By Amy Turner on 21-06-2010
Almost half of credit card customers and 86 per cent of loan customers have not reviewed their balance or monthly payments in the last 12 months.
Research from Capital One has found that, despite nearly 90 per cent of UK adults claiming to be confident about the way they manage their personal finances, many are not taking simple steps to stay in control of their credit card and loan debts.
The study also discovered that more than half of consumers have not checked their credit rating, even though free credit reports are readily available online, and 21 per cent are unaware that missing a payment on a credit card, loan, or other borrowings, can damage their credit score.
Dr Roger Henderson, senior medical practitioner and stress expert, comments: “This is a classic manifestation of the ‘ostrich syndrome’, where people choose an out of sight, out of mind approach to their finances where the less you know, the less there is to worry about. Often
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By Brandon Morris on 18-06-2010
Most HAMP modifications will end in a re-default or foreclosure
Most Americans have managed to escape foreclosure and lower their monthly payments by modifying their mortgage loans, providing relief to many families. But most homeowners that received a mortgage modification loan are likely to re-default on their payments within a year, according to a recent report.
A recent Fitch Ratings study reveals that between 65 percent and 75 percent of homes modified through the federal Home Affordable Modification Program, but not backed by a federal agency, are likely to default on their mortgage loans within one year, CNN Money reports. Researchers attribute this trend to the heavy debt that most Americans carry in other areas, in addition to their mortgage problems.
“Many of these borrowers still have very heavy levels of other debt,” Fitch managing director Diane Pendley told CNN Money. Read more…
By Jeffrey Campbell on 18-06-2010
It’s official, most of you are using credit card comparision websties to find the best deal when you need a new credit card or when you want your very first credit card. The largest amount of credit surfers however are those who want to transfer their credit card balance…
Whether it is a balance transfer or just your first time credit card shopping, there are always loads of websites out there ready to help you find the perfect credit card for you. In this day and age you’re going to need a credit card, and those without one are quickly pushed to the back when it comes to the world of finance.
When i say the world of finance i don’t just mean credit cards of course, i mean mortgages loans, overdrafts and anything to do with money basically; so that means a lot! And of course, as we all know, if you can’t get credit then you’re basically lost!
However, some people see that having credit card comparison websites is a bad thing. This is unusual because i have always been under the impression that more information is better than none at all. If you can get as many different recommendations as possible (or as you have time for) then surely you can make a much more informed decision about the credit card you want to get, or switch your balance over to.
At Credit Card Comparison we recommend that you not only look at our website, but you look at as much information as you can to make your choice. All information on this website is accurate at the time of publication, so be sure to check the date because this market changes quickly!
By Amy Turner on 16-06-2010
On Tuesday, the Federal Reserve Board enacted additional consumer protections for credit card users in the ongoing game of legislative whack-a-mole. These new rules, which won’t go into effect until August 22, may bring some relief to perpetually bedraggled plastic swipers. But if we’ve learned anything from recent history, it’s that each push against credit card issuers nets a an equal or greater reaction from the industry. Let’s take a quick look at some of the bones that the Fed is throwing before looking into the crystal ball to see what overcompensating screw-over tactics the credit card industry will cook up next.
Late Fees and Penalties Capped at $25
Under the new rules, late fees and over-the-limit penalties cannot exceed $25. Furthermore, the fee cannot exceed the minimum payment that you missed or the amount that you overcharged.
So, for example, if you have a balance of $200 and your minimum payment is $15.95 and you miss it, your late fee has to be equal or less than $15.95. If your
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By Brandon Morris on 15-06-2010
The CARD Act is the greatest piece of consumer finance legislation in my life time. I have written dozens of articles here in support of it when it was a bill, and many more articles praising it when it became law. No, banks did not stop offering frequent flier miles and cash back since CARD became effective. To the contrary, banks are now making less money off of fees from tricks and traps, so they are marketing even more aggressively towards high spenders with great credit who pay their bills. Thi
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