Consumer Tips

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Consumer Tips was Originally Posted on February 14, 2004 by

:!:

Ok, so I belong to this program where I get paid for reading email ads. Most are pretty useful, you know book clubs, online stores like HomeDepot Online and so on.

One credit card application I received look pretty good on the surface. In big print, no yearly fee, low interest rate, and I would receive points for every dollar spent. Those points can be spent at major stores, etc.

All that is ok, but hidden in the fine print is the following:

[b]As long as first balance transfer is completed within 12 months of date of account opening, the balance transfer APR is 0% for 12 months from the date of the first balance transfer. After the promotional period, your standard APR for purchases will be applied to all remaining balance transfer amounts. As of February 1, 2004, the standard variable APR for purchases is 10.99%. The standard variable APR for cash advances is 19.99%. However, if you default under any Card Agreement that you have with us, we may immediately increase the APR on all balances (including any promotional balances) to a variable default rate of 27.99%. The annual membership fee is $0.[/b]

So, 0% to 10.99% to 19.99%. THEN, if you are in default in any way, 27.99%!!!!!

By the way, if you ever have a credit card with a balance due, never call them and tell them you are cancelling the card. Rather, cut up the card and pay it off, THEN cancel the card. Credit card companies can jack up your rate to any percentage they want if you are no longer a member…

For other interesting topics, read the webpage of Consumer Advisor Clark Howard at http://clarkhoward.com/

That is where I used to find my Atlanta to Honolulu airfare sales, learned how to get my credit reports, and WHEN! Keep in mind that some ads on his site are just that, ads for compaqnies that he does not necessarily condone or support. If he mentions a company in the text portion of the site, it is a good place to consider. He asks that you evaluate any suggestions.

For example, some sites he suggests are:

Credit Card comparisons at http://cardweb.com
Mortgage and loan rates at http://bankrate.com

He tells you how to save for your child at http://clarkhoward.com/topics/529_guide.html

As a note, Clark give input to legislators which helped his home state of georgia to create a fantastic 529 plan.

Some long distance deals are at http://clarkhoward.com/topics/long_distance.html

I have used his suggestion of BigZoo long distance and love dit. I also tried and stayed with Packet8.Net for voice over long distance.

On the left side of his main webpage is a link to listen to his show live if he is not on the radio in your town. Want to see if he is on locally? Go to http://clarkhoward.com/clarkhoward/radio_list.html

He really is a nice guy. I have met him a few times in Atlanta and is the only multi-millionare I know. He is not eccentric, just frugal. He tells people he buys 2 single hanburgers because then he gets more for his dollar than buying a double! He shops at COSTCO and SAMS and buys econd-hand suits. Even when someone else is paying the bills, he will book the cheapest ticket he can and upgrade it with points. He rents the cheapest and smallest car he can, because he knows that most of the time the rental company does not have the car in stock and will have to upgrade him. If you try this, remember that the rental companies MAY attempt to get YOU to pay for an upgrade minutes before they discover that they didn’t have your car in stock anyway :-)

Anyway, Clark’s advice is very good and will save you money. Read his site and browse the topics. I would be surprised if you don’t learn at least a few things that will save you hundreds of dollars over the next year.

Thinking about pre-paying your mortgage? Dn’t pay $300 for the priviledge. Clark tells you how to do it for free. http://clarkhoward.com/advice/mortgage_payoff.html

Clark has a few books out in print and has been on the NY Times and USA Today Best Sellers list. Clark is the first to tell you to look for used copies of his book, rather than pay full price! Which other author would do that? :-)