Most People Never Think to Try a Stunningly Simple Way to Cut Down Credit Card Debt
Most people don't know you can call your credit card issuer to ask for a reduced annual percentage rate. Eight in 10 credit card holders who asked for a lower interest rate in the past year were successful, according to a new survey from CompareCards.com. The average reduction was 6 percentage points. Credit card companies may also be lenient when it comes to waiving fees and increasing credit limits. You just have to ask. [Business Insider]
4 Biggest Mistakes Most People Make with Credit Card Rewards
A new study by NerdWallet shows how many misconceptions people have about rewards programs, which could be setting them up for serious disappointment, or worse. The study found two in five people believe carrying a balance won't affect the value of rewards. Many Americans don't know how much points or miles are really worth. Younger consumers are more likely to overestimate sign-up bonuses. Less than half of consumers would use credit card points for flights. [MarketWatch]
Delta Expects to Make $7 Billion From Its Amex Credit Card Relationship by 2023. But How?
Delta Air Lines is promising investors it can earn up to $7 billion by 2023 from its new credit card contract with American Express, about double this year's haul. But it'll only see that much money if it meets certain performance goals. Banks typically pay airlines a fixed price per mile, often between 1.25 and 1.50 cents, which they buy directly from the carriers and give as a reward to their customers. Banks may also pay incentives based on the number of new cardholders who sign up. [Skift]
Chase Freedom Card Sweetens the Rewards for New Customers
As competition in the credit card industry increases, so do the benefits for consumers. The Chase Freedom Card is the latest to ratchet up rewards for cardholders. The card is doubling its cash back rewards for new account holders from 1.5% to 3% on up to $20,000 in purchases during the first year. That potentially adds up to an extra $300 in cash back. [Consumer Affairs]
Capital One Quietly Changed Some of its Credit Card Rewards. Why You Should Care
For some Capital One credit card holders, it's gotten more expensive to turn rewards miles into gift cards. At the end of March, Capital One quietly updated the number of rewards miles card holders need before they can trade them in for gift cards for certain popular retailers including Amazon, Apple and Walmart. Previously, a single mile earned with these Capital One cards equated to 1 cent for all gift cards. Now, the pricing for certain retailers has changed: a single mile is worth 0.8 cents when redeeming these cards. [MarketWatch]
Bank of America is Creating a Digital Financial Coach to Chase the 'Holy Grail' of Banking
Bank of America wants to pull off an unlikely transformation: from megabank to trusted financial coach for its 66 million customers. For years, the second biggest U.S. lender has steadily released new digital capabilities, from updated banking apps to electronic payments and a virtual assistant named Erica. Now, it's preparing to unveil Life Plan, a digital portal that helps users work toward goals like buying a home or saving for retirement. [CNBC]
Prepaid Phone Cards Just Got Bank-Level Protection
A sweeping new rule is finally giving prepaid phone cards the same user benefits and protections as bank debit cards. The amount loaded there is now given the same treatment against fraud, unauthorized charges or errors. It's part of a new CFPB requirement to issuers of prepaid cards and peer-to-peer payment services such as Venmo, PayPal, Google Pay, and even Facebook Messenger's payment options. Now users of such financial instruments will have more clarity about fraud protection and fee structures, such as ATM withdrawals or cash deposits. [Phone Arena]
Laundry, Vending Make Change with 100M Mobile Transactions
PayRange, maker of an in-app mobile payment service for unattended retail, reports its platform has powered over 100 million mobile payment transactions. Mobile payment adoption in unattended retail is gaining momentum, in part because it is solving a frequent problem: consumers often don't have the change necessary to make a purchase. PayRange says consumers using its app pay faster than inserting quarters, making the transaction quick and easy. In laundry, for example, consumers can view machine timers in the app and receive cycle completion notifications. [American Coin-Op]
90% of Consumers Value Additional Security Measures to Verify Mobile-Based Transactions
A strong majority of US adults value additional security measures for mobile transactions, with 90% reporting they would want the ability to approve some or all mobile device transactions before the transaction is completed, and 71% interested in approving all such transactions. One in five (19%) would prefer only to approve some transactions, such as those totaling $100 or more. [Help Net Security]
Millennials Are Racking Up Credit Card Points. Here's How That Could Backfire
Almost 40% of rewards cardholders say they've paid for purchases with their cards just to earn points. A survey found 35% of millennials (ages 24 to 38) using a credit card for points, compared to the 30% of baby boomers (ages 54 to 74) and 23% of Gen X (ages 39 to 53). Swiping simply to acquire points could backfire and dig you into debt. [CNBC]
How to Avoid Fees on Your Social Security Debit Card
All Social Security beneficiaries are now required to receive their payments electronically. Most people elect to have their Social Security payments directly deposited into a bank or credit union account. Retirees who don't have bank accounts or prefer not to use one can have their payments loaded on a prepaid Direct Express Debit Mastercard. However, as with every financial product, there is some fine print and potential to trigger extra costs. Here's how to avoid fees on your Social Security debit card. [US News]
First Quarter Profits Top 4 Credit Card Networks & Issuers
Credit card profits after tax among the nation's top four bank credit card issuers--Chase, Capital One, Bank of America and Citibank--soared 31.4% in the fourth quarter, compared to one year ago. This compares to a year-over-year growth rate of 28.8% for the prior quarter. [CardFlash]
Provided by LowCards.com
