Important tips to use credit cards effectively

Credit card is a tool like any other financial tool which should be used responsibly. While it ensures cash flow, I don't advise customers to borrow for a longer period of time. It is meant for borrowing for short-term or limited period of time, says Citibank's business manager, cards, T.R. Ramachandran. Read on to understand the basics of credit cards. Q. Is it important to have a credit card? What are its benefits? You get 45 days to pay up the bill. Many companies also give rewards like airline miles, free fuel and retail discounts. Credit card is an important financial tool for those who need to take advantage of payment mechanisms like interest free period or short-term credit. Q. What do banks gain out of free credit of 45 days or lifetime free card where you don't charge any administration charges? Annual fee is waived off in some situations.

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Credit union site up for vote

The Planning Commission will vote Tuesday on two items that will allow Redstone Federal Credit Union to construct a building and road near Alabama 36. The company has submitted site plans to build the credit union next to Hartselle Heritage Funeral Home. The second item involves Bob Francis' certificate to subdivide the property. Francis, who is chairman of the Hartselle Development Board, is selling the credit union 3.26 acres. Although credit unions do not collect sales taxes, Mayor Dwight Tankersley said the project is good for Hartselle. "The project will increase traffic in the area, which in turns allows us to entice retailers that do collect sales taxes," the mayor said. Tankersley said it's also good for Redstone Federal Credit Union users in Hartselle to have a branch closer to them.

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Yunus for framework on micro-credit in India

Nobel Laureate Prof Muhammad Yunus Thursday emphasized on enacting laws relating to the micro-credit programme to make it a success in India. "You need a legal framework to make a depository bank for running micro-credit programme and it is essential," he said while speaking as chief guest at the inaugural ceremony of the Grameen Trust India (GTI) and a two-day Grameen International Conference on 'Micro-credit in India' at Hotel Mirador. Prof. Yunus said money is not a constraint to make it happen if there is a legal framework in the country. The father of Grameen Bank formally inaugurated the programme by lighting a lamp. "You can make a legal framework for five years to see how it works. If any organization fails to run the micro-credit programme, you can cancel their legal status to run the programme," Prof Yunus said.

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Debt limits credit-offer advantages

D ear Debt Adviser: I have $35,000 worth of credit-card debt. I used the debt calculator to get on a plan to be debt-free in 4 years. I always make more than the minimum and have never missed or been late on a payment. I've been trying to apply for new credit cards to do a balance transfer and get better interest rates, but am always rejected due to my large balance. My balance is high compared to my income, which is $45,000 a year. How much debt do I have to pay off before I will be able to get a better deal? I hate paying this much interest and would like to see the numbers go down more quickly. What should be my next step? -- Louise Dear Louise: In New England, we have a saying: "You can't get theah from heah." You are looking for a shortcut that doesn't exist, and every time you try, you are setting yourself back further.

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PAY DOWN CREDIT CARDS, SIMPLIFY FINANCES, SAVE MONEY, PACK A LUNCH

Hope so. But if you've already broken some of those resolutions, here are some resolutions for your ``financial health.'' And hopefully these will be a bit easier to keep -- while in many cases, saving you money. • Pay more than the minimum due on your credit card. If you're struggling to pay your credit card bills, Jay Seaton, area president for Consumer Credit Counseling of Northeast Ohio, suggests paying anything more than the minimum payment. ``Then you're getting a little bit ahead. I think people don't have a full understanding of what wealth creation is about. If you're reducing debt, you're on your way to building wealth. It doesn't always take money to make money. If you're moving toward zero, you're moving toward the positive,'' he said.

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Credit Suisse to buy back stock as it seeks takeovers

ZURICH: Credit Suisse Group, the Swiss bank, said Monday that it would use proceeds from the sale of its Winterthur insurance unit to buy back a record amount of stock and make money- management acquisitions. The bank plans to repurchase as much as 8 billion Swiss francs, or $6.4 billion, of shares over three years and has set aside 3.5 billion francs for possible wealth management purchases in the United States, the Middle East and Asia, Credit Suisse said during a presentation in Zurich. "We have the requisite resources to grow our business, while at the same time returning capital to our shareholders," Oswald Grübel, the bank's chief executive, told investors. Credit Suisse last month completed the sale of Winterthur to AXA of France for 12.3 billion Swiss francs, raising cash to compete with rivals including UBS in faster-growing markets like Latin America, Russia and Asia.

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Michigan Customers Could Get Credit For Ice Storm

More than 220,000 customers who lost power during the ice storm that hit lower Michigan last week might get a $25 credit on their next bill. At some point, the storm affected about 120,000 customers of DTE Energy Co. in southeastern Michigan and at least 104,000 customers of CMS Energy Corp.'s Consumers Energy subsidiary elsewhere in the southern half of the state. Consumers spokesman Dan Bishop told the Jackson Citizen Patriot that the utility is "examining" whether to ask for a waiver to a 2004 regulation that lets residential electric customers who lost power for more than 16 hours get the $25 credit. .

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