Title | Credit Card Evaluation |
---|---|
Author | hannah futhey |
Course | University Success |
Institution | Grand Canyon University |
Pages | 2 |
File Size | 108.2 KB |
File Type | |
Total Downloads | 103 |
Total Views | 171 |
Credit Card Evaluation...
Name: Hannah Futhey Course: UNV-103 Date: October 18th Instructor: Stephanie Palenque
Topic 6 Credit Card Evaluation Activity Directions: Research three different credit card companies and answer the questions in the table below for each. After you review and answer all the questions, you will evaluate which card and company offered the best financing option. Questions to Consider:
Card A
Card B
Card C
Is the annual percentage rate (APR) fixed or variable?
Variable
Variable
Variable
What is the APR penalty of the card? Does it trigger events when it is charged?
26.99% for purchases and transfers no apr penalty
15.49% or 21.49% based on credit score
17.99% to 26.99% based on credit score
What is the annual fee?
None
None
None
What is the late fee?
Up to $39
Up to $39.00
None
What are the transactional fees of the card? This could be in regards to balance transfers, cash advances, etc.
3% or $10 each cash None advance
3% of each transfer balance $10 each cash advance
What is the method of computing the account balance in the card?
No interest on new purchases as long as last bill is paid
No interest on new purchases as long as last bill is paid
No interest on new purchases as long as last bill is paid
What is the over-the-limit fee?
Not listed
Not Listed
Not listed
Does the card have rewards for use? What are they used for?
Can earn cash back up to 1.25% for purchases
Can earn 1.25 in sky Earn points for cash, gift miles for each purchase cards, or travel. in travel expenses
Reflection Questions: 1. Which of the three cards had the best offer? Card C 2. Why is it important to know if a credit card is at a fixed or variable APR? Because if it is a variable, it can change and get higher/lower without your control 3. What is a positive in having a credit card? What is a negative?
Credit cards help you raise your credit score, it can also be very convenient. A negative thing is that it can put you in a lot of debt and trouble if you aren’t smart with it and keep up with your account. 4. Why is it important to establish credit? With a higher credit score helps you get loans and buy a house, car, etc. 5. How can you keep your credit in good standing? You keep up with your credit card bills and don’t over draft them. As long as you keep up with it all your credit gets better. * Note: there are several credit reporting agencies (some are free) that you can use to review your credit standing. If you are curious to find out your standing, talk to your banking institution for suggestions....