How to Improve your Credit Score

How to Improve your Credit Score

If you are suffering with bad credit there are things that you can do to improve your credit score. You may then wonder how to improve your credit score. Here we will show you some helpful tips for how to improve your credit score.

How to Improve your Credit Score

 

1. You will need to get a copy of your credit reports as you are not able to improve your credit score without knowing what it is that you need to work on. Your credit report will include a list of the accounts that are damaging your credit score. You should review the accounts that need to be improved.

2. If your credit report contains any errors then you should dispute these errors so that they are removed. You will need to write to the credit bureau or the creditor that has listed the account on your credit report and ask them to remove the error. Errors are able to severely damage your credit score so they should always be questioned.

3.  You need to avoid using your credit card to make new purchases as this will raise your credit utilization that is the ratio between your credit card balances and the credit limit you have. The higher that your balances are then the more your credit score will be effected. You need to reduce the credit card balance as this will improve your credit score.

4. Your credit score is made up from 35% of your payment history. Your credit score is then hurt when you are behind on your payments. If you are able to, you need to pay off these past due balances.

5. You should avoid making new applications for credit as even credit enquiries are able to hurt your credit score. Also opening a new credit account will lower your average credit age which will also damage your credit score.

6. You will be tempted to close the credit card accounts but before you do this you need to make sure that this will not negatively affect credit. The accounts that balance on should be left open and these will need to be paid off.

7. You should contact your credit card issuer to improve your credit score as they are able to help you. There are credit card issuers that have temporary hardship programs that will reduce the monthly payments until you are able to get back on your feet.

8. 30% of your credit score is the amount of your debt. Your credit situation will only improve once you start paying off your debts. You can opt in selling off some of your items if you do not have the money on hand.

9. There are help aids out there to help you to improve your credit score like the credit counselling agencies. Getting professional help can aid in prioritizing what needs to be done and how it can be.

10. When you are on the road to improve your credit score you will need to be patient as it will take time to improve it.

It is then possible to improve your credit score but it will take time to do so.

SureSwipe is a South African credit provider for merchants that offer free reporting for transactions processed each day.

Small Business Credit Cards

Small Business Credit Cards and How they Work

As a business owner you will want to keep your personal and business finances separately. A small business credit card is then a must. These work like a personal credit card but as the expenses will be separate from your personal ones, doing taxes become easier.

Banks, credit unions and credit card companies are able to provide small business credit cards and there are various options that you can look at.

In South Africa merchants are able to get their credit card machines and information from SureSwipe.

Why have Small Business Credits Cards

 

A small business credit card is dedicated to that of all the business purchases and expenses. They are important in both small businesses and also for home businesses as keeping track of transactions become easier.

When it comes to tax time having a separate credit card for your small business makes the period easier. The tax return forms have separate sections for personal and business. You will know exactly what is what as the transactions are kept separately.

All the business transactions should be kept on the business credit card and all personal transactions should be kept on your personal card. The receipts from each of these should also be kept separately. You will then just need to look at your business credit card statement at tax time and fill in the required fields.

You are able to get small business credit cards that will go a step further and categorise your expenses to make it even easier.

Finding a Small Business Credit Card

If you already have a bank account then you can talk to your bank about business credit cards and what they offer. This can often be the best idea in finding small business credit cards as you already have a relationship with the bank. You are able to get approval quickly this way as long as you have kept your account in good standing.

A great source of information is online as you can compare the terms of various offerings before you choose.

In order to apply for a small business credit card you will be asked for:

1. Name

2. Business Name

3. Contact Details – number, address etc.

4. Verification of Identity and

5. Annual Income

What to Look For

Credit card terms for small businesses will vary across providers. It is then important to research these so that you are making the right choice for what you need.

·         Sole Proprietor – you may make fewer purchases and just need a basic card that has low rates and no annual fees.

·         Business Owner – you will likely make more purchases so a card that offers reward points might be suitable, especially if travel is frequent as you can earn travel rewards which can be redeemed against accommodation and flights. These cards may have higher rates and annual fees. Ensure you know what you are paying before selecting the card and also compare reward cards.

·         Employees – you may need your employees to have their own business credit cards which will influence your decision. You can find cards that have spending limits and will track the transactions of your employees.

Small business credit cards are ideal but remember you still need to aim to pay these off in full each month to avoid interests. You can easily rack up debt if you are not disciplined s ensure you pay each month.

