Money Blue Book

As a stereotypical male, I seem innately handicapped when it comes to performing certain tasks - “confusing activities” that include shopping and picking out the right gifts for the right occasion. I’m sure there are some men out there who love to cruise the malls and spend hours window shopping to their hearts’ content like most of the women I know, but I’m most definitely not one of them. I can engage in strenuous physical activities and participate in aggressive sports, but yet somehow, whenever I step foot in a retail department store, I quickly become fatigued. Somehow, I instantly become drained of all energy and stamina the moment I am faced with the grueling ordeal of mall shopping. Worst yet, I’m a terrible buyer when it comes to gifting - which is why gift cards and gift certificates are such a God send for people like me.

Despite all the negative impressions and opinions that some online commentators and emotionally sentimental pundits have regarding the negatives of giving gift cards as presents, I love having at my disposal the option of buying gift certificates and store vouchers as presents for people. While it’s true that gift cards are not the most particularly thoughtful present to buy for someone you really love or care about, they are incredibly convenient and financially versatile gifts for many people. For frugal savers like myself, gift cards present the perfect compulsory incentive and forced opportunity to buy and treat oneself when we’d otherwise choose to save the money instead. If you gave a naturally frugal person a cash gift, he or she would most likely squirrel away the monetary gift in a high savings account, completely defeating the purpose of the gift reward. But by presenting the person a gift card instead, you liberate the recipient from having to make the frugal choice, treating the friend to a well deserved material recess instead - something he or she would otherwise be reluctant to decide for him or herself. It’s the perfect gift for overly-frugal people.

Sentimentality and thoughtfulness aside for a moment, gift cards also help overcome the occasional embarrassment of secretly undesired gifts. In the past, I’ve had my share of bad gifts. While I always treasure the careful thought and loving goodwill put into selecting the gifts that I receive, sometimes, I am left secretly thinking to myself that I probably could have picked out a better digital camera model or a more appropriate colored tie for myself. More often than not, the gift usually winds up permanently sitting on top of a shelf or inside a drawer somewhere, never to see the light of day again, or until it’s needed again because I need to show the original giver that I still had the gift and hadn’t thrown it away or sold it on eBay. That is why I have always been a huge fan of receiving gift cards for certain stores and retailers that fit my natural purchasing niche - popular stores with staying power like Best Buy, Macy’s, and Target. Generally, gift cards are incredibly easy to give and incredibly easy to use, and there are many circumstances when they make ideal gifts. Of course, as with all potentially good things, there are critics and detractors.

The Problem With Gift Cards And Why Many People Seem To Dislike Them

1. Upfront Charges and Maintenance Fees - Despite their immense popularity, many consumers avoid buying gift cards and handing them out as presents because they are leery of having to pay upfront gift card activation charges or having to contend with the hassle of keeping track of inactivity fees that have the potential to take significant bites out of the gift card balance. The worst case scenario involves nightmarish gift card issuers that slap hefty charges just to activate a gift card so it can be used, along with stiff fees for periods of inactivity, as well as pricey balance debits for account maintenance reasons. The worst offenders tend to be credit card or bank issued gift cards from issuers like Bank of America or American Express. Compared to regular retail store issued gift cards, these bank issued cards tend to be more notorious for imposing extraneous charges for transactions like non-usage and account balance checking.
2. Expiration Dates - One surprising aspect about gift cards that have historically turned many off from their use are the expiration dates that they used to levy. In states that allow gift card expiration dates, the gift card holder must use up the gift reward card within a certain amount of time or the card becomes useless. However today, many states have enacted various gift card consumer protection laws prohibiting expiration dates and unexpected fees on gift cards sold, at least for a certain extended period of time.
3. Interest Free Loan To Retail Stores - If you think about it, the purchase and use of gift cards is actually pretty silly. After all, why spend cash to buy something with the same transactional value as cash, but with substantially less flexibility and greater restrictions? Furthermore, when you buy a prepaid gift card, what you are essentially doing is offering the gift card retailer what amounts to a free 0% interest gift card loan. Until the prepaid gift card is redeemed by the recipient and actually exchanged for merchandise, the retailer is basically earning interest off of the money previously paid by you. The retailer is under no obligation to pay the amount back in the form of retail merchandise until the gift card’s affirmatively offered up for redemption.
4. Danger Of Gift Card Bankruptcy - Most recently, the issue of major retailers going bankrupt or going out of business has become a major headache and concern for holders of gift cards (the same way airline bankruptcies have wrecked havoc with airline ticket holders). As a gift card holder, you are essentially an unsecured creditor and like shareholders, are near the bottom in terms of money recovery during bankruptcy proceedings. When you buy a gift card from a retailer or company that goes out of business or ultimately files for Chapter 7 or Chapter 11 bankruptcy, the gift card recipient usually ends up with a card that’s worth less than the face value. While during a bankruptcy restructuring, a company may attempt to stay in business and continue to honor gift cards, some may not. In such a dire scenario, all gift cards would be rendered completely worthless. Obviously, the best way to minimize the chances of ever being caught in such bind is to always spend your gift cards quickly and not try to save them for a rainy day.

