Free Online Article Directory. For Article Authors & Publishers
Bank of America Introduces Cash Credit Line
We have warned you to pay attention to new disclosures being mailed by banks in response to the new credit card law that the Obama Administration passed last year.
Four more pages of fresh disclosures arrived in the mail recently from Bank of America about their credit card accounts. Two of the pages were double-sided so it's really six pages of disclosures. Worse, three of the pages were small print; so much for simplified notifications!
It took me three times of reading through to digest what was happening (and I have a lot of banking experience) so I can't imagine what the average person feels like when they open the envelope.
Oue team wants to help you be aware of these topics, put them in plain English, and help you make financial choices that fit your needs. For example, if you are seeking to rebuild your credit score and have trouble getting approved for a regular credit card, one option to seriously consider is a secured credit card. This product is designed specifically for people looking to rebuild their credit. With several months of use and on-time monthly payments, a secured credit card can usually be converted by your bank to an unsecured credit card.
Here are some of the credit card terms that Bank of America is changing (effective June 25, 2011):
New Category Of Transaction The credit card law passed by the Obama Administration forbids banks form raising your credit card interest rate without proper notification and 45 days lead time. In addition, the new interest rate can't apply to transactions that you have already made for which you are carrying the balance. The new rate can only apply to new transactions.
It appears that Bank of America has invented a loop hole to circumvent this requirement. In their recent disclosure, a new category of transaction has been created called "Direct Deposit and Check Cash Advances". By creating this new category it appears that the bank can set whatever interest rate and fees they wish on this category of transaction without technically raising your interest rate. So if you happen to be a consumer that chooses to use check cash advances (those are the checks the bank mails you to access cash off your credit card) or if you call the bank or visit a teller window to direct deposit cash off your credit card into another account, then you need to pay attention to the new interest rate and fees associated with this change.
New Cash Credit Line Also effective June 25, 2011, Bank of America is introducing a Cash Credit Line to its credit card customers. Your credit card has a spending limit. Hopefully, yours is at least 2,500 USD so you get full consideration for that tradeline when applying for a mortgage. The Cash Credit Limit is the portion of your overall credit card limit that you are allowed to use for bank cash advances including but not limited to:
ATM cash advances Overdraft protection cash advances Purchasing foreign currency, money orders or travelers checks with your credit card
In the disclosure we received it says that the Cash Credit Line is limited to 30% of the total credit card limit. For example, if your total credit card limit is 5,000 USD, your ability to access cash is limited to 1,500 USD, which is typically the maximum payday loan amount you can get. Yours could be higher or lower depending upon your account history ad credit score.
So I guess this is the bank's way of limiting your access to cash when you're in a pinch. They must have a high rate of customers that tap their credit card for cash and then default (as opposed to customers using their credit cards mostly for purchases).
Author Resource:-
Nathan Randall, editor, Daily Dollar Newsletter provides free daily advice on money matters plus coupons and discount codes. FYI...you can now access the Daily Dollar Newsletter via iTunes podcast, YouTube video, and on Facebook and Twitter too.
Would you like to have a consistently reliable source of loans for your small business? Then you must learn how to invest in your lending relationships. Only then will you have a stronger and more durable partner for business financing. So let's explore how you can unlock the secrets to reliable lending relationships
A personal loan, or unsecured loan, is a specific type of loan that is secured on a borrower's personal credit standing, not against any private property. A loan is usually agreed to be repaid over a set period with scheduled monthly repayments. Establishments providing personal loans include traditional banks, online banks, credit unions, and other types of lenders.
Business loans have ancillary terms and conditions which govern the actions of the borrower and provide remedies for the lender. The smart borrower knows where the miscellaneous landmines are buried in the business loan and takes action to limit lender interference in daily operations.
Business loans have ancillary terms and conditions which impact the financial condition of the borrower and provide remedies for the lender. The smart borrower knows where the miscellaneous monetary landmines are buried in the business loan and takes action to limit financial fallout. Here are some loan terms that you should step carefully around to avoid blowing up your business finances.
One solution many businesses are turning to in order to make financial management less costly and less risky is the introduction of reloadable MasterCard credit cards, also known as prepaid credit cards.
Originally, the concept about the payday loan was to offer customers a short-term, high-interest loan with no credit or background checks. Customers simply write post-dated checks from their personal checking accounts to get the money and upon returning, they repay the principal plus interest and lending fees.
Both businesses and people can order checks online. Anyone with a checking account is eligible. Many times the bank-provided checks don't provide everything people want when it comes to their checks. More often than not checks online are cheaper than bank provided versions.
There have been plenty of headlines lately about the outrage consumers are expressing over the proposed debit card usage fee that many banks announced. The new debit card fee would zap as much as $5 per month from your account if you used your debit card for purchases (not at the ATM). Florida credit unions have seen membership surge as customers leave big banks, reports the St. Petersburg Times.
Based on the rapid retreat by banks to charge us for using our debit cards, there's no doubt that American consumers are unified in their outrage. Case closed. However, there is a fair fee that banks should impose on us immediately to help recoup the massive revenue loss that banks suffered when the government passed regulations which capped off swipe fees. Shut the front door! It is only fair!
A hardship letter for a short sale can be of major importance to a home owner who finds it difficult to continue making payments on there mortgage. Its vital that this letter include all of the factors that make repayment of the loan impossible. It could be the loss of a job, a major medical expense, divorce or other situation. Learn these key elements and more by reading this article.
![[Valid RSS feed]](http://www.articlelisted.com/images/icon_Rss.png "XML Feed For RSS"){kind=icon}
Nathan Randall's Author Feed
Print This Article
Add To Favorites 