Credit Card Debts: Causes & Prevention

Credit card debts result from when a client of a credit card company purchased an item or services through the card they use. Debts accumulate increase with interest and penalties for late payment had made the total amount due become larger.

Causes

• Poor money management. A monthly spending plan is essential. Without one you have no idea where your money is going. You may be spending hundreds of dollars unnecessarily each month and end up having to charge purchases on which you should have spent that money.
• Saving too little or not at all. The simplest way to avoid unwanted debt is to prepare for unexpected expenditures by saving three to six months of living expenses. With a savings, a job layoff, illness or divorce will not cause immediate financial strain and increase debt.
  

Prevention

• Do not carry balances. If you have this habit of carrying forward your balance owed to the credit card company to the next month, it is better that you stop using your credit cards altogether. You can submit it back to the agency or cut it down to prevent any usage on urge as well.
• Find the best card for you. When you want to switch to a new credit card, you should take complete care that the rate of interest is lower than your previous one. Also, make sure that there are no special penalties or fine in case you want to hop on to a new card.
• Pay off more than the minimum amount. Set up a minimum amount for yourself when you repay the money owed to credit card agencies. People usually get stuck in debts and carry balances due to the urge of paying only the minimum amount mentioned by them. However, you should try paying off as much as you can so that the debts are removed quickly.

Reference:

1. http://www.bankrate.com/brm/news/debt/debt_manage_2004/top-10-causes.asp
2. http://creditcarddebthelp.me.uk/top-10-ways-to-get-out-of-credit-card-debt/

Electronic Currency

Electronic currency (also known as e-money, electronic cash, digital money, digital cash or digital currency) means the money you use over the internet. Electronic currency allows its holder to buy the goods and the services that the vastness of the internet offers. Whereas Electronic currency trading means buying and selling of this internet money.

One of the primary benefits that I personally really like about electronic currency trading is that it allows you to do business and earn with only a few dollars of investment. In fact, some electronic currency trading experts even suggest that beginners should start with only a few dollars so that they can first learn the ropes about electronic currency. Electronic currency trading does not demand much and it is really up to you if you want to increase your investment or not. With electronic currency trading you are given many opportunities to profit without spending too much on investment.

The second thing I like about electronic currency trading is that it has a low transaction cost. Unlike other businesses that eat up your profit with exorbitant fees, electronic currency trading allows you to do business with minimal fees giving you more profit and more money for you.

The third thing that I like about electronic currency trading is its versatility and convenience to the persons involved. Since you do business online, you are given much leeway on how to schedule your day. You can work with any electronic currency trading market that best suits your needs for any time of days.

Reference :http//www.romow.com/business-blog/benefits-of-e-currency-trading/

The application of pre-paid cash card for consumers.

The concept of prepaid cash card is similar with credit card or debit card. It gives users the ability to buy goods and services without paying by cash. Users can only spend the balance that has been preloaded onto the card. At last, users will not run into debt like over used the credit card.

The most common prepaid cash card in Malaysia is Touch ‘n Go. Touch ‘n Go card is an electronic purse that can be used at all highways in Malaysia, major public transports in Klang Valley, selected parking sites and theme park. (Click here to know more places that can use the Touch ‘n Go.) The technology used by the Touch ‘n Go card is called Mifare contactless technology. The electronic card reader will reduce the balance stored inside the card when the card approaches to the card reader. (Click here for more information about Mifare technology.) The balance of the Touch ‘n Go can be reload at toll plazas, train stations, Automated Teller Machines(ATM), Cash Deposit Machines, Petrol kiosks and at authorized third party outlets. (Click here to search for the places to purchase and reload Touch ’n Go.)

The benefits of using Touch ‘n Go are increasing the speed of paying, eliminating debt risk with no chance to spend too much as the balance is limited to reloaded amount and the card can be used and top up in most of the places in Malaysia.

-End of Post-

Mobile payment systems in Malaysia: Its potentials and consumers’ adoption strategies.

Mobile payment is the service that use the mobile device (such as mobile phone or smart phone) to collect money from consumer. Mobile payment can be used to purchase any number of digital or hard goods. such as music, videos, ringtones, games, wallpapers and other digital goods, hard goods including books, magazines, tickets and other.

In Malaysia, Mobile Money International Berhad has developed the MMWallet as a mobile payment system at year2006. It can solve the limitation created by cash, cheques and credit cards. The registered user can use the mobile phone to consume goods or service whenever they wish to do so through the MMWallet. It is also a must for user to either have a saving, current or credit card account with participating bank. However it is safer than other online paying as the user is not required to give out their credit card information.

In order to attract more user, the Mobile Money International Sdn Bhd which develop the MMWallet introducing Mobile Money 0% Interest Easy Payment Plan (EPP) to customers with lower merchant interest rate. No additional equipments needed no deposit, no rental and no maintenance fee as well. Therefore, customers can choose for greater value products / services and pay by installment. With this plan, the consumers are believed to use this payment system and also, it’s because the mobile phone users are a great number. That’s way the system is believe to be spread very fast.