How To Buy Discount Gift Cards Online - And Tips For Using Gift Cards Smartly and Efficiently

1. Choose Retail Store Gift Cards Over Bank Issued Gift Cards - It’s important to know and understand the differences between gift card policies from banks and credit card issuers, and those issued by traditional store retailers. Gift cards and gift certificate rewards issued by banks and credit card issuers like Visa, Mastercard, and American Express tend to offer substantially more flexibility than retail store gift cards since the bank-issued gift cards can be used anywhere that credit cards are generally accepted. However, with the greater versatility comes higher fees, more upfront charges, and more annoying expiration date worries compared to the gift cards issued by traditional retailers. Unlike bank issued gift cards, the great majority of retail store issued gift cards do not impose expiration dates, and significantly fewer of them contain activation fees, or impose charges like inactivity fines or periodic transaction maintenance costs. Clearly, retail store gift cards offer much better financial value than bank issued gift cards despite their more restrictive terms.
2. Read the Gift Card Terms and Conditions Carefully Before You Buy - As with all things in life, there are contractual fine print terms and conditions that must be carefully read and headed. Always understand the rules of your gift card purchase before you buy. While oftentimes the terms and conditions are rather self explanatory, gift card buyers need to pay special attention to the existence of any potential activation charges, hefty monthly inactivity fees, or annoying expiration dates. If you are not clear on something, ask the gift card issuer before you buy.
3. Don’t Hoard, Spend Your Gift Cards Quickly - Once a prepaid gift card has been purchased, it should be treated like cash and redeemed as soon as possible. Try not to leave the gift card hidden and forgotten inside a wallet or purse as is commonly the end result of many misplaced gift cards. The longer you delay, the more you expose yourself to possible gift card balance forfeiture possibilities in the event of unexpected retail bankruptcies or program cancellations. In a tough economic recession, you never know which company may struggle and suddenly stop honoring its outstanding gift cards or gift certificates.
4. Be Extra Careful When Purchasing Discount Gift Cards Online - Because gift cards are so popular, there is a huge market for them on online auction sites like eBay where heavily discounted gift cards for places like Costco, iTunes, Home Depot, and Walmart, are often up for sale and exchange. If you are seeking the best discount gift card offers, buying them online is the best way to go as online auction sites tend to offer steeper discounts and rebates than traditional brick and mortar retailers. When seeking the best eBay deals and bidding on online gift card auctions, the higher the gift card denomination, the greater the potential discounted savings to be had (frequently 5-20% off). However, it’s important to bear in mind that while online gift card shopping may reap higher savings, there is a greater potential risk of loss. Online scammers and fraudsters abound and counterfeit gift card sellers exist, even on reputable online sites such as eBay or Craigslist. Generally, for the risk adverse, the most reliable way to buy a gift card is to purchase them from reputable retailers or from the original retail store.
5. Buy Gift Cards With Reward Credit Cards For Extra Savings - Certain reward credit cards offer up to 5% cash back rewards for purchases made at special category retailers like supermarkets, grocery stores, gas stations, drug stores, or restaurants. Particularly at certain high reward retailers like grocery stores, many sell gift cards good towards other popular retail and department stores with few activation fees or maintenance charges. By buying popular retail gift cards to places like Best Buy, Bed Bath and Beyond, or Macy’s from merchants like grocery stores or restaurants using qualified reward credit cards, you can engage in a form of credit card arbitrage by buying a discount gift card for a up to 5% off the gift card’s face value, and easily pocket the savings.
6. Keep Your Gift Card Receipt, Or Give It To The Recipient - Always keep your gift card purchase receipt or give it to the intended gift card recipient to preserve all options in the event of gift card expiration, misplacement, or card theft. While some retailers will not replace lost or stolen gift cards for any reason, most are willing to accommodate provided you can offer up the original purchase receipt. If for whatever reason your gift card expires before you’ve had the chance to use it up in full or exhaust its value, you may also be able to contact the issuer with your receipt and potentially get a limited time extension (after paying a possible fee). If the option is available, you should register your prepaid gift card if recommended to do so as it will help protect your recovery rights in case your card gets stolen or lost.
7. Personalize Your Gift Card Present With Thoughtful Accessories - Those who want to personalize their gift card presents have options these days. Many major retailers are offering up creative and customizable packaging options for gift cards. If you want to give your gift card present a more thoughtful touch, you may want to consider packaging the card with another small gift the recipient may like - for example: including simple jewelry accessories like earrings or necklaces with clothing apparel store gift cards.
8. Consider Giving Cash Or Using Chinese Red Envelopes Instead - Because gift cards are essentially the exchange of cash for something that’s supposed to function as cash, one possible alternative to giving gift cards as presents is to give out plain old cash instead. One creative way to exchange cash gifts is to present them in elegantly decorated Chinese Red Envelopes, known as “hong bao” in Mandarin Chinese. These red envelopes, stuffed with money bills, are commonly given by the Chinese as presents for special occasions like New Years and birthdays. While I don’t think our society is quite there yet in terms of new approaches to cash gifting, it’s still an interesting multi-cultural trailblazer route to consider.

