Credit

Credit Card Offers
Compare . . . and . . . Tear!

How many offers have you received recently in the mail promising an
 unbelievably low rate credit card with all sorts of bells and whistles?
Remember this simple rule first and foremost: If it sounds too good
to be true, it probably is.

Anyone can learn how to spot a really good credit card offer. You need
only know to compare the disclosure information, “apples to apples.”
Federal law requires that all disclosures follow the same format, making
it easier for consumers to compare offers.

So the next time you (or your dog, or your children) receive an offer in
the mail, check out the “Fed Box.” (See the example below.) See what
happens to that great rate after the introductory period. See what happens
if your payments are late or if you don’t spend enough. Make sure there’s
an interest-free grace period, too! A quick glance will let you know if it’s
really a better deal than the one you already have. If it isn’t . . . tear it up!

Credit Card Fed Box—Make comparisons

	Visa Classic	Visa Gold (Balance <$5000)	Visa Gold (Balance >$5000)	Card 1	Card 2
Annual Percentage Rate Purchases and Balance Transfers	11.9%	11.4%	10.4%	__________________	_________________
Cash Advances
Grace Period for Purchases	You have 25 days to repay your balance for purchases before being charged a finance charge
Method of computing repayment	Average Daily Balance, excluding new purchases Finance charges accrue from date of advance or repayment of balances first day in billing cycle, in which the cash advance for cash advances and is posted to the account, whichever is later.
Annual Fee	NONE
Transaction Fee	NONE
Late Payment Fee
Over-the-Credit-Limit-Fee
Minimum Finance Charge
Minimum Monthly Payment