Are we suckers for Credit Card fee's ? SDFinch

For just about anything you want to get off your chest about credit cards.
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sdfinch
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Are we suckers for Credit Card fee's ? SDFinch

Postby sdfinch » Fri Jan 07, 2011 3:41 pm

Credit Card Fees- SDFinch

Chances are you have a credit card that has fee's. Do you know how many and how much? You might be suprised what you find out.

Many credit cards have fees. You will want to read your credit card agreement carefully to make sure you understand all the fees associated with your card. You can use the Federal Reserve's consumer credit card agreements search to find general examples of the type and range of fees a credit card may have. Here are some common fee terms to look for:

An application fee is charged when you apply for a credit card.
An annual fee, membership fee, or participation fee is a charge for having the card. Some companies charge the entire fee once a year. Others charge a portion of the fee each month.
A set-up fee is charged when you open a new credit card account.
A cash advance fee is charged when you use your credit card to get cash. It may be a flat fee (for example, $3) or it may be a percentage of the cash advance (for example, 3 percent of the total amount of cash you requested, including any ATM fees).
A balance-transfer fee is charged when you transfer a balance from one credit card to another. It may be a flat fee (for example, $3) or it may be a percentage of the transfer (for example, 3 percent of the amount transferred).
A late-payment fee is charged if your payment is received after the due date.
An over-the-limit fee is charged if you make a purchase that takes your balance over your credit limit. Under new Federal Reserve Board regulations, you must authorize your credit card company to allow you to go over your limit or the company cannot charge you this fee. If you don't authorize your credit card company to permit you to exceed your credit limit, your transaction will most likely be rejected. For more information on this change, read our guide to the new credit card regulations.
A credit-limit-increase fee is charged if you ask for and receive an increase in your credit limit.

http://www.federalreserve.gov/creditcard/fees.html


jeffysdad
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Postby jeffysdad » Fri Jan 07, 2011 4:57 pm

I've never paid any fees, ever. In years past when I carried a balance I did pay interest, though.
American Express: Blue Cash Preferred (groceries, 6%; gas, department store, 3%); Gold Delta SkyMiles (Delta Air Lines, 2 miles/dollar, free checked bag).
US Bank: Cash+ (utilities, phone, internet, restaurant, 5%; drugstores, 2%).
FIA Card Services: Fidelity Amex (everything, 2%); Fidelity Visa (everything, 1.5%).
Chase: Freedom (rotating, 5%); Amazon (Amazon.com, 3%); PriorityClub (IHG hotels, 5 points/dollar); Sapphire (not in use).

*All cards are registered with PriorityClub IDine program for 8 points/dollar at participating restaurants.

infomaniac
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Postby infomaniac » Sat Jan 08, 2011 4:48 pm

Credit cards would prefer we choose those with annual fees but ultimately the decision is our own. The important responsibility that we as consumers have is to research past the fancy commercials and airport booths soliciting high fee cards. Fee or no fee, the right choice depends on the individual.

debitcardsblow
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Postby debitcardsblow » Sun Jan 09, 2011 2:48 pm

What I totally find hilarious is that the credit cards with annual fees a lot of times have lower rewards then the free cards. Make sense? Nope!

juggernut
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I would never pay a fee

Postby juggernut » Mon Jan 10, 2011 1:27 pm

I am against credit cards with annual fees for the everyday man. I confess the travel credit cards could be worth their salt for business travelers but not for me who rarely travels.

DoingHomework
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Postby DoingHomework » Mon Jan 10, 2011 2:23 pm

Of course I'd rather not pay fees. But I don't mind the annual fee for the cards I have. I get a lot of free stuff for the amount I pay. Often you can get pretty good rewards if you get good at playing the game. Last year I got 2 free airline tickets, Enough points for a ticket to Hawaii, free tickets to a Broadway play, free 5 nights in a Marriott, and a few other minor rewards. All this was for a $175 annual fee. I think that is a pretty good deal. What I got last year was typical, not the best I've gotten but not the worst either.

debitcardsblow
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Postby debitcardsblow » Tue Jan 11, 2011 1:43 pm

Hey DH what reward cards do you have?

sdfinch
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Postby sdfinch » Tue Jan 11, 2011 5:15 pm

Thanks for all the comments. I guess you just how to wayout the perks!

George_in_NH
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Postby George_in_NH » Tue Jan 11, 2011 6:29 pm

My take on it is paying an annual fee is worth it if the cardholder will be spending enough to benefit and offset the fee. Too many folks rush into applying for credit card deals without doing some basic arithmetic prior.

Smerri
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Postby Smerri » Tue Jan 11, 2011 6:47 pm

debitcardsblow wrote:Hey DH what reward cards do you have?


Based on the $175 fee I would guess it's the American Express Premier Rewards Gold Card.



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