Updated List Of The Best Secured and Unsecured Bad Credit Cards For Credit Improvement

Credit card usage is a fact of life whether you agree with its pervasiveness and all around commercial necessity or not. What started out as a way for consumers to make payments quickly and efficiently without the need to carry around cash bills and coins has morphed into a mish mash variety of credit card rewards, airline credit card miles, and balance transfer offers. Today, credit cards are used and needed for everything from airline ticket and hotel room reservations to car rental bookings. Credit card numbers are also necessary for frequent online shoppers as traditional bank accounts and debit cards don’t offer the same high degree of fraud protection that credit card issuers do. Owning at least one credit card and paying back the balance on a regular basis is also one of the easiest and most established ways to build up a credit score history, and secure your future ability to get approved for home mortgages and car loans.

Even those who are generally opposed to the use of credit cards and revolving debt on principle may find it difficult at times to survive without one. During tough economic times, independent minded people such as myself have used credit cards as emergency fund money to weather momentary periods of unemployment instead of relying on family handouts or resorting to desperate measures like high interest payday loans.

Of course, tapping into the myriad of credit card programs available in the marketplace requires that you be credit worthy and reliable as a borrower, as reflected by your existing FICO credit score, the 3 digit numerical expression most commonly used by credit card issuers and loan officers to evaluate your ability to pay back debt based on past payment history. Those with high FICO credit scores naturally have the inside fast track to the best credit card offers featuring the lowest interest rates with most lucrative cash back reward tantalizers, but even those with poor credit scores or a damaged credit history still have viable options at their disposal. While credit card issuers are significantly more leery about lending credit to those with troubled pasts, it’s not impossible for those with no credit history or those with bad credit to obtain a credit card, although it will probably cost you. Those with poor credit must recognize that the bad credit or subprime credit cards will almost certainly demand higher interest rates, annual fees, and account maintenance charges than regular consumer or business credit cards. However, the stiffer terms are necessary to compensate credit card issuers for the extra credit risk they must take on to lend money to applicants with less than perfect credit.

Secured and Prepaid Credit Cards Provide Credit Options To Those Denied For Regular No Fee, Low Interest, Unsecured Credit Cards

Those with out of control shopping obsessions, with damaged credit histories and no self control when it comes to credit card use, should stay away from applying for credit cards altogether, bad credit cards or otherwise. However, those with limited or no credit history, or those with a less than stellar past when it comes to debt, who wish to improve their credit scores may want to consider credit card programs set up to help cardholders rebuild, repair, and improve their credit for the better. Because people who have never used credit or those who need to repair a poor credit history may not qualify for regular card terms, applying for either a high interest unsecured credit card, a deposit-secured credit card, or even a prepaid credit card may be the only way to establish or re-establish credit. These so-called bad credit credit cards in all their variety provide cardholders the ability to maintain their access to the day to day consumerism benefits of credit card usage and take steps towards salvaging their financial lives and credit histories. By making regular monthly payments towards their secured or prepaid credit cards, their FICO credit scores are likely to see improvements, allowing them the opportunity in a few months time to possibly qualify for a regular consumer card with substantially more favorable terms.

