#21: Shopping For Credit

1. Credit card name (Visa, MasterCard, Discover, Kohl’s, etc.) Chase
2. Type of Account Credit
3. Company name, address, phone (of company the card is issued by) Chase Bank  
   925 S Hacienda Blvd
   La Puente, CA
   (626) 336-4557
4. Website  
   https://www.chase.com
5. Locations where card is accepted (everywhere, or very specific) Anywhere that accepts visa
6. Annual fee $0
7. Payment grace period 25 Days
8. Annual Percentage Rate (APR)   0% First 15 months and  a variable APR of 13.99%, 18.99% or 22.99%
9. Finance charge calculation method (this is the calculation of how your balance will be charged interest) Not Available
10. Credit limit $5,000
11. Minimum payment $25
12. Other fees None
13. Other features 5% cash back on $15,000 purchases
    
    
    

    
    

1. Credit card name Discover Card
2. Type of Account Credit Card
3. Company name, address, phone P.o Box 30943 Salt Lake City, UT 84130-0943 1-800-DISCOVER
4. Website Discover Website    
5. Locations where card is accepted North America, South America, Europe, Scandinavia, and Russia
6. Annual fee None
7. Payment grace period 23 Days
8. Annual Percentage Rate (APR) 0% for 14 months, then 10.99%-22.99% after the 14 months
9. Finance charge calculation method (this is the calculation of how your balance will be charged interest) Average Daily Balance
10. Credit limit Starts at $500 (depends on credit scores)
11. Minimum payment 2% of current balance
12. Other fees: Transfer fee of 3%, Cash Advanced fee or $10 or 5%, $35 late payment fee
13. Other features: 1% (or more) cash back on most credit card purchases, cash back never expires, no foreign transaction fee
    
    

1. 

   Credit card name My Best Buy Card
2. Type of Account Charge Card
3. Company name, address, phone 1800 Plaza Dr.
   West Covina, CA 91790 
   Phone: 626-480-5399   
4. Website http://stores.bestbuy.com/102/
5. Locations where card is accepted All Best Buy stores
6. Annual fee None
7. Payment grace period 25 Days
8. Annual Percentage Rate (APR) 0-12% for 6-48 months, then 25-28% ongoing
9. Finance charge calculation method Daily Balance
10. Credit limit Review of Credit Score
11. Minimum payment Depends on balance of card
12. Other fees: $35 late payment charge, transaction fees
13. Other features: Discount for card holder for in-store or online purchases  

Credit Card Analysis

1. Which credit card has the highest annual percentage rate and how much is it? Best Buy: 0-12% for 6-48 months, then 25-28% ongoing
2. What method is used to calculate the monthly finance charge for the first major credit card? It was not made clear to me
3. When does the finance charge begin to accrue on the credit card from the local department store? The first day there is a charge added to the daily balance
4. Do any of the cards have annual fees?

   None of the cards have annual fees
5. Is there a transaction fee on any card?

   Chase: balance transfer - $5, cash advance - $10

   Best Buy: cash advance - $10, balance transfer - $15
6. Is there a minimum finance charge on either of the major credit cards? Discover Card: $0.50 Chase: $1.50
7. Does the first major credit card charge a fee for late payments? Chase: $35
8. What is the grace period on the credit card from the local department store? 25 Days
9. Rafael wants to buy a new CD player that costs $450. According to his budget, he can afford payments up to $62.00 per month. Which of the three credit cards you’ve found would you recommend that Rafael use to purchase the CD player?  

   I recommend that Rafael use Chase. Chase has a 25 day grace period, with a $0 annual fee and 0% APR for 14 months. Its the most casual and 'go your own pace' card.