New answers tagged

6

I am really surprised that no one told about create a virtual card. Whenever i want to buy something with my CC, i genereate a virtual card. It has modififed data but can be used only once. After your first payment, you cannot reuse it.


4

The second card idea is useful more than just having a card when everything else goes down. Pick up a card attached to a new account specifically for online purchases (They might know what you mean if you ask for a "Firewall" account). Set it up so that the balance cannot go negative (it will decline rather than overdraft). Keep a small balance, use a ...


0

To be clear it isn't being physically stolen and I've never once lost my card. Are you sure someone with physical access to your credit cards isn't selling the details online? They don't need to steal it in order to get the details. For example: roommates, family members, hired help, coworkers?


0

I would recommend buying cards from revolut and transferwise to be used in online shopping transactions. When not in use keep the cards frozen. I mean keep it disabled from the app.


2

Many good suggestions have been made here. I just wanted to add that there are more secure alternatives to pay online. For example, Amazon gift cards can be purchased with cold hard cash - if compromised, your more sensitive accounts are still protected. Mobile providers sell top-up cards at the grocery store (at least by me). I use Amex Serve a lot: it's ...


0

Yes, this is common. I had a call from the bank, saying that they unfortunately had to change my card, because the details were stolen. They detected this in the internal audit, I didn't have to do anything to verify the card statement. Fast-forward, less than a year! I had a new call from the bank, saying they again unfortunately had to change my card, ...


0

As a few answers above have intimated it appears your main issue has been very lax social security when it comes to your financial information. The more you use your credit / debit card(s). Be it at Macy's , Best Buy or the local restaurant and bar...the vastly more likely it will be that you'll encounter fraud against one of those accounts. Social ...


14

I have been in your shoes, and solved the problem. I followed all bank advice, but it didn't help at all. I finally switched to using strictly cash for all brick-and-mortar purchases, and the fraud stopped completely. I think it was gas pumps. Soon after I switched, I saw a CBC documentary on skimmers used on gas pumps, and particularly ones furthest ...


0

There are some great answers already, but I realized one more likely culprit for this latest theft that hasn't been mentioned in the answers: I recently signed up for pest control services from local companies (one spraying for standard household pests, and one for mosquitoes). Since both are a monthly service they wanted to have a payment method on file, ...


-2

I expect your identity is compromised. This will be the fault of one of the retailers you use (not necessarily where you use this particular card), or possibly a criminal working in a card issuer's customer support centre. You might volunteer to help your bank's fraud team, but don't push it. They have the "hall of mirrors" problem well known in spy novels --...


2

Pay off loans, highest interest rate ones first. And get a plan in place, a SERIOUS plan, to reduce spending and get rid of the other loans. Analyse what all you're spending your income on, and cut it down to the bare basics, using anything left over after that to pay off the rest of your loans. When you're done with that, put half of what you have left ...


15

It might be worth asking your bank for more details about the fraud (e.g. what triggered the fraud alert) because you might find that some perfectly legitimate sites are causing fraud errors. About a month ago I got a phone call from my (Australian) bank informing me my card had been disabled due to potential fraud. When I asked what triggered it, they told ...


23

No, it's not common to replace your card so often I'm going to attempt an answer on this one to provide a few steps you can take to minimize your risk of having your credit card number stolen. It sounds like you've taken a few steps already, but there are definitely other ways for scammers to get ahold of your digits. Shred/burn Paper Credit Card ...


31

Statistically, one of the e-commerce sites you used your card on was hacked. Once every 2 years is above average for that kind of attack, but not by that much. There's no good way around those types of attacks, other than not saving your credit card details on e-commerce sites. It would be a good idea to double-check your computer security, though.


2

My immediate reaction is that your account(s) is compromised. Do you have an easy to guess password? Change it. Turn on multi-factor authentication if your bank offers it. Check your "last visited" note every time you log in (if the bank doesn't offer this, change to a bank that does). If you don't bank online, immediately call your bank and see if someone ...


4

I think it's worth emphasizing @thehole's excellent comment in an answer that will remain... Scams are much more common than actual sweepstakes! Be certain you're actually winning something for real before spending/counting on any of it. The consumer bureau of the state this sweepstake comes from should be of some help in verifying their legitimacy. If ...


4

I agree with RonJohn 100%. I'd only add, once the 2 cards are paid off, step back, and wait a few months. I'd monitor my credit score to see the result of those cards being paid. I'd then use the freed up monthly cash to save, to solidify both a savings account and an emergency fund. You should start to do the math on the marriage and house purchase before ...