 

Difference between Payday Loans and Cash Advances

Difference between Payday Loans and Cash Advances

If you are considering a short term personal loan then you can consider a payday loan and cash advances.

Payday loans allows you to take small amounts that need to be paid back in full come the next payday.

There are also personal loans that can be larger and the repayments can be stretched over a longer period of time.

SureSwipe are credit card merchant providers that you can talk to about cash advances.

The main short term loan solutions are payday loans and cash advances.

 

Payday Loans

A payday loan is also referred to payday advances and online personal loans are unsecured loans. This means that there is no collateral and there is usually no credit checks required for approval.

A payday loan is approved based on your income and they are designed so that they are paid back on the specific date that you receive your next pay check. Generally they are paid back in one repayment which is the full amount of the loan plus the interest on the loan.

You will also need a bank account that is in good standing in order for an online payday loan. This is because the loan will be transferred straight to your account and your repayment will be deducted electronically on the due date.

Your income will determine that maximum payday loan that you are eligible for. There are lenders that will decline your loan if they find that you already have unpaid loan with other lenders. If you are in bankruptcy or have ever filed for bankruptcy then your loan can also be denied.

Cash Advances

There are generally two types of cash advances. The first is where the term cash advance is used interchangeably with payday loan as it refers to an advance on your pay check.

This type of cash advance has the same structure as a payday loan in that the maximum that the loan can be will depend on your income. These cash advances are expected to be paid back on the next payday or within a month of taking the loan.

The other type of cash advance is those that are based on a credit card or a line of credit. The credit limit that you have available on a credit card will determine the amount that you can loan.

A credit card cash advance is generally treated like a purchase that is made with a credit card. This means that the repayment terms will follow the policies of the credit card.

A cash advance may offer or may not offer you a better deal than a payday loan as it will depend on your credit rating and the terms of your credit contract. There are credit card companies that will charge a higher interest rate on a cash advance.

Unsecured loans in general will have a much higher interest rate then a secured loan. The lender for an unsecured loan has a much higher risk of not being repaid.

When it comes to payday loans and cash advances it is hard to say which the best for a short term loan is.

You need to look at how much you will need to borrow and the interest rate that is attached.

If you need to borrow more then what a payday loan site is offering then a cash advance could be the better option. It is vital that you look at what you can afford, so you can ensure that you can pay it back.

 

Methods of Payment

Methods of Payment

There are generally three methods of payments, those being cash, debit card and credit card. It can be tough in deciding the best methods of payment but it mainly depends on your needs.



You need to take into consideration your spending habits and how well you keep track of your finance.

Cash is not always the best of the methods of payment as debit and credit can prove better depending on the situation.

Cash could be unsafe to carry, you may want to build a credit score or just keep a better track on your spending.

The methods of payment come down to you and what is best. Here is a look at all three methods of payment so you can decide.

Cash

Having cash on hand can be a great way to keep from over spending. You can decide how much cash you want to spend and only have this on you. Once the cash has run out so has the spending.

However for some having cash on hand increases the temptation for spending that they did not plan for.

The one flaw with cash is that it could be stolen or you could lose it. Cash is not insured so when it’s gone, it’s gone. Debit and credit cards are protected in the case of theft and loss.

Debit Card

Debit cards are accepted by many merchants as they will have machines like those from SureSwipe, so they are able to process them, which make purchasing easy.

Debit cards also have an easy record keeping so you can always keep track.

With debit cards the money comes out of your personal checking account, so you can only use the funds that are in there.

You then have to know what is in your account so that your card isn’t declined or you incur an overdraft fee. This then forces you to know your finances and what you have and don’t have as well as how much you can spend.

You need to know and understand your debit cards security. There are some that have similar protection to a credit card. If your debit card is lost or stolen, you will need to report it so that fraud can be stopped and you are not liable for purchases you didn’t make.

Credit Card

A credit card is the best way to create and build your credit score as long as you use it responsibly.

You can use your credit card to make purchases, but you need to be aware of the repayments and interest.

Each month you are required to pay a minimum repayment on your outstanding balance. Interest is charged on any remaining balance at the end of the month.

The interest can be reduced by paying more than the minimum or you can avoid interest by paying the full balance off each month.

Rewards programs and credit cards seem to go together nowadays. You are able to earn points that can be exchanged for items or travel. There are also cash back programs, which give you a certain percentage of money back for each purchase that is made using the credit card.

