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Merchants need to be aware of credit card fraud that seeks to prey on small businesses. Recent telephone scams in certain parts of the U.S. involve an identity thief calling a small business in hopes of snagging some credit card information.
The scammer may pose as a member of the local police force or as an employee of a credit card company in an effort to get merchants to hand over credit card numbers used by shoppers.
Merchants need to be sure they are taking all the necessary precautions to protect their customers' credit card information. Losing your customers' credit card information is an easy way to lose your customers.
High prices, issuer practices run consumers afoul of rules
Credit limits too small for a fill-up.
"Blocking off" more credit than needed.
Card issuers, retailers spar
Chargeback limits vary
What consumers can do about limits
Holding patterns
What consumers can do about blocks
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No cash? No problem. A growing number of small businesses are joining a plastic-only movement. But is it right for everyone?
The benefits of plastic
Cash takes time
Customer feedback
Who pays the fees?
Cash less appealing?
See related
Credit card reform: understanding the fine print of proposed changes to Regulation Z
Advance warning
Advance warning
Credit card reform: Understanding the fine print of proposed changes to Regulation Z.
A proposed change to Regulation Z will end the current practice of allowing card issuers to advertise "fixed" rates that can change whenever the issuers feel like it. Currently, issuers can offer a "fixed" rate credit card -- and change the rate 15 days later or "at any time for any reason." Under the proposal, the term "fixed" will have meaning: If no time period is specified, the rate will remain fixed as long as the account is open and payments are kept current.
Credit card reform: Understanding the fine print of proposed changes to Regulation Z.
The Federal Reserve Board, as part of its wide-ranging change to credit card disclosure rules, board has proposed two different approaches to the so-called "effective annual percentage rate (APR)" -- the amount of interest credit card users actually pay after factoring in finance charges such as cash advance fees and balance transfer fees. This "effective APR" is much higher than rates typically advertised for credit cards. Creditors say consumers don't understand the effective APR, that it's hard for creditors to explain, and that it's "inherently inaccurate
Credit card reform: Understanding the fine print of changes to Regulation Z.
When it comes to disclosing fees, the difference between the old and the proposed approaches is stark. Under the current Regulation Z , fees are grouped in one small box of the larger disclosure table, with one exception, one that illustrates the problem with the old fee disclosure table.
The regulators want that to change. They would do away with the option of presenting account-opening information in tiny type legalese. The proposed account-opening disclosure is intended to organize the information in tables and standardize its presentation to allow easier comparisons.
Account-opening disclosures could include descriptions of items such as:
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