Of course at the same time, it’s important to bear in mind that if you fail to meet your bad credit credit card’s monthly payment obligations, you will likely be hit with stiffer fees and interest payment demands resulting in further deterioration of your credit rating. But those with poor or damaged credit who are genuinely planning on walking the straight and narrow path to improving their credit status will benefit from the poor credit credit card programs listed below. Even in this current tough economic climate amidst the credit crisis, there are still ways to approach debt usage responsibly.

The Best Unsecured Credit Cards For People With Average Or Slightly Bad Credit In Need Of Improvement (Low Fees, But Require Average Credit):

If your credit is merely average or could use some improvement, then applying for an unsecured credit card designed for those with average credit may be your best option. These cards still provide a reasonable array of reward offers without the hassle of overly high annual fees or extraneous charges. The only downside is that compared to their excellent or good credit card comparables, the credit cards for those with average credit tend to have lower and more modest credit limits ($1,000-$3,000).

1. Capital One Classic Platinum Visa or Classic Platinum Mastercard - Get an introductory 0% APR interest rate for purchases until May 2009, and a relatively low rate thereafter. Both the Visa and Mastercard versions only require average credit for approval. There is an annual fee of $19.
2. Capital One Platinum Visa or Platinum Master Card - Enjoy a promotional 0% interest rate offer for all card purchases until May 2009, and a very low rate thereafter. Only average credit is needed for approval. There is an annual fee of $39.
3. Capital One Platinum Max (SM) Credit Card - Average credit applicants will receive a competitive fixed interest rate for 3 years. The annual fee is $19.
4. Capital One Standard Platinum Credit Card - Get an introductory 0% rate on all purchases until May 2009. The best part - there is no annual fee for this particular Capital One credit card offer.
5. Capital One No Hassle Cash Rewards - One of the few reward credit cards that only require average credit to apply. Earn 1% cashback on all purchases and an extra 25% annual bonus on the cash you earn during the year. Get a 0% purchase rate until May 2009. Annual fee is $29.
6. Capital One No Hassle Point Rewards - Even with average credit, you can still qualify for this reward card, and earn 5 reward points per dollar spent at gas stations, grocery stores, and drug stores. The annual fee is $29.

The Best Unsecured Credit Cards For People With Poor Or Bad Credit (No Deposit Required, But Need To Pay Attention To Fees):

Those with a troubled credit history or those with a bad track record of timely credit card payments may have to resort to higher annual fee unsecured card options. Credit card issuers that cater to the bad credit or subprime market are willing to extend you credit, but will undoubtedly demand more restrictive terms and conditions in exchange for the higher risk. While the unsecured cards listed below do not demand a potentially hefty upfront deposit, many do require higher maintenance charges. Of course, despite the higher fees, the very purpose of applying for bad credit credit cards is to help you improve your credit usage history so that one day you can upgrade to a more traditional card program in 12 months or so.

1. Orchard Bank MasterCard - This card is issued by HSBC and the application process features a custom Orchard Bank subprime card finder for those with bad credit in need of assistance in rebuilding their credit. The credit cards available include those with and without fees, and vary in terms of account processing charges. Please carefully read the fine print regarding the card programs available before applying.
2. Continental Finance Gold MasterCard - With this First Bank of Delaware credit card offer, those with poor credit histories can still get a second chance at a low interest unsecured credit card. Please read the terms and conditions carefully regarding account fees. While there are upfront charges, timely payments on your part will result in automatic credit limit increases over time.
3. Tribute Gold Mastercard - This card was designed for those with low credit scores and bad credit in mind as it periodically reports to the major credit bureaus to help you rebuild your history. Please read the terms carefully regarding the various bad credit credit cards available for applicants.
4. Continental Finance Mastercard - This unsecured bad credit card provides semi annual credit limit increases with monthly reporting to the credit agencies. Despite the upfront charges and fees, the monthly credit bureau reporting feature should be able to help cardholders rebuild their credit in time. As always, please read the terms carefully before applying.
5. Horizon Gold Credit Card - This unsecured credit card offer guarantees a $500 credit limit for those already with an active debit or credit card established in their name. Designed for those with poor credit, there is no credit check for card approval. There is automatic enrollment into a free trial of the ConsumerDirect identity protection program, but you can easily cancel within 5 days for free with no obligation. Please read the fine print carefully before making your decision to proceed.