If your aim is to improve or build your credit score then you need to be careful with how much you spend and also make timely repayments each month. It is a good idea to rather make small purchases at the beginning with your credit card and pay them off in full each month, so that you can start a good credit history.

Credit cards offer a certain protection on items bought.

The best thing to do is to read all the terms and conditions before you sign up for a credit card and sees if it’s the right choice for you.

There are no best methods of payment as each differs and some will find one better than the other.
You may find that a combination is best. It all comes down to your individual circumstances.

It is best to consider the benefits of each of the methods of payments before you buy, so you can keep track of your money better.

How do Prepaid Credit Cards Work

How do Prepaid Credit Cards Work

If you are thinking about a prepaid credit card then you will need to know how do prepaid credit cards work so that you know exactly what you are getting and what is expected of you.


How do Prepaid Credit Cards Work

1. When it comes to how do prepaid credit cards work, you need to know that they are a hybrid. A prepaid credit card works more like a debit card. The amount that is on the card is what you have loaded onto it, which can be topped up. These cards can be used anywhere like with SureSwipe, as they are associated with one of the major credit card providers.

2. A prepaid credit card makes things easier as they are not linked to a bank account, so you will not need to deal with the banks.

The prepaid credit card allows you to do things that usually require a credit card like hire a car or make hotel reservations.

3. If you do not have a credit history or a low credit score, you can still get a prepaid credit card as there is no credit check to qualify. This also means you can’t build a credit score.

It is then a way for you to use it like a credit card but it is your money that you load and spend.
4. Prepaid credit cards will usually allow you to make purchases, withdraw from an ATM, pay bills online, and authorize payments to creditors and other features.

It is important to check the features on offer to understand how do prepaid credit cards work.

5. The card can be reloaded either by:

• Transferring money from a bank account
• Ask your employer to make a direct deposit onto your card with your pay check.
• Transfer from PayPal or
• Reload in a retail store that offers the service.

6. How do prepaid credit cards work in terms of fees could be a question on your mind as there is usually an interest attached to credit cards.

Prepaid credit cards have some pretty hefty fees so shop around.

The fees attached can be to buy the card, to add more cash to the card, to withdraw from an ATM and also to check your balance. Also there could be a monthly fee for the card as well.

Check all the fees associated with the card before you take one.

7. A prepaid credit card can help in managing your money. You could use it as a budgeting tool where you can load the grocery budget on and only use it as such. When the money has ran out, and then you’re spending also stops.

8. Even though a prepaid card is not strictly a credit card you will still receive theft and loss protection.

If you report a loss or theft of the card then the original balance will be restored and a new card issued.

When it comes to how do prepaid credit cards work it is an alternative and whilst it has the properties of a debit card it still acts to some degree like a credit card, which gives you more flexibility

Credit Cards for Students

Credit Cards for Students

As a student you live on a budget as best you can with tight finances, but are credit cards for students the best way to go? How do you apply for credit cards for students and how do they work?



There are some banks that offer credit cards for students. These cards do not have a huge credit limit on them as it is assumed that a student isn’t earning enough money or any at all to repay any debt.

The interest rates on these cards are quite high, but they are useful under the right circumstances.

Credit Card Advantages

When you make a purchase with your credit card you are more protected then with a debit card. If there is a problem with the purchase and the supplier won’t handle the situation you can claim a refund from your credit card provider.

Also having a credit card as a student means that you can start to build up a credit history which you may need in the future so that you can apply for loans.

Your credit history and score will depend on you repaying the balance each month and on time. As a student you need to be sensible and also know that this will impact your future finances.

What are Credit Cards for Students?

When you apply for a student credit card, lenders know that you will not have a credit score. Credit card providers will have specially designed credit cards for students so that you are able to build a credit history.

Credit cards for students will often have promotional bonuses and reward points. Also you will need to shop around so that you are able to get the best interest rate which can be high as you are considered a risk still.

Applying for a student credit card and being approved is far easier than for a normal credit card because of they will not need a lengthy credit history or any at all and also they do not need to you to have a certain income.

If you have little to no credit history, it might be better to look at a secured credit card. With this card you can still build a credit history which will help in the future.

Good Credit Card Habits

As a student this will most likely be your first credit card, so you should get into some good habits if you are going to have the responsibility of a credit card.

• Each month you are required to pay a minimum repayment, but rather try and pay the balance in full each month. This way you will not need to pay any interest.
• You need to avoid withdrawing from an ATM with your credit card as the fees attached to doing this are extremely high. Also cash withdrawals bring about a higher interest than purchases.

