Judge Rules Swipe Fees “Inappropriately” High

Retailers and credit card companies have been battling over swipe fees for years now with consumers unfortunately caught in the middle. On the one side, banks claim that retailers are violating consumers’ rights by charging more to pay with credit card than cash. On the other side, retailers claim that swipe fees are cutting into small business’ profits and driving up costs.

This week, however, a federal judge ruled in favor of retailers, saying that swipe fees were “inappropriately” high. Judge Richard J. Leon had some strong words for the banks and credit card companies as well as the Federal Reserve Board which had allowed swipe fees to rise up to as much as 24 cents per transaction.

In a prepared statement, the top lawyer for the National Retail Federation praised the ruling and chastised the Federal Reserve Board for “fail[ing] to heed Congress’ call to see fee standards that were ‘reasonable’ and ‘proportional’ to the actual cost of a transaction.” The Retail Industry Leaders Association also welcomed the ruling as an “opportunity to ensure the law is finally implemented as intented,” going on to say that the Federal Reserve had “muted the law’s intended benefits.”

At My Credit Specialist, we want our readers to be financially healthy, which includes having the best credit score possible. Getting that prime credit score is tough, but we help you along the way with credit tips, consumer alerts, and our credit restoration services. To get the most out of My Credit Specialist’s services, be sure to like My Credit Specialist on Facebook, following My Credit Specialist on Twitter, and subscribing to My Credit Specialist on YouTube! If you want to learn more about our credit restoration services, go to http://www.mycreditspecialist.com and find out if it is the right choice for you!

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Credit Card Skimmers: How to Spot and Avoid Them

Credit card skimmers are becoming easier to install and harder to spot, creating a real problem for consumers and law enforcement alike. A recent news story from CBS affiliate KESQ, however, offers a few tips for consumers who want to protect themselves from credit card thieves.

For readers unfamiliar with credit card skimming, a criminal places a device over top of an ATM, a credit card reader at a gas pump, or another publicly accessible credit card reader. As customers swipe their credit or debit card, the skimmer grabs and saves the card’s information. The criminal will usually find a spot to watch the scanner and write down PIN numbers for debit card users.

How do you avoid being a victim of this scam? First off, always use your credit card for these types of transactions. Credit cards typically have more safeguards in place so that even if someone steals the card, the cardholder will not be held liable for purchases. Debit cards typically don’t have these protections. Once the money is gone, it’s gone.

Second, check the card reader for anything unusual. If it looks like it has been tampered with, you might not want to use your card. Also, these skimming devices are built to be quickly installed and uninstalled, so if the card scanner itself is loose, contact the vendor and the proper authorities.

Finally, keep a close eye on your credit card transactions. Take 5 minutes every day to review any card charges online, and report anything that you do not recognize. Also, most credit card companies have alert systems available for cardholders. If there is an unusual charge, they will call or text you to verify the charge. Contact your credit card company and ask if you are currently enrolled for this service.

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3 Steps to Protecting Your Online Shopping Sprees

The holiday season is here with Thanksgiving next week and Christmas just around the corner, which means one thing: Black Friday sales. Many stores are now offering exclusive deals online as well as in their physical stores, and consumers will be spending big bucks from online stores which brings up questions of keeping personal information safe. What can you do to keep your credit card information out of the hands of hackers and criminals?

Firstly, make sure to always shop from trusted online vendors. If you haven’t shopped from a website before, do a little research. Read reviews for the website, and if anything seems sketchy, don’t give out your credit card information.

Second, be vigilant. We encourage our readers to always review their bank and credit card statements for anything that looks out of place, but during the holidays, this simple step is even more important. Dispute any suspicious charges right away, and if you believe someone has stolen your credit or debit card information, contact your bank or credit card company immediately.

Finally, do not save your credit card information on websites. Most websites let you set up a profile and save credit cards on your account to make purchases more convenient, but when you can, don’t save any credit card information. Not only will you protect your credit card information from hackers but you will also cut down on impulse buys. In the time it will take you to pull out your credit card and type in the information, you will have thought about whether this is a good purchase or not.

