As featured in The Wall Street Journal, Money Magazine, and more!

Search: awards

CitiBusiness ThankYou Card Review

This article was written by in Credit. 1 comment.


Citibank wants to lure more business owners away from American Express and Chase with a credit card that cribs from its competitors’ playbooks. Like the original Platinum Card, the CitiBusiness ThankYou Card streamlines expense reporting and adds significant purchase protection benefits. While its APR and rewards offers don’t stack up to Ink from Chase, strong service features could make the difference for professionals who don’t intend to carry a balance.

Small spending plateau triggers Citi’s signup bonus

According to Citi’s website, a new CitiBusiness ThankYou cardholder can trade their 15,000 bonus points for $150 in merchant gift cards after spending just $3,000 with the card over 90 days. New Chase Ink Cash members have to spend $5,000 to qualify for a bonus $150 cash rebate, but Chase also offers an extra $100 credit upon first purchase.

CitibankLike Chase, Citi offers its ThankYou members bonus points for purchases in a variety of rotating, seasonal categories. Qualifying purchases earn three ThankYou Points per dollar spent at eligible merchants that include computer stores, advertising companies, airlines, restaurants, and phone companies. You’ll earn one ThankYou Point for every dollar you spend elsewhere on the card. Citi also kicks in bonus rewards for managing your account online and registering for paperless statements.

Earning awards gets easier if you share your personal ThankYou balance

ThankYou points carry the most value when you redeem them for merchandise or for gift cards. For instance, at a penny per point, an Amazon.com gift card reward can let you earn the equivalent of a 3 percent rebate on featured category purchases. Because every employee using CitiBusiness cards earns points, your company’s balance can grow fast.

Chase and American Express both offer stronger redemption rates on their business rewards cards. However, Citi offers a feature that can make the ThankYou program more appealing. Carry both a CitiBusiness card and a personal Citi credit card, and the bank will let you swap points between your accounts at no charge. If you choose to keep all your points for yourself, merging your earnings can help you reach higher rewards levels faster.

Citi makes up for average account terms with extraordinary protection

At the moment, the CitiBusiness ThankYou Card offers a six month, no interest teaser, followed by an APR above 13 percent. There’s no balance transfer teaser in effect, either. With no annual fee and no charge for issuing employees their own cards, CitiBusiness makes a decent card for cash flow management. This card really shines for companies that take advantage of money-saving features, including:

  • Extended warranty. Add one year to the manufacturer’s standard warranty on each purchase.
  • Retail purchase protection. You’re covered for up to $10,000 in loss or damage for 90 days after each transaction.
  • Auto rental insurance. Never pay for a collision damage waiver again.
  • Travel accident insurance and assistance services. Automatic coverage, and a round-the-clock help desk to keep you safe.
  • While frequent flyers may prefer AmEx’s Platinum Card’s airport perks, the CitiBusiness ThankYou Card replicates many of its competitors’ most compelling benefits.

Personal Business Assistant

Concierge services have quickly become the must-have benefit for elite business credit cards. Citi skews the trend with its team of Personal Business Assistants, specialized service professionals who can perform high level tasks on behalf of companies instead of cardholders. Like other cards’ concierge desks, the Citi PBA team can book you a reservation at a hot restaurant or confirm your next travel itinerary.

These assistants add even more value by researching supplier costs, sourcing vendors, and handling more complex requests related to meetings and conferences. Issuing a CitiBusiness ThankYou Card to each employee on your team gives them the power to offload routine tasks and busywork via a secure, online portal. That could be the signature feature keeping this card in the competition for space in your wallet.

If the above features appeal to you, apply for a CitiBusiness ThankYou Card today to receive the 15,000 bonus points opportunity.

Photo: Kien Wai

{ 1 comment }

Unemployed Lawyers Sue Their Law Schools

This article was written by in Career and Work. 23 comments.

A group of fresh, unemployed lawyers have banded together to sue law schools. 73 alumni have filed at least fifteen class-action lawsuits, alleging the schools inflated employment figures and salary data to attract students and increase rankings. The real goal of the lawsuits seems to be to effect systemic change in the education industry and associations that accredit law schools, like the American Bar Association.

Schools are in the business of generating alumni, and to a great extent, use as many marketing tricks that any company uses in order to influence public opinion. It’s true that a 90% graduate employment rate looks better than a 75% rate on paper, and I’d be more inclined to choose a school with a higher employment rate, with all other factors being equal. But a 90% graduate employment rate doesn’t guarantee that I would receive the job I want after graduation, even if I were in the top 10% of the class.