If you earn a steady income as a student then it might be wiser to apply for a standard card instead of a student card.

You will have more flexibility, lower interest and other perks that you may not see with a student credit card.

Credit cards for students can do more damage than good, because if you are unable to clear your balance each month you will not only have the interest but also late payment charges, charges for exceeding your limit and also if you use it overseas you will most likely be charged for this as well.

You need to ensure that you pay the full balance each month on your credit card for students so that you get a healthy credit score built and you are in control of the card, not the card in control of you.

SureSwipe in South Africa are merchant credit card providers, but they can offer great advice in various areas.

Credit Card Security Tips

Credit Card Security Tips

You are able to reduce the risk of fraud by taking some precautionary measures. These are credit card security tips that you can use on a daily basis’s to protect yourself.

SureSwipe in South Africa is a secure credit card merchant that allows your business to accept credit cards and your customers will feel safe in doing so.



Credit Card Security Tips

Security Online Tips

1. When you receive an email with attachments ensure that the attachments come from a trusted source. If you are sent a hoax or a suspicious email rather delete it from your mailbox.

2. You should have an anti-virus on your computer, so that your computer is constantly scanned to detect and remove viruses as well as spyware that can damage your computer, steal your personal details and documents.

3. If you are looking at downloading software especially when it is free, you will, you will need to ensure that the download source is a reputable one.

4. If you go online in a public space then you need be careful when you enter passwords and personal details as you cannot always be sure as to who is watching.

5. If you are using a shared computer, then you should always select no when the computer asks if it should remember the password for the next time that you visit.

6. A wireless connection should be secured and should only be accessed with a security code or a password.

7. If you access websites that require passwords regularly then you should use different passwords for each of these.

8. The passwords that you use should not be obvious ones like your date of birth. You should also never give your passwords, login details or user names to anyone.

9. Before you leave a computer, ensure that you have logged off.

10. Before you visit any other website, ensure you always log off from online banking.

Credit Card Security Tips whilst Shopping Online

1. When you are shopping online, you should not send your credit card details to retailers via email.

2. Your PIN should never be disclosed at any time when you are shopping online or by phone

3. When shopping online, you need to use reputable businesses so that if there are any problems then can be sorted with ease.

4. Confirmation emails and receipts should be printed and kept.

5. In the bottom corner of the site that you are using to make a purchase from, have a look if there is a padlock icon. This shows that the site is secure.

Credit Card Security Tips at Home

1. All confidential letters, account statements and receipts should be shredded.

2. Before you go on holiday, it is a good idea to inform your credit card providers of your traveling plans. This is so that they can verify the transactions that you are making whilst on holiday and not have your credit card blocked.

3. When you get a new credit card, it is important to sign it immediately

4. Your old credit cards should be destroyed by cutting through the chip and the magnetic strip.

5. You need to memorise your PIN.

6. There are retailers that will need your credit card number, expiry date and CVC number, but they will never ask for your PIN, so make sure you are dealing with a reputable business.

7. When you are selecting your PIN, you should choose a number that is easy to remember but is also not obvious.

8. The credit card cheques should be kept in a safe place, separate from your credit card.

9. If your credit card is slow at being delivered, then you can report it to the credit card provider.

10. If your monthly account statements are slow or if you receive your statement but it appears to be tampered with, then you need to report this to your credit card provider immediately.

11. Have a look at all your account statements for any transactions that you do not recognise. Also check online regularly.

These are simple credit card security tips that you can employ so that you can keep your credit card safe and avoid being a victim of credit card fraud.

Get a Credit Card with Bad Credit

Get a Credit Card with Bad Credit

The fact is that you need to get a credit card in order to rebuild your credit, but how are you able to get a credit card when you already have bad credit.

You are able to get a credit card with bad credit though, as there are many lenders who will want your business.


Also as a merchant you will need to improve your own credit score so that you are able to gain the services of SureSwipe for instance.

So how do you get a credit card with bad credit?

Options to Get a Credit Card with Bad Credit

There are fewer options available to you then if you had a good credit score. Even so, you should still shop around. There are credit cards that will carry high fees or interest rates. You will need to find the best possible card for the situation that you are in.
You will first need to check your credit reports and your credit score. You will most likely already have an idea of how bad your credit is but you will not know the extent until you check.

