Visa offers merchant incentives for processing EMV cards

By Melissa Rudy

Consumers who haven't yet heard of the new, more secure "chip and PIN" credit cards are about to get an earful, as Visa prepares to push through readers for the improved chip credit card to merchants throughout the United States.

Although EMV microchip credit cards have become the norm in Europe and other parts of the world, American retailers have been slow to adopt the new payment processing systems, delaying the widespread use of these cards in the United States.

That's about to change with Visa's new initiative to encourage retailers to adopt the microchip card processing systems. According to their press release, Visa plans to offer incentives to retailers who implement the new payment systems and eliminate older ones that can only read magnetic stripe cards.

"Carrot and stick" approach

Visa is taking a "carrot and stick" approach to pushing EMV card readers on merchants...

By Maryalene LaPonsie

Alec Baldwin is so smooth, isn't he? With his charming smile, he makes you want to whip out your Capital One Venture rewards card and buy, buy, buy! But amusing commercials aside, I cringe a little at the thought of unsuspecting folks racking up thousands in debt for a plane ticket worth $500.

Rewards credit cards can be great if you know how to use them, so let's make sure you are using them right by going over the pros and cons of what's in your wallet.

The pitfalls of rewards credit cards

Let's start with the bad news: That rewards card in your pocket may be paying you some cash, but it's also likely leading you into debt.

At the end of 2010, the Federal Reserve Bank of Chicago completed a study on consumer habits and rewards cards. They found that, when offered a one percent cash back reward, consumers increased their credit card spending by $68 each month. Meanwhile, their payments decreased, which meant their total quarterly credit card debt increased by $115. The pay-off for the extra $115 in debt? A $25 reward.

By Melissa Rudy

American Express, the company known for offering some of the best rewards credit cards, just broke new ground with a social networking campaign that delivers discounts and special offers directly to the customers who want them. This customized credit card marketing strategy is linked to AmEx's Facebook presence, and the discounts are offered only to members who sign up for them on the American Express business page.

AmEx uses Facebook to personalize special offers

American Express is the largest credit card company in the world by purchase volume, and it aims to stay that way, so this personalized marketing strategy should come as no surprise. It relies on new technology--and cutting-edge ways of using that technology--to refine cardholders' expectations and customize special offers individually, based on Facebook profiles and online preferences.

"We're running algorithms to serve up offers that are relevant to your likes, your preferences, and your friends," said Edward Gilligan, vice chairman of American Express...

By Maryalene LaPonsie

I was probably about 19 when I stood in line at the supermarket and whipped out my credit card to pay for some groceries. I don't remember what I was buying, but it was apparently too much for the older man behind me. He couldn't help but ask how I was going to pay my credit card bill. My flippant response was something to the effect of "My kids will take care of it when I die." He rolled his eyes, and I rolled them right back. Now that I am slightly older and, ahem, more mature, I can see the error of my ways. At the time, I had the profile of a credit card abuser … racking up debt with reckless abandon. No doubt, I expected a money tree to bloom in the backyard at any moment. But truth be told, without a plan, it is just a matter of time before you self-destruct under the weight of impulse purchases and mounting interest rates.

Savvy shoppers, on the other hand, fall into three profiles when it comes to credit card use. If you don't see yourself in one of these profiles, it might be time to re-evaluate whether you are credit card user or an abuser...

By Alise Ramey

Editor's Note: Thank you for your interest, these offers have expired and are no longer available.

Whether you're just finishing school, or a few years out, it is important to build credit. The best way of doing this is by finding a credit card that works with you, that fits your lifestyle, and one that offers something in return. Travel rewards credit cards can fit the bill for this.  

Traveling on the cheap

Traveling this summer doesn't have to be expensive. By getting a travel rewards card, you can save money while you enjoy yourself. There are some travel / frequent flyer credit cards that offers, perfect for someone who is young and looking to increase their credit score while also traveling.

Travel credit cards tend to offer excellent benefits for frequent travelers. They allow you to earn points and airline, hotel, and general travel rewards on most purchases made with your credit card.

So which cards should you look into?...

By Jennifer Hale

If you're anything like me, you do some instant weeding when you get credit card bills in the mail. Your bill or statement goes into the "do this later" pile, and the envelope, ad inserts and privacy statement get dumped straight into recycling. Maybe, if you're a little more diligent, you save the privacy materials for your filing cabinet, where they collect dust and cobwebs next to documents from years past.

You may have the best cash back credit card or one of the best zero interest credit cards, but by ignoring the privacy policies, you may be creating significant hassle for yourself in the long run.

What does your credit card company know about you?

Think about it. Your card--that piece of plastic that has molded its shape into your wallet--may know more about you right now than most of your friends. Where you shop, what you spend, your habits when repaying (or not repaying). All that information goes back to the issuing company, which has on its hands a treasure trove of data.

After all, our spending habits are extremely valuable to companies that want to market to us. A picture of you as a shopper--who prefers Target to Wal-Mart or spends $500 versus $2,000 a month--helps marketers know what to try to sell you...