Furthermore, I’ve come to the conclusion over the years that any statistic used for marketing purposes is subject to manipulation in an attempt to further the goals of marketing. Hard numbers give the impression of fact. From an early age, we’re trained to believe that one plus one equals two, in all circumstances, and numbers are truth. Statistics can be misleading in many ways, and are used more often to try to convince others of a point of view rather than quantify facts in reality.

Law school graduationThe group of lawyers probably can’t prove that the blame for their unemployment situation rests with the law schools. There are many factors that contribute to unemployment, including the overall economy, local job markets, and the effort, skills, and self-marketability of each alumnus. It doesn’t appear as if the former students are suing to have the schools compensate them for the lack of expected income from working, but they are suing to enlighten the public to the issue of misleading statistics throughout the educational industry.

Mutual funds must advertise that “past performance does not guarantee future results.” Even if a graduate employment rate were perfectly measured and accurately reflected exactly what a potential student understood the number to be, a good rate today is no indication that the rate will continue to be high by the time the school awards a degree or certification. If my index mutual fund returned 12% last year and lost 8% this year, I can’t sue the fund manager or the stock market for not providing the dividends I was hoping for. If fraud was involved, it might be a different situation. Perhaps misleading statistics like graduate employment rates are somewhat fraudulent, but I don’t see a parallel as schools do not typically promise that students will be employed at the level they’d like after graduation — and in the case of lawyers, after passing the bar exam.

There might be better ways of raising the issue of misleading statistics in the marketing endeavors in which institutes of education engage. Using the courts to make a point is only one tool that’s available to increase awareness of an issue. When you’re a hammer, though, everything looks like a nail.

Several years ago, while I was completing my Masters in Business Administration degree, I considered attending law school. Ultimately, I decided not to pursue a law degree and to focus my energy on my business instead. I think I made the right decision.

Photo: CubanRefugee
WNYC

{ 23 comments }

Cash Back Rewards Stolen

This article was written by in Credit. 21 comments.

Using cash back credit cards is rewarding in two specific ways. First, you’re earning money when you spend. That’s the obvious part. But when you know that you’re getting a rebate when you use your credit card, you also feel better about spending than you would otherwise. Feeling good can be dangerous, as you might make mistakes like spending more than you should while chasing that good feeling.

That’s why I’ve identified ten traps for using cash back credit cards. The issuers know that many people will fail to handle their credit cards properly, and the resulting profit from customers’ mistakes helps pay for those cash back rebates.

Credit card users are generally aware of these traps and can avoiding them, but sometimes other problem occur, beyond the spenders’ control. Consumerism Commentary reader SteveDH recent encountered a problem with his cash back credit card.

Here’s his story:

Burglar alarmWhen I received my last VISA statement it showed that I had redeemed $275 in Cashback awards — I hadn’t. I got in touch with my bank and also started looking at all of the web pages and we found the someone had added a “Transfer Account” from GE Capital Retail Bank in Draper Utah to the redemption page and apparently requested the redeemtion. The information that they had to enter was the ABA number and account number. That’s how I know which bank it is even though only the last four digits of the account number were there. How they got to the redeemtion page without going through my login (which my bank says wasn’t compromised) is a mystery.

Although my bank killed the credit card and promised to apply the missing money to the new VISA card, I’m stilling waiting for final resolution. I download into Quicken almost everyday but I hadn’t even thought of checking rewards balances. In fact I’m amazed I noticed it on the statement this month. Yet another example of the crooks out there — some are pretty darn creative.

This is insanity. Cash back rewards should be something consumers should be able to forget about; they should be able to trust that each purchase earns the correct cash back amount (it occasionally doesn’t) and that the cash back will be there when you retrieve it. It’s a mystery how this redemption bank account was added to the cash back rewards page without SteveDH’s account being compromised. Perhaps it was an inside job.

I confess that I rarely look at my accrued rewards balances. As I primarily use airline miles rewards cards now, I generally see my rewards only when I visit Continental’s and United’s websites. The miles I earn from spending are deposited monthly, and I’ve not yet noticed any discrepancies. Cards that earn cash back, however, can be less organized.

Since cash back information is not downloaded into Quicken or reported in other software like Mint.com, it takes extra effort to verify your cash back is accruing correctly and is available according to the rules of your agreement. Don’t forget to check once in a while. You won’t be able to prevent every problem, but you’ll be able to report it to your issuer promptly, and hopefully have the problem resolved without difficulty.