Once you have checked it, you are able to see the factors that are affecting your score and what strategies you can out into place so that you can get your credit score back on track.

It is also an idea to check your credit reports with all three of the major credit reporting agencies so that you can know what it is that is being reported and that the information is accurate.

It can be difficult to say what exactly constitutes a bad credit as there are many different credit scores available to lenders and each lender will decide for them what credit scores are acceptable.

A Credit Score 500 or Below

If you have a credit score that is below 500 then qualifying for a traditional card will be next to impossible.

To get a credit card with bad credit, a score of 500 or below will pose as a very high credit risk to lenders.

You are able to consider a secured credit card. This is where a security deposit is required as collateral which is usually equal to that of the credit limit of the card. A security deposit offsets the risk for the lender as it serves as a guarantee in the unlikely event that you will default on the card.

A secured security cards differ so you will still need to shop around. You will need to do your research and look at the features that are offered. Also not of the secured cards will report your payment history to the credit bureaus. If you want to rebuild your credit history then you need to ensure that the card will report the payments.

A Credit Score of 550

You will still have difficulty is getting a traditional credit card if your credit score is around 550. It will still be considered as a high risk to lenders and a secured credit card will be the best option.

A Credit Score of 600

If you are sitting at a credit score that is 600 you could still qualify for a traditional unsecured credit card with some lenders.

In saying this you will still have a few problems because you are still considered a high risk. The cards that you will qualify for will then most likely have high interest rates and fees.

A Credit Score of 650

If you have a credit score of 650 you are able to qualify for a traditional credit card more easily. A score of 650 still falls in the realm of a poor credit, so you can still expect interest rates that are high as well as higher fees until such time as your  credit improves with you payment history.

Once your credit improves and you break into the 700 range you will be able to take advantage of the benefits that credit cards offer.

The Future

You will want to keep your balances low when you have these cards and top pay the bill on time each month.

As long as you keep these two factors strong then you will see an improvement in your credit score and after a year or so you can think about applying for an unsecured card that will have better perks and fewer fees.

There are ways that you are able to get a credit card with bad credit which will help you to improve your credit score.

Advantages and Disadvantages of Credit Card Transaction Processing

Advantages and Disadvantages of Credit Card Transaction Processing

Credit card transaction processing has its advantages and its disadvantages but they are crucial for a merchant as they are globally accepted.

SureSwipe is a credit card transaction processing machine provider within South Africa. They offer the machines that your business needs to take and accept credit cards.

As a business it can be a huge disadvantage to not take credit cards as your competitors may.

However credit card transaction processing has advantages and disadvantages to them.

Advantages

• If you decide to accept credit cards then you have opened your business to many people who own and prefer to pay with credit cards.
• If you are a merchant in a tourist hot spot you can increase sales by taking credit cards as they can be processed from anywhere in the world. This is then convenient for travellers as they can pay instantly instead of converting currency.
• Impulse buys feature more as well as customers spending more when they are able to pay using a credit card.

 

Disadvantages

• When a credit card is used the issuer and the payment network get an interchange fee, which is a cut of the sales.
• A chargeback is a complaint by a customer to their credit card issuer and happens when they are not satisfied with the product or service. All credit card transactions are subject to this and can happen six months after the purchase. The merchant will need to prove the purchase was legitimate.

If you are thinking about credit card transaction processing machines for your business there are some things that you will need to take into account.

Think About

The interchange fees charged by credit card payment networks can be quite high but retailers see the pros of accepting credit cards and have to accept the fees so that they are able to business.

This fee also pays for maintenance of the network and credit card promotions that are on offer like that of reward programs and discounts.

At first being able to accept credit cards will cost your business and you will need to spend extra time in processing transactions. You will need to open a merchant account which may need a deposit and you will also need to get the equipment to accept them.

If you experience a high sales volume each month then the interchange fee can be negotiated.

As a business you can accept credit cards and also if a customer pays in cash you could consider a discount. If a customer pays with a credit card though a penalty should not be imposed on them.

You need to look at various credit card transaction processing merchants so that you can compare their offerings and fees.

Accepting cards will most likely increase sales as it is more convenient for many to pay this way.

What is a Cash Advance?

What is a Cash Advance?

Have you ever wondered what is a cash advance? It is a loan that is funded from an open balance in a credit card account or line of credit. A cash advance is a common feature that is offered to consumers by their credit card providers.

SureSwipe in South Africa offer cash advances to businesses when they need them.