Want more spending tips this holiday season? Check out My Credit Specialist on Facebook, Twitter, and YouTube! Also, go to http://www.mycreditspecialist to learn more about credit restoration and whether it is the right choice for you!

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Cordray: Change Credit Card Rules for Stay-at-Home Parents

For years, credit card restrictions have discriminated against stay-at-home parents who do not bring in enough income to get approved, even if their spouse has sufficient income. The Consumer Financial Protection Bureau is hoping to change that.

CFPB Director Richard Cordray announced last week that they would be proposing a new rule where credit card eligibility would be based on household income instead of individual income. If the rule is put into place, more stay-at-home parents with strong credit would be eligible for credit cards.

At My Credit Specialist, we are very excited about this change. It is unfair for a stay-at-home spouse to be denied for a credit card, even if they have stellar credit and their spouse brings in enough income. Besides, it is important for both spouses to have a strong credit history if they ever need a loan of any kind in the future. Using a credit card responsibly and paying it off is the easiest way to build a credit history. Hopefully this rule will be put into place and more Americans will have access to credit.

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Credit Card Processors Halt Processing for Medicinal Marijuana

At My Credit Specialist, we are not anti-credit card. Some financial experts want everyone to cut up their credit cards, but we encourage responsible credit card usage. Buy a cup of coffee, buy lunch, or pick up another expense that you can afford to pay back right away.

There are few times when we are reporting on places where you cannot use your credit card, but as it so happens, credit card processors are cutting off their services to California medical marijuana dispensaries. They have been under pressure from the federal government for awhile, but they officially stopped processing payments after Sunday, July 1.

Before going further, My Credit Specialist does not take an official stance on medical marijuana. Our interest in this story is merely how it affects the American consumer and credit card usage. That being said, what does this mean for people who use medicinal marijuana? Well, they will have to pay for their cannabis entirely in cash which activists claim will make patients a target for thieves. Besides that, the federal government is interfering in statewide laws, making it clear that medicinal marijuana will not be respected as a state's issue. The biggest problem is that this action sets a precedent that the federal government can kill a good or service by putting pressure on the credit card processors. An overly zealous federal government could bring about a second prohibition or discourage consumers from purchasing a good or service by making it cash-only.

We are curious what our readers think about this issue. Do you think the federal government is right to discourage marijuana usage, or are they infringing on state's rights and credit card processors' freedoms? Leave a comment below and tell us what you think! You can keep up with the latest news from My Credit Specialist by liking My Credit Specialist on Facebook and following My Credit Specialist on Twitter. Also, go to http://www.mycreditspecialist.com to learn more about the credit restoration process and whether it is the right choice for you!

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I Love You, Phillip Morris-esque Credit Card Thief Uses Company Card for Fertility Treatments

In the 2009 film I Love You, Phillip Morris, Jim Carrey's character Steven does some creative accounting to steal from his company and support his extravagant lifestyle. Though the film is based on a true story, it is hard to believe that someone like Steven could pull off a similar scheme in today's business world, but Ligia Baciu of Orange County in California did just that.

Baciu worked at Sweet Life Enterprises from 2005 to 2009 in the accounting department overseeing the company's credit card accounts. During that time, she took out numerous company credit cards for her own use. Up until January 2010, Baciu spent over $236,000 on an engagement ring, hotel suites, designer clothing, and a new Audi. She even used a company card to pay for her domestic partner's fertility treatments.

The surprising part of the story is how long it took Sweet Life Enterprises to catch onto her credit card fraud after she left. Accountants at the company only discovered what Baciu was doing when they reviewed the company's credit card statements, and police just arrested her this week. She was charged with 21 felony counts of computer access and fraud and three felony counts of fraudulently using access cards, but still, she allegedly committed fraud for 5 years without getting caught. It took two years after she got caught for her to be arrested. Why has it taken this long?

Credit card fraud can happen to anyone, so check your credit card statements every month for suspicious charges. Also, make sure to keep your balance under 30 percent of your card's limit to get the best credit score possible. To get more tips for improving your credit health, follow My Credit Specialist on Twitter and like My Credit Specialiston Facebook. If you are struggling with bad credit, go to http://www.mycreditspecialist.com to find out if credit restoration is the right choice for you.