. Investigation fees paid by consumers and businesses in 2003 amounted to an estimated half-billion dollars in annual revenue for credit card companies. This money is used by the card companies to offset costs to investigate charge back claims by their customers.
The crook who perpetrates this card fraud, for the most part, goes unpunished. There is a limit of $2,000 before a criminal investigation can be started; the crooks know this and will not exceed $2,000 on their purchases from any one business. Thus, they are pretty much free to continue to victimize consumers and businesses.
Michael Russell
Your Independent guide to Credit Cards
Article Source: http://EzineArticles.com/?expert=Michael_Russell
http://EzineArticles.com/?Credit-Card-Skimming&id=363585
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