The amount that can be borrowed and how often it can be borrowed will be dependent on the terms and conditions of the credit card agreement.

How Does a Cash Advance Work?

There is a credit limit attached to your credit card and the issuer will also set a cash advance limit. The limit set will usually be the credit limit available or percentage of that amount.

A cash advance can be taken from an ATM with the users PIN or at the issuers bank counter.

You can’t exceed the cash advance limit at the ATM but it will dispense real currency. There are cases when the amount does exceed the limit but the ATM will still dispense it, however the exchange will become flagged. This can then lead to a penalty or fee.

Why Would You Use Cash advance?

Credit cards and debit cards are widely accepted there are still merchants that will still only accept cash.

You wouldn’t take a loan for such an amount and with a debit card you may only use what is in the account.

If you have a cash emergency, then taking a cash advance against your credit card balance is a practical option.

The Cost

It can actually become expensive to take a cash advance so you should look at other methods of payment before you jump into more debt.

There are usually high fees attached to taking a cash advance as well as a high interest rate that is charged on the borrowed amount. This rate is usually higher on an advance than that on a card purchase.

The monthly credit card payments will generally go toward card purchases first with the lower interest, which means a cash advance will stay on the account longer with high interest until it is paid.

The ATM may also have a charge for taking the money so you then incur this and any issuer fees for the service.

A cash advance is then real cash that you are able to take off your credit card. It can be a viable solution especially if you are in situation and need it, but remember to pay the amount off as soon as you can, so the balance is settled.

Choosing a Credit Card-What to Take into Account

Choosing a Credit Card-What to Take into Account

 

 

 

A credit card is a handy financial item to have but it can also cause problems if it is misused. You need to think carefully when it comes to choosing a credit card and what to take into account about credit cards.

As a business you will need a different type of offering and places such as SureSwipe can help you with your needs.

Before choosing a credit card, here are a few things of what to take into account.

1. Your Spending Habits

You need to consider how you will want to use a credit card. Think about if you will be able to pay of the balance each month or will carry a balance from month to month. Also are you looking at a credit card for emergencies only or to pay for various types of purchases?

         i.            If you know that you will pay the outstanding balance each month then you do not need to be overly concerned with the interest rate. You should try choosing a credit card that has no yearly fee and a long grace period.

       ii.            If you believe that you will carrying a balance each month then you need to find a credit card with a low interest and a low introductory fee.

      iii.            If you plan on making various purchases with a credit card then you need to secure a good credit limit as well as look for a rewards program. If you intend to only use it for emergencies then a low fee, low interest and no frills card is best.

2. Interest Rate

When you see a credit card offer the interest rate will appear as the APR which is the annual percentage rate.

This rate can either be fixed or variable which is then tied to a financial indicator which will generally be the prime rate.

A fixed rate will remain the same month to month. The fixed rate will only change when it is based on specific factors like paying the balance late or exceeding your limit.

A variable rate will rise and fall month to month, which means you may not know what to expect.

3. The Limit on a Credit Card

A credit card limit is the maximum amount of money that your credit card issuer will allow you to borrow.

The limit that is granted to you will largely depend on your credit history and credit score.

You can damage your credit score by maxing out your card and the limit can be lowered. This will also incur a penalty.

4. The Fees and Fines

You need to be aware of the fees associated with credit cards when choosing a credit card. The fees that you need to take into account are transaction fees like balance transfers and cash advances.

You can also incur penalties and fines if you pay your monthly payment late.

You need to consider cards that have affordable fees. You can find offers that have a 0% interest for a period of time and other such deals that you can take advantage of when choosing a credit card.

5. Balance Calculation

If you intend to carry a balance then you need to take into consideration how the finance charge is calculated.

A common calculation for this is the average daily balance. The daily balances are added and then divided by the number of days that are in the billing cycle.

If the credit card has two billing cycles then you should avoid these as you will be paying more.

6. Rewards

There are reward programs offered by credit card issuers. As long as you do not pay for the rewards in terms of charges these can be a nice benefit to you.

The rewards can vary from cash to travel. These rewards are earned on purchases that you make with your credit card.

When choosing a credit card these factors are what you should take into account before you agree to any credit card offering.

A credit card takes responsibility and managing so that you improve your credit score and pay your balances. It is not an item that should be taken lightly and you will need to think about it and how you will use it.

The most important factor is to understand the credit card and its terms so that you know what you are paying and what you will gain.