The Best Secured Credit Cards For People With Very Bad Or Damaged Credit (Security Deposit Needed):

While there is a growing trend away from secured cards and towards unsecured cards with lower credit limits and higher interest rates and fees, secured credit cards still remain a viable option for those with nowhere else to turn for credit. Unlike an unsecured card, a secured credit card requires an upfront cash collateral deposit that becomes the credit limit for your account (for example if you deposit $500, your credit limit is $500). While the deposit is held by the card issuer for security, the deposit generally earns interest and is refundable once the cardholder no longer wants to access the secured credit line. Of course, because all secured credit cards charge an annual fee, it’s important to shop around and compare.

1. Bank of America Secured Visa Card - Provided by Bank of America, an established name in the credit card business, this secured credit card offer from BoA allows you to set your own credit limit depending on your deposit amount. The annual fee is $29 but with timely payments, this card can be a stepping stone for you to rebuild or reestablish your credit.
2. New Millennium Bank Secured Platinum Visa/Mastercard - Your secured credit limit will be equal to the balance in your interest bearing collateral savings account with New Millennium Bank. Minimum deposit is $300 and the maximum deposit is $5,000 per card. Your credit history will not be checked and you are guaranteed to be approved for this secured credit card offer.
3. New Millennium Bank Secured Black Diamond Visa/Mastercard - All of the New Millenium Bank secured credit card offers on this page offer the same terms regarding secured credit limits, fees, and charges. As always, please thoroughly read the credit card terms and conditions in the tiny print before applying.
4. New Millennium Bank Secured Gold Visa/Mastercard - Like the other NMB secured credit cards, the Gold Visa and Mastercards are meant for those with very bad or damaged credit who are unable to get approved for a credit card elsewhere. While there are upfront fees and regular account charges, steady on time payments will help you repair your credit history and help you reach your goal of ultimately upgrading to a regular card with substantially lower interest rates and better terms.
5. Applied Bank Secured Visa Credit Card - Get a low fixed rate with this secured credit card for poor credit history applicants. As with all secured credit cards, your credit limit is determined by your refundable security deposit. Remember to read the terms carefully regarding fees and processing charges.
6. Applied Bank Secured Visa Gold Card - The Gold card is basically the same as the regular Applied Bank secured credit card, with the same terms and conditions regarding fees and charges.

I’m a credit card arbitrage seeker, which means I enjoy looking for creative ways to make an extra buck by legally exploiting the existence of attractive credit card rewards and 0% APR credit card offers in the marketplace. One of the ways I used to make some extra money on the side was by applying for introductory 0% balance transfer credit card offers and depositing the interest free funds into high yield savings accounts to earn some passive interest income. While the most lucrative 12 month, no balance transfer fee promotions have dwindled as a result of the ongoing economic slump and worsening credit crisis, there are still creative ways available for savvy credit card arbitragers to profit from.

As with all credit card arbitrage type activity, the decision to partake or not requires that you weigh the potential payoff against the risks and effort involved. While some people may shrug off such activity as a waste of time and not worth the potential rewards, others see it as a relatively effortless way to earn some free credit card rebates that they’d otherwise not have. I tend to adopt the latter viewpoint, regarding credit card arbitrage and interest rate pursuits as integral facets of my financially frugal lifestyle. Personally, I don’t mind taking advantage of effortless free money opportunities as they present themselves, so long as the application or management process is not too onerous or prohibitive.

Of course, there will always be naysayers who cite such activity as a complete boring waste of time. But frankly, if $100 or $200 worth of rewards is small pocket change to you, I supposed it begs the question as to why you are even reading this personal finance blog to begin with when you ought to be sitting on some tropical beach resort with a martini in your hand and tended to by bikini clad beauties (or the male equivalents if that’s your thing).

Open Your New Bank Deposit Account With A Reward Credit Card To Earn Free Credit Card Rewards, Or Use A 0% Purchase Card To Get An Interest Free Credit Card Loan

While certainly not as lucrative or easy to fully manipulate on a massive scale as balance transfer credit card arbitrage, one relatively new way to take advantage of arbitrage rewards is to use a reward credit card to open and fund a new checking or savings account to earn free cash back, reward points, or airline miles. When you open a new checking or savings account pursuant to some promotional bank offer and have to transfer in money for the first time, certain banks permit you to initially fund the account using a credit card. Oftentimes, the card transaction goes down as a credit card purchase, allowing the cardholder to earn free instant rewards, rebates, or whatever purchase incentives the credit card offered. For those interested in earning credit card arbitrage income through the use of interest free credit card loans, funding the new bank account with 0% credit cards that offer introductory zero percent rates on all new purchases is another interesting option to consider in lieu of credit card rewards.

