In this day and age, not all merchant transactions are conducted traditionally–face to face in a store. More and more people are purchasing items through the mail, the phone, and most frequently, through the internet. Cash and Cheques are not readily accepted when trying to purchase items through these non-traditional methods. Consumers are forced to use credit cards to buy online. However, using credit cards can lead to financial difficulties because some times people buy items on credit when they simply don’t have the cash to pay it off.

There is another method of payment is available—the debit card. There are benefits to using a debit card, not only on the internet, but in the supermarket or department store is you pay like a credit card buy you use your own money..

A debit card looks the same as a credit card, and it is as convenient to use as credit card. For instance, when making large purchases, most people do not want to carry too much cash in their pockets or purses; it is so much easier to just swipe a card. Another way to pay is by cheque, but when people try to use cheques for purchases, they must provide identification and some businesses will not even accept cheques any more. Plus writing out a cheque takes more time and holds up the check-out line. Another convenience of debit cards is enjoyed if individuals travel. If a person travels outside of Australia, cheques are not accepted after he or she leaves the country. Travelers must have traveler’s checks (which have to be purchased), cash, credit cards or debit cards. Cards are just so much handier than trying to keep track of traveler’s cheques or large amounts of cash. These convenience factors show how credit and debit cards are similar, but debit cards actually work much differently than credit cards. Actually, debit cards function more like cash or a cheque, but with the convenience of a credit card. Debit cards are the better choice.

Debit cards are associated directly to a bank account. When a buyer purchases an item with a debit card, the money for item is immediately deducted from the bank account of the buyer. In other words, the buyer is paying as he or she goes. This makes it easier to not over spend, and there are no interest charges. With a credit card, the purchase goes onto a statement to be paid at a later date. Credit cards give the false illusion of being able to purchase all sorts of items without having to worry about paying for them—until the statement comes. Then if the individual doesn’t have the money to cover the bill, he or she is stuck paying exorbitant interest charges of any where from 9% to 23%.

However, not all debit cards are equal. When comparing debit cards from different banks, look for a card that offers no transaction fees for using the debit card. Some debit cards charge for every transaction. Also look for a card that carries liability for stolen cards. No consumer wants to be stuck for the bill of a stolen card. Also compare overdraft fees. Some cards will not allow purchases to be made if there is not money in the account to cover the transaction. However, some cards will allow the purchase, and then charge hefty overdraft fees.

Overall, debit cards are a convenient and world-wide accepted way to pay for goods and services. There is no reason to wait any longer for a debit card. Apply now for a debit card and find out the benefits of using debit cards.

Prevent your chances of getting stung by a credit card scam; if you follow these simple tips shown on the Australian government’s Scamwatch website you will reduce the risk of a credit card scam happening to you but you should always be vigilant.

• NEVER send money, or give credit card or online account details to anyone you do not know and trust.
• Check your bank account and credit card statements when you get them. If you see a transaction you cannot explain, report it to your credit union or bank.
• Keep your credit card and ATM cards safe. Do not share your personal identity number (PIN) with anyone. Do not keep any written copy of your PIN with the card.
• Choose passwords that would be difficult for anyone else to guess.
• Try to avoid using public computers (at libraries or internet cafes) to do your internet banking.
• Do not use software on your computer that auto-completes online forms. This can give internet scammers easy access to your personal and credit card details.
• Do not give out your personal, credit card or online account details over the phone unless you made the call and the phone number came from a trusted source.
• Never send your personal, credit card or online account details through an email.

These tip were from Scamwatch

http://www.scamwatch.gov.au/content/index.phtml/tag/CreditCardScams

If you are looking for a new credit card for your personal use to go shopping with, you should compare some great credit cards offers from many different lenders. Getting a new credit card can be exciting, you may already have one which doesn’t suit your needs and want to change for one with better features. Or you could be looking for your first credit card and not really be sure what you need. All credit cards spending needs to handled responsibility so to help you find a new credit card, you should consider what sort of credit card you might need?

Lower interest rates save you money

If you choosing a new credit card, select one with interest charges can afford. Use a credit card interest calculator to see the difference between what interest charges really cost you each month or year. Its the best way to know what a credit card is likely to cost you.

Using a balance transfer

If you want to switch credit cards and get a break on interest fees, balance transfers offer low to no interest charges on your loan for a period of months. But to benefit from balance transfers you need to use this time to get ahead on your repayments. You should not use your credit card until the debt is repaid otherwise the interest rates will be applied to your balance when the time is up.

Pay more than the minimum repayments

Just paying the minimum amount off your credit card each month will not reduce your debt at all, you will be just paying off interest if you are not careful and never get ahead. You could transfer the debt to a low interest rate personal loan if you’re having trouble meeting you financial obligations. It’s best to repay your credit card balance in full every month if at all possible.

Choose credit cards that suit you’re repayment habits

Knowing what your spending and repayment habit is, you can compare credit card features and calculate how much it will cost you. If you don’t repay your credit card debt in full every month p then low interest rate credit cards are probably right for you. If you do repay the full amount off your credit card every month, you can benefit from rewards, frequent flyer or premium service credit card features which have higher interest rates.

Avoid late payments penalties

If you don’t meet the minimum credit card repayments you could be charged a dishonesty fee for the lateness of payment. If you having trouble meeting credit card repayments, you should consider stop using your credit card until you can meet repayment or seek financial advice and find some bad debt solutions.

Non banks offer great credit card deals too

Smaller banks, building societies and credit unions offer some great credit card deals that are just as good as the major Australian banks. They increased competition in the Australian credit card market brings downward pressure on credit card fees, charges and interest rates. You could benefit more from a smaller institution on a new credit card.