True Earnings® Card from Costco and American Express
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Earn cash back on gas and a $25 statement credit with your first purchase made with the Card.
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Earn cash back virtually everywhere you go - 3% for annual gasoline purchases of up to $3,000 (1% thereafter), 3% for restaurants, 2% for travel, 1% everywhere else, including Costco.
Earn 10,000 Membership Rewards® bonus points when you spend $500 in 3 months - redeemable for a $100 gift card!
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The Membership Rewards® program - Earn 1 Membership Rewards® point for virtually every dollar you spend and redeem for your choice of travel, shopping, and entertainment rewards.
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Gold Card Events - exclusive access to tickets for select concerts, shows, major sporting events, and more in cities nationwide.
Starwood Preferred Guest® Credit Card from American Express
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Earn up to 25,000 Starpoints® - enough for up to 6 free nights at a category 1 or 2 hotel.
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Use Starpoints® for free nights and upgrades at participating Starwood hotels and resorts in 95 countries including Sheraton, W Hotels, Westin and more with no blackout dates.
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No annual fee for the first year and $45 thereafter.
Platinum Delta SkyMiles® Credit Card from American Express
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Earn 20,000 bonus SkyMiles® (including 5,000 Medallion Qualification Miles) after first purchase and another 2,500 for adding an Additional Cardmember.
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Earn one companion Coach Class ticket each year upon renewal.
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Earn at least 1 mile for every eligible dollar spent.
Remember the times in your childhood when asking your parents for forgiveness calmed their anger and compelled them not to punish you. If it worked, it just might work once again, only this time with your credit card issuer. Being late on a credit card payment is now a ?“punishable offence,?” that will cost you at least $15. However, if you?’ve been ?“good?” on your previous payments, you will most likely get a break from your credit card company. Usually, if you call and ask for ?“forgiveness,?” your card issuer will oblige. If your only excuse for being late on your payments is that you?’ve never been late before, this will probably work as well, as most banks usually forgive first-time offenders.?’
What is the difference between an additional card and co-signer card?
An additional card is a card you get on your personal credit account with another person?’s name on it. This means that the person now has access to your credit account as if it is their own account and can charge as much as they want without your permission beforehand. In addition, this person is not held accountable by your creditor for making any payment on the account. This responsibility falls on you, the account holder. As a result, no matter how much this person charges on your card, you have to pay for it?—even if the person promises to pay you back and doesn?’t. A cosigner card is a credit card someone applies for and gets a cosigner to sign on. Essentially, it is the applicant?’s credit account, but if they stop making payments, the cosigner is then responsible for the account. The history of the account goes on both person?’s credit reports. The cosigner will have to make special arrangements with the creditor before cosigning to get monthly statements on the account or reports of late payments. Otherwise, the cosigner will not have access to the account information. If you do cosign on an account, remember that you assume equal liability.
Debit or Credit?
Once you become a student, you?’ll hear this question almost every time you go to pay for something. If you don?’t know the difference between debit and credit, learn fast. A debit card (sometimes also called a check card) is basically cash, not credit. Any time you use a debit card money is withdrawn right out of your checking out. When you pay for an item, your checking account balance goes down. Be sure to keep track of what you spend. Even though you might have $100 in the account today, you might have written a check for $50 yesterday that hasn?’t posted yet. If you spend $60 with your debit card, your check will bounce when it makes it back to the bank. This can lead to all kinds of fees and penalties.
I wanted to get a credit card but I do not have any credit history. Are there other ways to build a credit history?
To someone seeking credit for the first time, it may seem like a vicious circle: You cant get credit without a credit history, and you cant establish a credit history without credit! Frustrating, isnt it? Interestingly, some institutions only look only at your salary, job and the other financial information that you put on the application to determine if you qualify for their card. However most will be interested in your track record -- How have you handled other debts -- and will ask to see your credit report.
To get the story on you, institutions will turn to information provided by credit-reporting agencies or credit bureaus like Equifax that collect, store and quantify information about borrowers. The records show your credit history -- how much credit youve received and how faithfully youve repaid. Fortunately, even if youve never had a Mastercard, American Express, Visa, Discover, or other major credit card, you can still build a good credit history:
?• Open a checking account or savings account or both. Although not part of your credit history, your accounts may be checked by potential lenders as evidence that you have money and know how to manage it.
?• Cancelled checks can be used to show that you pay utilities or rent bills regularly, a sign of reliability.
?• Apply for a department store credit card. Stores dont ask for credit histories as often as major credit card institutions, so you should be able to get a card based on your annual salary. Then, repaying your store bills on time becomes a major ""positive"" in your credit history.
?• Look for a financial institution that will allow you to deposit funds to serve as collateral for a credit card. Some institutions issue a credit card with a credit limit equal to the amount on deposit. These cards are relatively easy to obtain and as with your department store card, paying these bills on time will enhance your credit history.
?• If you dont have a credit history because you?’re new in town, request a summary of any credit record kept by a credit bureau in your former town. Dont know whom to contact? Ask the bank or department store in your former town for the name of the agency it reports to.
You may already have a great credit history and not realize it. If you do, its time to ""comparison shop"" the credit card companies and find out who has the best deal to offer you.
Annual Fee
some credit cards also have annual fees, which can run as high as $75-$100. Fortunately, the majority of credit card offers for students have an annual fee of $0. Think of it as membership fee, which is tacked onto your balance once a year just for having the credit card. You are expected to pay this fee, and it will collect interest as part of your balance owed. However, if you pay your balance owed by the due date, you will not have to pay any interest
Annual Percentage Rate
All cards have an Annual Percentage Rate (APR) and many have an Annual Fee. The APR is what makes creditors money off your charges. For each penny you charge, interest accrues monthly until you pay that penny off. Cards can have APRs as low as 0% (although 0% is only offered during a short introductory period) and as high as 29%. It is up to you to know what the APR on your card is and whether or not it is a fixed rate, or if it can be changed at any time. You might only charge $20, but you will also owe your creditor the interest that accrues on that $20. However, if you pay off your complete balance by the due date, no interest will accrue.
Cash Advance
the world of credit can be a maze for the college student. This is why you should always exercise caution when applying for credit cards and using the cards you have. By making careful choices and responsible decisions, you can avoid financial disaster and get the most out your credit. If you educate yourself on credit and understand the terms of all cards you apply for, you can begin to create an excellent credit history for yourself. And with a positive credit history, the sky is the limit!
How important is the Balance Computation Method for Finance Charges?
If your plan has no free period, or if you expect to pay for purchases over time, it is important to know how the card issuer will calculate your finance charge. This charge will vary depending upon the method the card issuer uses to figure your balance. The method used can make a difference, sometimes a big difference, in how much finance charge you will pay -- even when the APR is identical to that charged by another card issuer and the pattern of purchases and payments is the same.
Do I have a right to know whats in my report?
Yes, if you ask for it. The CRA must tell you everything in your report, including medical information, and in most cases, the sources of the information. The CRA also must give you a list of everyone who has requested your report within the past year?—two years for employment related requests.
Don't be Late, Pay the Minimum
Late fees, these days, may take a toll on your financial health. It would be especially unfortunate to pay a late fee if your total credit card bill is less than the amount of late fee. To avoid this situation, consider paying a minimum due on your bill if you do not have enough cash on hand to pay off the whole bill on time.