All Credit Card Types

All Credit Card Types

There are various types of credit cards so you will have to look at the type of card that you need if you want to get a credit card. In order for you to make the right credit card decision you should look at all credit card types. This will help you in knowing more about all credit card types and narrowing down which applies to you.

All Credit Card Types

1. Standard Credit Card

The standard credit card can also be referred to as ‘plain vanilla’; this is because these credit cards have no extras to them they are just a credit card.

The standard credit card will have a credit limit placed on them. When you buy something you will use the credit on the card so that you can buy it right then. At the end of the month you will need to replace the credit by making the due payment on your credit card. This will then make the credit available once more.

If there is an outstanding balance on your credit card at the end of the month, you will be charged for this. There is also a required minimum payment that has to be made every month on the date it is due. If you fail to pay on the set date you will incur a late charge.

2, Balance Transfer Credit Card

If you opt for a balance transfer credit card you will be offered a limited time only low introductory rate on balance transfers.

The offers for balance transfer cards vary in their interest rate and the promotional time period. The lower the rate is then the longer the time period is as they are attractive but you will need a good credit to qualify.

3. Rewards Credit Cards

The rewards credit card offers rewards to the user when they make a purchase with their credit card.

Generally there are three reward card types, those being:

·         Cashback

·         Points and

·         Travel

The type of reward you choose will depend on which will be more beneficial to you.

4. Student Credit Cards

As a student or a young adult you will most likely not have a credit history or very little, which is where student credit cards come in.

As a new credit card applicant it will be easier to obtain a student credit card than any of the others. These may also have additional perks like low interest rates on balance transfer and rewards.

 

5. Charge Card

There is no pre-set spending limit on a charge card but the full amount must be paid each month.

If you are late in paying the full amount you will incur a late fee, charge restrictions and even card cancellation depending on the card agreement.

 

6. Secured Credit Cards

If you do not have a credit history you suffer with bad credit then you can look at the secured credit card.

The card requires a security deposit to be loaded which will also act as your credit limit.

You will still need to make the payments for the card each month.

7. Subprime Credit Cards

The subprime credit cards are not a good choice however they are offered for those that have bad credit and are unable to obtain credit another way.

These cards have complex terms that may confuse you but they also have a high interest and pricey fees.

8. Prepaid Cards

A prepaid card is not actually a credit card and is not able to aid in a credit score but they can help you manage your finance.

In order to use a prepaid card an amount of money will need to be loaded on to the card which can then be used to pay for items. You will have to top up this card when there are no more funds. These cards also have no fees attached to them or minimum repayments.

9. Limited Purpose Cards

Limited Purpose Cards are used like a credit card but can only be used in specific locations. These do have finance charges and minimum payments that need to be made.

Limited purpose cards are store credit cards or gas credit cards.

10. Business Credit Cards

A business credit card is intended for business use. Business owners will get one of these cards so that they are able to separate business and personal transactions.

These are all credit card types that you can choose from. These cards will all work in credit card machines like those from SureSwipe.

Credit Card Processing Terminals

Credit Card Processing Terminals

There are several ways that credit card transactions can be processed as merchant services will offer various types of credit card processing terminals like SureSwipe in South Africa will have what you need in regards to credit card processing terminals.

You will need to look at the various credit card processing terminals so that you are able to see which one of these is best for your business.

Online Credit Card Processing Terminals

An online credit card process uses a website in order the sell the products and services that the business is offering.

These online sites will have a shopping cart feature where items can be added into on the site. The shopping cart allows customers to quickly and easily purchase their goods.

If your offer your products online then you will obviously choose this option so that the goods can be paid for by the customer with their credit card.

Credit Card Terminals

A credit card terminal is where customers will swipe their credit card through the card reader so that their information is read through the magnetic strip.

You will often find the fixed terminal which is one that is placed at a cash register for instance at a fixed point. The other is a portable terminal that does not have to be plugged into a specific point. This device can be taken to the customer so that they are able to pay for their items. These work well in restaurants.

There are also terminals that are called tap and pay. Customers will tap their card to make a transaction. The cards are read when they have Radio Frequency Identification or RFID chips inside of them.

The credit card terminal will either use a telephone line, an internet line or broadband and Wi-Fi.

Mobile Processors for Credit Cards

A mobile terminal can actually be plugged into a mobile phone or mobile device. The credit card is swiped through the terminal which is then processed using the mobile devices internet connection.

There are also apps that can be used on the mobile device so that the merchant can type in the credit card information so that the transaction can take place.

