In the biggest story so far this summer, Citibank and Ford have decided to pull the plug on their ‘Ford Citibank Card’. As of January 1st, 1998, Ford Citibank cardmembers will no longer earn rebates on purchases made using the card. However, previously earned rebates will be valid for five years from the end of the year in which the rebates were earned as long as the consumer continues to be a Citibank cardmember in good standing. Rebates can still be earned through the end of the year to the maximum of $700 over 12 consecutive months for a 5 year maximum of $3,500. Cardmembers may continue to use their card beyond December 31, 1997. Credit line and APR will not be affected.
FIRST UNION’S GOING TO SCHOOL?
If you enroll at Guilford College, in Greensboro N.C. this fall, you might be surprised to find out your new student ID card can also be used to buy a soda, pay for classes, and even get money from an ATM. The new student ID’s known as the Guilford College Cards are also First Union smart cards and for those students opting to open a First Union account, the cards can be used for ATM transactions. Guilford College is the first college in North Carolina, and one of ten schools in the country, to implement a campus-wide, fully integrated smart card program with a banking component.
KISS YOUR CLASSIC VISA BYE
Can’t get enough of the rock band KISS at home? Well now you can take them with you. Yes Gene, Paul, Ace and Peter will go with you anytime and anywhere you carry your new KISS Visa credit card. First National Bank of Commerce issues the new KISS Visa card announced this month. In addition to the new friends, you also receive special messages from Gene and the rest of the band along with the inside scoop on band happenings, sweepstakes and of course merchandise available only to KISS Visa holders.
If you would like an application call 1-888-280-KISS. This card is only available in the U.S. and carries a variable A.P.R. currently at 16.9% and a $20 annual fee.
PREPAID PHONE CARDS...EVERYWHERE
As if there are not already enough prepaid phone cards, American Express has recently teamed up with the National Park Foundation to offer a new series of prepaid phone cards entitled “National Parks - America’s Legacy”. The card, unlike many other phone cards, is rechargeable and replaceable if lost or stolen. For every card purchased American Express will donate $1 to the National Park Foundation.
Some unique features to the series include: a 24 hour toll-free hotline for lost or stolen cards, the ability to recharge the card through any major credit card, and call activity reports available via fax.
Cards can be purchased at participating park associations and concessionaires as well as by dialing toll-free 1-888-AXP-PARK.
If you are in the Greater Cincinnati area you can now pick up phone cards at many ATM’s. Fifth Third Bank this month decided to take one stop shopping one step further by offering customers pre-paid calling cards at select Jeanie/Money Station ATMs. The cards are now available and carry 40 minutes of long-distance service for $10.
Looking for a special card for that special person? Take a look at the new MCI Prepaid Social Expressions Card. This may be the greeting card of the future. For the first time you can attach a recorded message to a gift card via any telephone. A message, up to 2 minutes in length, is delivered the first time the recipient uses the card. All cards include 20 minutes long-distance service to anywhere in the 50 states, Puerto Rico and the U.S. Virgin Islands. The cards can be purchased at Wal-Mart stores and will be available soon at mass merchants, specialty stores, florists, gift and stationary retailers.
Last year most prepaid phone cards cost between 25 and 40 cents per minute. Now, thanks to Transco Research Corp, you can get a prepaid phone card with domestic long distance as low as 9 cents per minute. The cards are available at Transco’s ATM-style prepaid phone card vending equipment.
CITI’S SUMMER TIPS
Unfortunately with some 230 million Americans taking vacations this summer, many won’t realize just how substantial their spending may have been until after their vacation is over. To help with this problem before it starts, Citibank recently offered the following tips:
1. Set a limit on what you want to spend before you decide on vacation plans.
2. Make a spending plan that includes major expenses like transportation, lodging and food.
3. Keep track of spending so you don’t run out of money before you run out of vacation.
4. Choose your “way to pay”, using cash, personal checks, travelers checks, credit cards and debit cards carefully.
5. Be sure to make spending a family affair, each member should have spending guidelines and budget.
6. Save receipts and spending records so that you can review your success when the trip is over.
Citibank offers its Credit Minder credit management tool free to all consumers. Call 1-880-669-2635.
MR. MOM’S CREDIT CARD TIPS
Credit card debt is a problem that 1 out of 4 U.S. households have, according to Neil Schebetta who, known as ‘Mr. Mom’ by day, is a personal finance coach that teaches classes on freedom from credit card debt. He feels that techniques and strategies to ease the burden of the mounting credit card debt problem are not readily available. He recently wrote a booklet entitled “FREEDOM! How to Free Yourself from Credit Card Debt!” The booklet covers topics such as, making minimum payments vs. “level” payments, paying highest interest rate debt first vs. the lowest balance first and consolidation loans vs. not consolidating. For a copy of the booklet send $5 and a double stamped self-addressed large envelope to: FREEDOM c/o Self-Help Publishing, Dept. BW 6-17, P.O. Box 3094, Fremont, CA 94539-0309.
NEW BANKRUPTCY STUDY
A study released by Visa U.S.A. recently showed 11,000 personal bankruptcy petitions filed in four states between 1988 and 1996 had credit card debt that ranged between 4.1 and 15.6 percent of filers’ total debt. The study also found many individuals who discharged all of their debts in Chapter 7 filings, by their own admission, actually had income sufficient to repay some of their debts.
HYATT ‘WELCOMES’ AMEX USERS
This summer’s Hyatt guests who use their American Express card to pay for their stay will be rewarded with a book of coupons called the ‘Welcome Rewards’ promotion worth over $1,000. The promotion valid through September 1, 1997 includes discounts from thirteen brands including Alamo Car Rental, AT&T, Avis Car Rental, CompUSA, Hartmann Luggage, Herringbone, Hyatt Gold Passport, Hyatt Vacation, Nevada Bob’s, PREP Wine International, Royal Caribbean International, The Learning Company and United Airlines. For more information you can contact Hyatt through the Internet at http://www.hyatt.com and American Express at http://www.americanexpress.com.