Before funding a new bank account with a credit card, here are a few very important factors to consider:

1. The funding limits imposed by the bank where the new checking or savings account is being opened at - some banks limit the amount of the initial deposit that you can charge onto a credit card. The credit card funding limit can range anywhere from $1,000 to an unlimited amount, capped only by your credit card’s maximum spending limit.
2. Whether the bank will treat your reward credit card funding transaction as a purchase (preferable) or as a cash advance (deal breaker). This factor is critical because you will only be able to earn credit card rewards if the initial fund transfer’s treated as a purchase. If the transaction’s recorded as a cash advance, not only will you be forced to pay the high APR rate for cash advances immediately, you will earn no credit card spending rewards in the process (which defeats the whole purpose of credit card arbitrage, which is to get more back than you put in).
3. The third factor to pay attention to is whether there are any credit card issuer restrictions (Visa, Mastercard, Discover, or American Express). While some banks impose no card issuer restrictions when it comes to new checking or savings account funding, others limit the permissible cards to only just Visa or Mastercard.

Finding a bank that permits newly opened checking and savings accounts to be funded with a credit card is relatively easy. Making certain that the credit card transaction will be registered as a purchase, rather than a cash advance transaction will require a bit more digging and conversing with customer service support on your part. While the majority of funding requests via a credit card go down as purchases, a quick browse through various online forums reveals a bit of disagreement among arbitrage seekers on how the different credit card issuers are actually treating such transactions.

Ultimately, how a particular credit card transaction is treated is up to the credit card issuer and not the merchant. Thus, the bank you are opening the new checking or savings account with has little say over how the funding transaction will be treated, whether it be recorded as a purchase or a cash advance. Because of this slight ambiguity, it’s probably safer to fund newly opened bank accounts with the merchant’s own brand of credit cards. Thus for example, if you are opening up a new Citibank checking or savings account, to be on the safe side, you may be better off funding your new account with a Citi credit card as they are less likely to pull a fast one and record the transaction as a cash advance than another credit card merchant like JP Morgan Chase or Bank of America. Likewise, if you are opening a Bank of America account, you should stick with using a Bank of America credit card to fund it. This is just a precautionary measure. Of course, you can always call the bank and credit card issuer directly to confirm how the initial bank account funding will be treated.

List Of Banks That Allow New Accounts To Be Funded Using Reward Credit Cards:

1) Citibank (view Citibank offers) - Citibank does not permit new bank accounts to be funded with Discover or American Express - you’ll have to use either a Visa or Master Card. On the plus side (and this is a very tremendous plus), Citibank does not appear to impose a maximum deposit limit on the amount you can charge onto your Mastercard or Visa credit card to open your new Citibank account. Theoretically, if your reward credit card offered 1% cash back with a high spending limit of $100,000, you could pocket an instant $1,000 worth of rebates immediately - theoretically of course. Of course, you’d want to pay off the whopping balance immediately by using the new $100,000 bank balance lest you face the prospect of a $100,000 credit card bill.

2) Bank of America (view Bank of America offers) - Within the last year, I opened a new Bank of America online checking account and successfully transferred in funds using a credit card. The card I used was actually a Chase credit card, but the transaction went through without a hiccup and was duly recorded as a reward earning purchase. While there is no limitation on the type of card that may be used to fund a new BoA account, the big downside is that Bank of America limits credit card deposit requests to a measly $1,000.

3) JP Morgan Chase - Chase bank also permits applicants to fund their new Chase checking or savings accounts with a credit card. Like Bank of America, they impose a deposit transfer limit, currently capped at $2,000. It’s not a whole lot, but if you’re going to open a Chase bank account anyway, might as well use a credit card to fund it and put some free credit card rewards in your pocket in the process.