These are ideal for mobile companies that may visit the customer’s place of residence.

Manual Credit Card Processing

This is how it sounds and processes transactions without electronic devices. Manual credit card imprinters used to create a copy of the credit card. However this is a very outdated form of credit card processing and will rarely be seen in action.

These credit card processing terminals are different and the one that you choose will depend on the business that you have so it is able to run efficiently.

 

How to Avoid Credit Card Skimming

How to Avoid Credit Card Skimming

Your credit card is precious to you so you will very rarely let anyone else touch it so then how it is possible for people to get your credit card details. Thieves use a device called a Credit Card Skimmer.

A credit card skimmer is a portable device that is able to capture card data.

The credit card skimmer is attached to the front of or on top of a legitimate scanner.

These credit card skimmers will often be placed on a device at a petrol station, at ATMs or other terminals that offer convenient self-service point of sale terminals.

Skimmer technology like most other technology has advanced over the years. There are skimmers that are able to capture your card information and a small camera will record you typing in your pin,

There are also some that will place a second keypad over the actual keypad which will then capture your pin number.

The other side of skimming is actually at point of sale terminals which are actually conducted by employees who use hand held skimmers or fraudsters who swap the actual POS device for one that have been tampered with to skim and transmit the data from the card.

As the technology improves you need to know how you are able to avoid credit card skimmers.

How Can You Detect and Avoid Being the Victim of Credit Card Skimming?

Inspect the Card Reader and PIN Pad

Banks and merchants are aware of the skimming scams so they may have a picture of what the device that you are using should look like so that you are able to identify any changes.

You can also educate yourself as to what skimmer devices look like so you know what you are looking for.

As skimmers are only temporary have a look at the device and if it doesn’t look like it matches the machine in terms of colour and style then you might be looking at a skimmer.

Machines like those from SureSwipe will show you how each of your devices should look as a merchant and how they work so as a merchant you can also spot skimmers if the point of sales is not fixed. They also offer support if you are a victim of fraud.

Look Around

You should look at the other devices that are near to the one that you are using to see if they are the same. It is rare that skimmers are skimming all the devices around you and will generally just target the one device.

Trust Your Gut

We will actually be able to notice when something is out of place instinctively. If you sense something is off about the credit machine you are using then rather use a different one.

Check Your Accounts

If you are worried that your card has been skimmed then you need keep your eye on your account balance.

If you notice anything that is off then you should report it to your bank immediately.

In order to avoid credit card skimmers you just need to be aware. If you notice anything wrong on the device that you intend to use then avoid the machine altogether instead of taking a chance.

Wireless Credit Card Machines for Small Businesses

Wireless Credit Card Machines for Small Businesses

All businesses need to accept credit cards. A business whether it’s large or small will benefit greatly from accepting credit cards. They are able increase their sales by switching from cash only. Wireless credit card machines for small businesses will greatly improve how the business is able to handle their transactions.

The wireless credit card machines for small business means that the point of sale processing machines allows the card terminal to be taken to the cu8stomer and is not fixed at a point like at a till.

The Benefits of a Wireless Credit Card Machine for Small Businesses

The wireless credit card machine has many pluses for your small business.

1.       A wireless processing system gives you the same access to credit card authorisation networks as well as the mobility to pursue sales where ever they are.

2.       The wireless credit card machines are often lighter than the traditional ones and smaller so that they are easy to take around.

3.       As you will not need any direct phone lines installed you will be able to save money.

Who Benefits from Wireless Credit Card Machines

There is no particular merchant that can use a wireless as every merchant can to improve their business.

If you are a small business that doesn’t have brick establishments then you can your small business to various fairs and markets. The wireless credit card machine can go with you and you are able to increase your sales by being able to accept debit and credit cards.

Restaurants and small cafes can take advantage of wireless credit card machines by offering table side payments which increases service and security.

Delivery and service workers are able to swipe credit cards at the customer’s home which makes it easier for the customer to pay for the service and merchandise.

Difference between Wireless and Mobile Machines

The mobile and wireless machines both allow credit card and debit cards to be accepted but they are different.

The wireless credit card machines work like a fixed machine but there is no need for a direct hook-up. The credit card is processed the same way a traditional credit card machine works.

The mobile processing however allows merchants to accept and process payments from their mobile phone or device.

The wireless credit card machine for small business is able to increase the convenience for customers as well as the sales for the business.