Thanks for staring the story, SteveDH. If any other readers have stories to share, please contact me.

{ 21 comments }

Banks Offering Remote Deposit

This article was written by in Banking. 22 comments.

Almost ten years ago, the government passed a law that made electronic images of paper checks just as legitimate as the paper checks themselves. As banks implemented the law, it saved time and money by allowing banks of first deposit to scan checks after a customers deposit them for verification with the originating bank. With an image of a check being accepted in place of a paper check, more banks have begun implementing a convenience to customers as well.

Businesses were the first customers to receive these benefits. For a business that receives thousands of checks every day, bringing the physical paper checks to a branch for deposit can be an expensive and time-consuming process, fraught with the possibility of security problems with the checks in transit. Banks have offered business the option of remote deposit. With this service, the customer can scan checks using a specialized imagine device (check scanner) and transmit the images securely over the Internet or a private network connection. The funds are then available immediately rather than overnight.

CheckbookWith this success, banks are in the process of extended similar features to non-business customers. With the proliferation of cell phones with built-in, high-megapixel camera, banks can now offer deposits using snapshots of checks sent via text message or custom smartphone apps. For these customers, no bulky desktop scanner is necessary, and there’s no need to be home to make the deposit. You can effectively deposit checks from your mailbox down the street or from your grandmother’s house on your birthday.

Business customers still have the advantages, with very few banks actively offering this service to non-business customers. The number of banks offering this service to consumers is increasing, however.

Remote deposit is most useful for banks that don’t have local branches, like these online banks. ING Direct, still bloggers’ most favorite bank, is working to implement remote check deposit soon, but with the bank’s planned acquisition by Capital One it’s unclear when new features will be added. ING Direct recently began offering paper checks to customers, so remote deposit capture may not be too far behind.

Chase Bank offers apps for iOS and Android devices. The application allows customers to log into their bank accounts. To deposit a check, take a picture of the front and back, and send the images securely to Chase using the application. The deposit will be recorded as pending immediately, though availability will depend on the bank’s typical schedule, usually next business day availability for local checks. The availability schedule has several variables, though, so always check with the bank to determine when the funds you deposit will be available.

Ally Bank has offered remote deposit for customers since April 2011, but the bank has just recently opened the program to all customers. Ally’s eCheck Deposit service requires a scanner and some manual work, such as inputting the check amount (shouldn’t this be automatically read when scanned?) and aligning the images. Ally plans to offer a mobile application soon.

The USAA Bank mobile application for iOS, Android, and Windows Phone 7 includes a feature allowing remote deposit. Deposit@Mobile requires the customer to enter the check amount, take one photo of the front of the check and one photo of the back, and submit the images to the bank through the application. The bank will confirm the deposit amount.

Have you used your bank’s remote deposit service? If so, what did you think of the experience?

{ 22 comments }

The Best Online Checking Accounts, May 2012

by Flexo

As consumers grow increasingly frustrated by the checking account options offered by traditional banks, more are seeking out the best online checking accounts for better interest rates and service. Large banks like Wells Fargo and Bank of America are continuing to add fees, such as debit card fees, and are not concerned with scaring the ... Continue reading this article…

14 comments Read the full article →

Podcast 129: Financial Blogger Conference, Betterment

by Flexo

Today’s Consumerism Commentary Podcast features two interviews. In the first segment, Tom Dziubek talks with Philip Taylor from PT Money: Personal Finance and Consumerism Commentary founder Flexo about this year’s Financial Blogger Conference. In the second segment, Tom speaks with Jon Stein, founder and CEO of the online investing service Betterment. Jon discusses recent survey ... Continue reading this article…

6 comments Read the full article →

Personal Balance Sheet, September 2011 ($342,242, -7.1%)

by Flexo

Each month, I publish a financial report to help me track the progress along my path to gain financial independence. This is a long-standing tradition at Consumerism Commentary, with relatively significant updates going all the way back to July 2003. I have made some changes over the years in how these numbers, including the net ... Continue reading this article…

17 comments Read the full article →

My Interview on Talk Credit Radio, Plutus Awards

by Flexo

A few weeks ago, I was a live guest on Talk Credit Radio, hosted by Gerri Detweiler, on radio station WSRQ. We talked about my sordid financial history pre-Consumerism Commentary, in which I confess to owning a car without knowing how to maintain it or how to handle my traffic tickets. We also talk about ... Continue reading this article…

4 comments Read the full article →
Page 1 of 1012345···Last »