Updated List Of The Best Christmas Credit Card Offers With Shopping Rewards and 0% APR Deals Below

Well it’s almost that time of the year again. No, not tax season - I’m talking about Christmas! For many Christians, Christmas is first and foremost a deeply religious holiday tradition that celebrates the birth of Jesus Christ. For the vast majority of folks though, the Christmas holiday season is all about shopping, buying gifts, and exchanging presents. The incredible compulsion to shop till you drop is so potent and all pervasive because the holiday starts so early and ends so late. Currently, the winter shopping season starts on Black Friday, the day after Thanksgiving when retail stores unleash their tidal wave of heavily discounted sales and free giveaways to jump start the holiday shopping race. Black Friday is quickly followed by Cyber Monday, when online shoppers take to the Internet airwaves after their Black Friday shopping binges to seek out the best online shopping deals and offers. Helped along by the shopping demand of other winter holidays like Hanukkah, the cycle of Christmas bargains and shopping deals doesn’t let up until well into the new year. Even then, hardcore shoppers still continue to raid the retail outlets and department stores for leftover holiday closeout sales and bargains.

Overwhelmed by the sheer number of retail store sales, promotional discounts, and limited time offers during the Christmas shopping season, it’s no wonder the amount of money spent on Christmas presents for many far exceeds the seasonal spending rates of other holidays during the rest of the year. Whether it’s the strong social pressure to buy more and more expensive gifts for friends and family, or whether it’s the competitive aspect of obtaining that perfect gift for your child (talking Elmo, Nintendo Wii, or Playstation video game system for example), we all seem to succumb to the inevitable Christmas shopping craze in one way or another.

Take me for example. I’m ordinarily a frugal shopper throughout the year, preferring to stay conservative and disciplined in my purchase habits. However, even I tend to let go a little bit during the Christmas months. That’s why as much as I enjoy the Christmas holiday festivities along with the cheerful sights and sounds, I often secretly dread this time of the year. Despite my better judgment, I know my frugal wits are likely to be laid to waste when all is said and done due to societal gift exchanging pressures. However, it’s important not to get too carried away with our shopping exuberance, lest we risk falling into a serious financial trap when the bills come in. Like an alcoholic hang over, the actual party and festivities may be quite enjoyable, but the post game reality may be too difficult to handle if you’re not smart with your wallet and spending decisions. That’s why it’s more important than ever to hold onto your financial senses and not abandon your frugal, deal hunting ways. During this time of year, online cash back deals, shopping coupon codes, and all sorts of discounts and promos abound - and it’s important to seek them out.

Christmas Shoppers Maximize Their Money With Cash Back Rewards and 0% Credit Card Offers

Like it or not, it’s an undeniable trend that more and more consumers are utilizing the convenience and shopping incentive perks of credit cards to make their Christmas purchases. Frankly, it’s not hard to see why. Credit cards offer a higher degree of ease and convenience compared to cash.  Because of online credit card tracking, it’s much easier to budget, analyze, and control your spending during the holiday season when all of your purchases are charged to your credit card. Due to the extensive fraud and unauthorized purchase protections offered by major credit card issuers, credit card purchases also tend to enjoy greater security oversight and more liberal return policies than ordinary cash purchases.

However, probably the number one reason why holiday shoppers utilize credit cards to do their Christmas shopping is to earn cash back credit card rewards and to take advantage of attractive 0% APR deals that allow them to make interest free credit card purchases for an introductory period of time. While those who struggle with credit card debt ought to stick with cash spending, those who have a good track record of responsible credit card use have the potential to save a sizable amount of money through credit card spending rewards, and enjoy a degree of financial flexibility with interest free shopping. Remember, unlike the use of balance transfers, you must actually charge purchases to your reward credit card to earn incentive rewards, and you must use it to make purchases to take advantage of any introductory 0% APR rates. Never use your credit card to request cash advances. Cash advances are almost never included in any introductory rate promotions so avoid using them.

List Of The Best Credit Card Reward Offers and 0% APR Deals For Christmas Holiday Shopping

Cash Back Reward Credit Card Offers - Whether you opt for cash back cards or credit card point rewards redeemable for gift cards, cash, and airline travel, both offer cardholders the competitive opportunity to spend and save money at the same time. Reward credit cards that offer point rewards for qualified purchases tend to offer a higher reward rate than straight cash back cards, however they often require a bit more micro managing of reward redemptions. For those of you who need to do your shopping now, you may want to take advantage of the $100-$200 gift card promotions offered by a select number of credit card issuers for new applicants - check out my compiled list of credit card sign up bonuses.

In terms of credit card reward earning potential, bear in mind that most credit cards have programs geared towards certain types of purchases (such as grocery, gas, or restaurants) with higher reward percentages for purchase made with those merchants. However, because most purchases via the Internet and or made in malls and department stores do not usually qualify for one of these special higher rebate categories, they generally must settle for the default reward rate - generally around 1%.

