WHICH CREDIT CARD SUITS YOU BEST?

In general, credit cards have the same general function: they are a convenient way to pay for goods and services. Among the many credit cards available on the market, how do you know which fits your needs?

In general, three key factors differentiate credit cards:

1. Interest rates;
2. Fees and additional costs;
3. Rewards and benefits.

• INTEREST RATE

If you usually carry a balance on your credit card, it might be advantageous for you to opt for a card with low interest rates, even if you have to pay annual fees. Many regular credit cards, including standard cards, gold and platinum, offer options at reduced rates.

To encourage consumers to buy their cards, some credit card issuers sometimes offer low promotional interest rate on newly issued credit cards or balance transfers.

• FEES AND ADDITIONAL COSTS

Some credit cards may include other types of fees and conditions that may increase your costs. For example, if you miss a payment, some credit card issuers may increase your interest rate. The amounts of these fees vary from one credit card to another, so you should carefully consider these additional costs when choosing a credit card.

By law, all federally regulated financial institution must provide information on costs in their application forms for credit card. The information must be clearly stated in an information box at the beginning of the form or in a related document that you receive at the same time. Make sure you understand all the costs that apply to a credit card before completing the application form.

You can avoid paying a large number of these fees by using your credit card carefully. For more information on the charges applicable to credit cards as well as penalty fees, read the publication Understanding credit card charges

• REWARDS AND BENEFITS

If you are used to pay your credit card balance every month, rewards and benefits can then be important factors to consider when choosing a credit card. Before making a decision, make sure to examine the real value of the rewards program and restrictions may apply.

• SPECIALIZED CREDIT CARDS

Most people are familiar with the regular credit cards as standard cards, gold and platinum. But there are also special credit cards that meet specific needs.

CREDIT CARDS: UNDERSTANDING YOUR RIGHTS AND RESPONSIBILITIES

• When you apply for a credit card

When you apply for a credit card, you are entitled to certain information. At the beginning of the application form or any related document that you receive at the same time, there must be an information box that clearly summarizes the essential information, such as interest rates and the types of costs that apply to the card.
When you apply for a credit card, you agree to accept all the conditions attached to it, including interest rates and fees. Read the entire application form before submitting it.

• When you get your credit card

When you receive your credit card, it must be accompanied by a contract, also called credit card agreement. You should read this document carefully to understand your responsibilities and conditions of the card. Keep the agreement for your records. If there is something you do not understand in this agreement, please contact the issuer of your credit card.
As is the case for application forms credit card, there must be an information box at the beginning of the credit card agreement or a related document that you receive at the same time, clearly indicating the essential information.
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• On your monthly credit card

After you have submitted your credit card issuer must send you a monthly statement. The statement may be, or mail if you agree to receive required documents in electronic format rather than on paper written format. Regardless of the format, the following information must be included:

1. Your outstanding balance (which you must pay in full by the due date to qualify for the interest free period or grace period for new purchases);
2. An assessment of the time it would take to pay off your balance in full each month if you paid only the minimum required;
3. A description of each transaction during the period covered by the statement, and the amount charged, including interest charges;
4. The date each transaction is posted to your account;
5. The amount credited or charged during the month for each of the following:
6. purchases;
7. cash advances received;
8. payments;
9. interest charged;
10. Charges other than interest charges.

UNAUTHORIZED TRANSACTIONS ON A CREDIT CARD

If you find unauthorized transactions have been charged to your credit card account, follow these steps to find out if you qualify for a refund:

1. Immediately contact the issuer of your credit card and report his unauthorized transactions. Also notify the police department in your community.


2. Check your credit card agreement. Under the law, your agreement must specify your maximum liability (the amount you would be responsible) for any loss or theft of your credit card or unauthorized your credit card number to use.

Visa, MasterCard and American Express companies have a zero liability policy. This means that if you lose your credit card or it is stolen, or if someone uses your credit card number for transactions you did not authorize, you generally get a refund. The Financial Consumer Agency of Canada ( FCAC ) monitors the implementation of these commitments. Therefore, if you have trouble getting a refund, contact the RAC and we will review your complaint.

MAKING A COMPLAINT - Best Credit Card Comparisons

All banks, retail associations and trust companies, loan and insurance companies under federal jurisdiction must, under law, to establish a procedure for handling complaints in the interests of consumers.

If you have a problem or wish to lodge a complaint against a financial institution federally regulated, there is a way, forward here are the steps.

• STEP 1: LOCAL LEVEL

As a first step, you should try to solve the problem by dealing with the manager or the representative of the customer service of your financial institution. At this stage, you deal with the staff of the branch or the local representative.

• STEP 2: UPPER LEVEL OR OMBUDSMAN INSTITUTION

If your complaint can not be resolved by the branch or local level, it could be referred to a higher level or to the ombudsman institution.

• STEP 3: CONSIDERATION BY A THIRD PARTY

In most cases, if the complaint can not be resolved to your satisfaction, you can ask to be examined by a third party. It is a non-binding service available to any individual or small business wishing to pay a claim.

PROVINCIAL REGULATORS

In some cases, depending on the financial institution you are dealing with, you can also contact the regulator in your province.

RAC

The role of the RAC is particular to ensure that financial institutions establish a procedure for handling complaints. If you're struggling to learn about the procedure for processing complaints of your institution or if you have experienced problems using this procedure, please contact me. However, remember that the FCAC does not provide any remedy or compensation, and that I can not intervene in the resolution of conflicts that arise.