8

The 93% usage rate on the store card is what's really holding down your score. However, your hair is on fire™ from the CC APRs, so put out those fires first!! Given what you wrote in the comments, I'd pay off your debt in this order: CC2, the balance is so close to zero, and the difference between the CC1 and CC2 rates are negligible, paid off in 1.33 ...


-1

Typically what I would do is pay down quite a bit of the debt with half of the windfall, so 25-30K immediately used on the debt. Then use the remaining amount to just extend my runway a bit more, amplifying the monthly payments I make on the debt. In the US I can extend my tax payment due date till October of the following year, giving a max of 20 months to ...


3

Overall I like Damon's answer, but I'd like to suggest an option taking it further. Absolutely spend all of the money paying off debt. You have a choice between paying off high-interest-rate unsecured debt that can be discharged in bankruptcy, and low-interesst-rate debt that can't. From a numbers perspective, the credit card debt is the better choice to pay ...


1

First pay off any debt you have. Find a financial advisor and put it in an index fund that has decent growth and don't touch it until retirement. Some funds can get in the range of 8 to 10% with minimal fees. Lets suppose you put down 30K in a fund: 8% per year (average) would get you 200K in 25 years, and a fund with 10% would get you 325K. This is with no ...


5

A credit history is your record of paying debt on time. Ergo, if you've never had any debt, you can't have a record of paying debt on time. The exception to this is that when you are made an authorized user on another person's credit card, that card and its history are imputed to your credit score. (My kids instantly had great credit scores when they ...


4

Interestingly, I am in a similar situation. I graduate at the end of this year and would also like to open a credit card. I applied for one through American Express and was turned down, though I do have assets. I was turned down because I don't yet have credit. Weird, right? To get a credit card, you need to have a credit history... Except not really. ...


12

Get a credit card. I know you said you don't want one, but they build credit and don't have to cost you money. They also offer more protection than a debit card. If you pay it off by the due date there is no interest or penalties charged, but you gain points for using credit wisely. You may find that a credit card is accepted for renting a car when many ...


18

Not sure if I've read properly, but 50k is not all that much, even moreso as existing debt is involved (was it maybe 500k, and I misread?). Insofar, the mere idea "Should I buy property or start a business or something" makes me go "WTF?!", sorry. Debt, especially debt with high interest rates (credit cards?) eats away your assets, and it does that ...


11

Starting a business isn't really a viable option for getting out of debt, unless you really know the ins and outs of whatever business you'd get into. Most new businesses fail. Even the successful ones will probably require a long slog before turning the corner to profitability. Your first priority*, of course, is to pay off the high-interest credit card ...


46

You make $50/hr and are in debt? This is a serious problem! The $50K is a distraction. This is what I'd do: Pay off any high-interest debts (say 7% and above) up to ~$40k (saving some for taxes, ignore if they're already withheld). Stick remainder in a High Yield savings account (e.g. Ally) and forget about it. Discontinue use of credit cards, if you're ...


104

EDITED after OP added more details. no taxes have been taken out yet. 24% will probably be withheld, taking you down to 38K. The organization that ran the sweepstakes must withhold 24%. It's the law, and of course you have to claim it on your tax return, whether or not they withhold anything. Because they'll withhold, they'll send you a W-2G saying ...


-2

Yes, you could ask them to waive your interest and penalties provided that you are seen as a valuable client to them. I always ask for a waiver since I always pay late but in full amount. What I do is I always use my credit card in every transaction I could have. I am a frequent user and I pay in full amount monthly. They can still get income from me since ...


4

On April 10th of this year, I paid for a hotel in Ireland with my credit card issued by a well known issuer (and advertiser) of "no foreign transaction fee" credit cards. The hotel cost €241.20 and my issuer converted that to $272.31, an exchange rate of 1.1290. XE's sister site X-Rates reports that the exchange rate on that day was 1.1267. So I got a ...


3

In the US I have a credit card that offers purchases with no foreign transaction fee (otherwise typically 3%) and does not have an annual fee. Being a MasterCard, the foreign exchange is done at the MasterCard rate (published on their web site the following day). As the rate is the same whether it is a conversion to or from the currency means there is no ...


6

I think you're comparing apple and oranges a little bit. XE is just showing you "mid-market" rates (half way between the bid and ask rates) and even has a disclaimer: All figures are live mid-market rates, which are not available to consumers and are for informational purposes only. In reality, all wholesale market FX transactions have a bid/ask spread ...


1

As written, your question reads a bit like a "shopping list" polling question, which is effectively off topic per site guidelines. I don't have a direct answer in terms of "does such a card exist" - but I can frame-challenge the assertion your question seems to be based on: Arguably, a card provider could get 100% of their income from interest and ...