Here is my list of the best Christmas shopping reward credit cards (I’ve bolded the percentage rate you will most likely earn for purchases made at online stores and at most brick and mortar department stores and malls):

1. Blue Cash® From American Express - Get up to 5% cash back for everyday purchases like groceries and gas, and up to 1.5% for everything else when you exceed $6,500 worth of usage. Prior to that you’ll earn 1% cashback.
2. Starwood Preferred® Guest American Express Card - Get 1 point for every $1 spent, redeemable for versatile hotel and airline travel rewards. Potential to earn up to a potential 1.25% back with bonuses.
3. Discover More Card - Get 5% cash back bonuses in purchase categories like department stores, travel, home improvement, gas, groceries, and restaurants, 5% to 20% cash back at retailers through Discover’s online shopping site, and 1% unlimited rewards for everything else. Earn a $50 bonus when you make $500 in purchases within 3 months, and with Discover’s special Christmas promotion, you can get $20 back for every $200 that you spend at participating mall locations.
4. Chase Freedom(SM) - Get 3% bonus cash back on gas, groceries, and fast food purchases for the first 6 months. Earn 1% cash back on everything else with unlimited rewards, no spending cap, no restrictions, and no expiration date.
5. Citi Premier Pass Master Card - Get 10,000 bonus points after $300 in purchases made within 3 months of account opening, and earn 1 point for every dollar spent (1% back), redeemable for airline travel rewards.
6. Citi Cash Returns Card - Get a full 1% cash back on every purchase plus an average 5% cash back at 400 retailers within the Citi Bonus Cash Center, along with an extra 20% bonus for the first 12 months.
7. HSBC Weekend Card - Earn 2% cash back rewards on everything you buy on Saturday and Sunday. During the rest of the week, you get 1% cash back for everything, with unlimited reward earning potential.
8. HSBC Platinum Mastercard Cash Back Rewards - Earn up to a potential of 2% cash back with a limit of $400 worth of rewards, or 1% unlimited cashback on all purchases depending on qualification level.
9. Capital One® No Hassle Cash(SM) Rewards Card - Get 2% cash back on purchases at gas stations and major grocery and drug stores, and 1% cash back on all other purchases, with no earning limit or expiration.
10. Fidelity Investment Rewards Visa Signature Card - Enjoy a full 1.5% back on all purchases with no merchant restrictions. Points can be redeemed for cash and deposited into your Fidelity brokerage account.

Credit Cards That Offer 0% APR Rates For Interest Free Purchases (Ideal For Christmas Shopping)

1. Advanta Net 90 Platinum Business Card - Permanent 90 day interest free grace period on all purchases. This special Advanta credit card grace period offer is recurring and continuous year after year.
2. American Express Blue - 0% APR for purchases (up to 12 months)
3. American Express Blue Cash® - 0% APR for purchases (up to 12 months)
4. American Express Blue Sky® - 0% APR for purchases (up to 12 months)
5. American Express Clear Card - 0% APR for purchases (12 months)
6. Capital One Platinum Card - 0% for purchases and balance transfers (Up until October 2009)
7. Capital One No Hassle Cash Rewards Card - 0% for purchases (until October 2009)
8. Chase Flexible Rewards Platinum Visa - 0% for purchases and balance transfers (both 12 months)
9. Chase Perfect Card - 0% APR for purchases and balance transfers (both 6 months)
10. Chase Platinum Visa Card - 0% APR for purchases and balance transfers (both 12 months)
11. Citi Diamond Preferred Card - 0% APR for purchases and balance transfers (both up to 12 months)
12. Citi Platinum Select Card - 0% APR for purchases and balance transfers (both up to 12 months)
13. Citi Business Card - 0% APR for purchases (12 months)
14. Citi Business Card With ThankYou Network - 0% APR rate for all purchases (12 months).  Extra bonus offer of 10,000 ThankYou® Points after $250 in purchases, redeemable for a $100 gift card.
15. Discover More Card - 0% APR for purchases (6 months) and balance transfers (12 months)
16. Discover More Card - Clear - 0% APR for purchases (6 months) and balance transfers (12 months)
    
17. Discover Open Road Card - 0% APR for purchases (6 months) and balance transfers (12 months)
18. HSBC Weekend Card -  0% promo rate for purchases and balance transfers (both 12 months)
19. HSBC Platinum Mastercard Cash Back Rewards - 0% interest rate for purchases and balance transfers (both 12 months)