Which is better for you? Credit or debit cards? The Equifax Finance Blog gives the pros and cons of each in their new article, “
Tips For Choosing Between Paying With Debit or Credit.” This key information can help you live a cash-free lifestyle, as well as help you remove the need for paper bills and statements by knowing which plastic to use for your credit score.
- Pro – When you use and pay down a credit card, you help build your credit history.
- Pro – Less risk of major financial and credit file damage from an identity thief.
- Pro – Higher likelihood of being able to contest fraudulent charges.
- Pro – Rewards can help buy things or pay down your balance.
- Con – It’s easy to over spend using credit cards; since payment for your purchases is delayed.
- Con – Using a credit card to earn rewards could cause you to spend more than you really can afford.
- Pro – The money is taken directly out of your checking account, so no interest and no late payment fees.
- Pro – Having debit cards has no negative impact on your credit.
- Con – Having debit cards has no positive impact on your credit.
- Con – If stolen, the thief can wipe out your bank account.
- Con – Many banks offer little protection against fraudulent use; some do, they just may require a fee
- Con – If you or a thief overdraws, you will be hit with substantial fees.
As you can see, there are advantages and disadvantages to both credit and debit cards, and which you use, and when, and how often, is up to you and what works best for your financial lifestyle.
If you’re looking for more tips on building credit, saving money, financial management,
protection from identity theft and more, visit the Equifax Finance Blog!
Advances in technology increase every year, making some consumers a little more nervous about the digital identity theft types. However, a recent article on the Equifax Finance Blog remarks that internet identity theft still trails the older, tried and true methods of thieves.
In the recent article, “Top Causes of Identity Theft? Not the Internet—Yet,” Joe Reynolds, an identity fraud product manager at Travelers, presents identity theft information from a study of claims made to Travelers in 2011. In the article he remarks that stolen and misplaced wallets and pocketbooks are still among the most frequent sources of identity theft.
Other causes of stolen identity include stolen identification cards (Social Security card, driver’s license, student ID, employee badge, etc.), burglaries, cyber breaches and forgeries. As you can see the internet does come to play at the number four spot on the list but it’s still surprisingly far away from being the top cause of ID theft.
The Equifax Finance Blog is a great resource for any
identity theft information you may need. It is also a wonderful place to gain knowledge about understanding credit scores, ID protection and much more. Visit the Equifax Finance Blog for more information.
With the holiday season just behind us, some people will open their credit cards statements in 2013 and be in shock because they suddenly need an identity theft solution for items they did not buy!
If you find that you are suddenly the victim of identity theft, the finance experts at the Equifax Finance Blog have a great article for you called, “What to Do if You’re the Victim of Identity Theft.”
In this article, the experts review six steps for people to take action on after they have had their identity compromised. Although prevention is always recommended for ID theft protection first, you may find yourself needing an emergency plan.
The experts suggest taking these steps to begin fixing the damage done by identity theft:
- Fraud Alerts – File a fraud alert with Equifax, Experian and TransUnion, the three main consumer credit reporting agencies.
- Close Accounts – Be sure to contact each individual company and close any fraudulent accounts if you find any. You will need to give them proof of your idenitity and sign fraud dispute papers in order for the accounts to be closed.
- Alert/Monitoring – Check out the various credit monitoring services offered today. Equifax offers this service and will alert you of certain changes in your credit history, if you want to keep an eye on your credit report.
Be sure to see the full article to learn about the next three steps which continue the critical first aid process. For more great
identity theft information, please read the Equifax Finance Blog today!