0

There are two very similar but sublty different questions here: Will having "too much" available credit impact my credit score? versus, Will having "too much" available credit impact my chances of being approved for a specific loan? Other answers have thoroughly, and correctly, covered the first question. Current popular models don't penalize based ...


0

This is true for USA Vantage 3.0, but my FICO score seems to track my Vantage score, so it might be true for Canada. The amount of available credit needs to be high to get a good score. And yes, this is counter intuitive. In my case, my credit score was very good but I wanted it higher. I increased the available credit on one of my cards by $10,000. My ...


4

It is not true that the credit scoring/reporting system cannot tell whether or not you are using your credit. On your credit report, each of your credit accounts reports on a monthly basis both what your available credit is and what your current balance is (how much you owe). The amount you owe divided by the total amount of available credit is called ...


6

In the US, at least, that WAS true, but doesn't seem so anymore. https://www.creditcards.com/credit-card-news/will-increased-credit-limit-hurt-mortgage-approval-process.php You’re not alone in thinking that a credit limit increase can hurt your score and make it harder to get a mortgage. Years ago, the common wisdom was that the more credit you had ...


2

Is Keehn right to advise having a low credit limit? But she doesn't say how much is "too much". Most everything I read suggests that FICO in US or Canada does not penalize for too much available credit. According to this Experian Q&A: From the standpoint of increasing your credit scores, you can't have too much available credit. The obvious ...


3

The specifics of the answer are impossible for us to provide, since it depends on processing that person's entire credit report. A single change in one factor may affect one person more or less than another person. And, it depends on what data a given credit bureau actually has for that person, and which credit scoring model they're using. That said, we can ...


2

Credit score formulas have many different parameters and are pretty black-box, so there's no definitive answer. The best anyone can tell you is what is helpful to your score and what is harmful.


2

First, you say you don't like being mugged, so stop using debit cards. Credit cards risk the bank's money, which also give them incentive to take fraud seriously. You don't have to pay the fraction of balance that is in dispute. Whereas, debit cards risk your own money: If fraudulent charges appear on a debit card, that money disappears immediately. Later, ...


5

The signature isn't for identification. The signature is to seal the contract between merchant/Visa and the person signing the slip whoever that may be. So if someone stole your card, they are agreeing to pay and effectively admitting to fraud. That can be used against them later, to recover costs or prove fraud. Look at what you are agreeing to. You ...


1

I ended up finding a reasonable solution that was somewhat different from what other answers suggested. I won't accept my own answer out of respect for the other contributors' helpful responses. But I wanted to share in case it is helpful to future readers. It turned out that my arrangement with the credit card company is more precisely called a credit ...


2

I Work as a dispute specialist for a credit card company. I handle cases like these all the time and it's a terrible thing to have seen happen to people. We advise cardmembers to look into sources outside of their credit card company. As previous comments have mentioned, Your friend knowingly got himself into a transaction and the services have been rendered ...


7

At one time, cashiers were instructed to look at the signature on the back of the card and see if it resembles the signature on the receipt. However, most cashiers these days are told not to worry about it anymore. Cashiers are not expected to be handwriting experts. And signatures on electronic signature pads often don’t look much like signatures on paper....


2

From the page to set alerts. As you noted, $50 min. Sorry. I have other cards that offer a text when the card isn't present for a purchase. Every Amazon charge would ping me, no matter how small. But. I get 5% back using the store card.


1

As others have stated, when you 'make a payment'. This means you can use a number of sources; bank accounts, e-checks, debit cards etc. If you already have an account with them and it states "transfer payment". It means you are transferring payment from one account (a checking/debit held with Citibank) to another account, in your case - a credit card line.


3

When you click the "Make a Payment" icon, it takes you to your list of Payees. These are external accounts. When you click pay the "Pay Citi Cards" icon, it takes you to "Make A Transfer" which takes you to "Select Accounts". This is where you want to be. Note that the first screen was PAY and the second screen was TRANSFER. An alternative route is to ...


4

Is there a difference between transferring money and making a payment? "Make a payment" probably involves an external bank account rather than your Citi checking account. Will this affect my interest paid or my credit score? No. Your credit report does not indicate how your balance was paid.


2

I don't think your friend has any case at all for making a chargeback - he got exactly what he paid for. And we ALL pay for bogus chargebacks. The more interesting point is whether or not gift card merchants have some responsibility here. The general public is rather naive about gift card scams; such scams are common but rarely discussed until someone you ...


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