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HomeMy WebLinkAboutThe Lucknow Sentinel, 1988-12-14, Page 15Use credit cards carefully for Christmas The saying goes that it is better to give than to receive. During the holiday season many Canadians use their credit cards to purchase gifts, but Consumer and Corporate Affairs Canada tells us that if you are giving without knowing it, that's another matter. This can happen if someone charges purchases to your credit card account without your permis- sion, or if you don't fully appreciate the interest costs charged for using your credit card. Recently, the Minister of Consumer and Corporate Affairs, Harvie Andre, an- nounced that his Department would begin providing Canadians with regular infor- mation on the cost of using their credit cards. "Most consumers do not know the real cost of using credit cards and end up paying more than they should." Since the Minister's announcement the Department has published a brochure, "Choosing a Credit Card - Tips to Remember," sponsored a federal/provin- cial discussion paper on credit card in- terest charges, and released regular bulletins on credit card costs. More recently, the Minister announced a joint industry and government initiative to distribute information to consumers on how to protect themselves against credit card theft and fraud. Most of us are aware of the potential cost of losing a credit card. But what about'the costs of using one? Did you realize, for example, that when you pay only part of your bill, you are generally charged interest on the full amount? (Some department stores will subtract the amount of your payment before calculating interest if you pay more than half the amount.) Also, most credit card companies such as VISA and Mastercard charge interest from the day you make your purchase. Department stores, on the other hand, start the interest clock tick-, ing at the date of your monthly statement. Thus, the way interest is charged on department store cards may offset their higher interest rate of typically 28.8 per- cent. This would be the case if you pay off your Christmas purchases within a BOOK FOR SALE History book of No. 31 Air Navigation School Port Albert •A part of Huron County's past, hard cover for only $2295 Available at', Harris Stationery. Wingham • etries, Port Albert • Joe s Landing. Sky Har- bour • Scott's Department Store. Mit- heli • Book Shop. Listowel • Finc.her's Goderic - ' Kincardire 8, Exeter • Lottery Shoppe Lucknow rrbinei Birthday Club Lee Drennan December 15, 1978 8 Years OId Stephen Tully R.R. 2 Bracebridge December 18, 1984 4 Years OId few months. (Typical rates for VISA and Mastercard range from 17.25 percent to 18.9 percent.) Of course, you can avoid interest charges entirely if you pay the full balance within the "grace period." This begins at the date of the monthly statement and is usually 30 days for department store cards and 21 days for VISA and Mastercard. Otherwise, be aware that your credit card is a relati< <- ly expensive source of credit. Some cards have additional charges such as transaction fees or annual fees. You can save on credit card costs by keeping well informed about the terms and conditions that apply to the cards you use. This information is provided with your monthly statement, and you can contact the credit card issuer to clarify any aspects that you find confusing. To avoid being the victim of credit card fraud, here are a few tips to keep in mind. •Examine each sales draft before sign- ing it to ensure that your receipt includes the total amount of your purchases, in- cluding taxes, so that additional amounts cannot be added later. •Avoid signing blank sales drafts and make sure that an incorrect draft is destroyed. After every purchase, destroy your carbons to prevent others from us- ing information obtained from the carbon paper. •Some individuals may take offence when a salesperson checks the signature on their card against the sales draft. But this is done for your protection. •Watch your card after giving it to a sales clerk, and check that the card you get back. is your own. It is easy for sales clerks and waiters to give you the wrong card when they are in a hurry. •Keep all sales receipts and check them against your monthly statement. Report any .discrepancies immediately-. •If your credit 'card is Lost or stolen, report it to the card issuer immediately. ' If you find it after reporting it lost or stolen, notify the card issuer before you use it again. Lucknow Sentinel, Wednesday, December 14, 1988—Page 15 BARRY W. REID B.A. CHARTERED ACCOUNTANT •Financial Accounting •Audi' • Personal & Corporate Tax Consultation •Personal Financial Planning •Manual & Computerized Bookkeeping •Mortgage & Amortization Schedules 306 Josephine St. Winghal NOG 2W0 Office: 357-1522 LUCKNOW BUSINESSES will be open EVERY EVENING Monday, December 19th -Friday, December 23rd 'TIL 9:00 P.M. For your shopping convenience PLEASE NOTE: Businesses will be closed Monday, December 26 & Monday, January 2 Some businesses will close Tuesday, December 27th Applies to full -frame negatives. Luck now C41 110 1?6 135 & DISC ONLY SPECTRUM makeo a Pax ote, 4i cx Prices in effect December 19 -24/88 UMBACH PHARMACY 528 3004 ar c'7) • WEEKDAY •MORNINGS 6:00 to9:00 •