If you are spending fairly in your travel, you need a reward card that can help you save money in your trip expenses. Travelling from one destination to another can be costly and with the use of the reward card, you can garner points that you can use to redeem for perks like air tickets and hotel rooms. The hotel and airline credit cards are a good way of earning points that can be redeemed for interesting perks. According to DailyMarket.com, one card that travelers can opt for is the Gold Delta SkyMiles card issued by American Express.
This card gives the traveler a bonus of 30,000 miles when he or she spends over $500 within the first three months of issuance of the card. These accrued miles can be used to pay for tickets whether full or partially meaning that you will save significantly in your travel expenses if you meet these spending limits. In addition, travelers can earn 2 miles in every dollar that is spent on any purchases in Delta and this means that you will accrue your mileage fast.
However, on all other purchases, you are able to earn 1 mile in every dollar you spend. The good thing with this card is that your miles will never expire even if you stay for a long time without travelling. The Gold Delta SkyMiles card has 0 percent annual fee in the first year.
Another card which travelers should eye for is the Capital One Venture Reward credit card. This card enables a traveler to earn 10,000 after spending $1000 in purchase on the first three months of issuance of the card. In addition, the card holder also benefits from a 2 miles perk or award for every dollar spend on other purchases. This gives the traveler an opportunity to increase the mileage bonus pretty fast. However, with this card, you will pay an annual fee of $59 but this is waived for the first year of issuance of the card.
Travelers can also consider Blue Sky card issued by American Express. This card does not attract an annual fee and cardholders can earn one point for every dollar they spend on purchases. This card earns you 33 percent more points when compared to other cards and you can redeem 7,500 points for a statement credit worthy $100 for use in your travel expenses. Other cards will allow you to redeem $10,000 points after meeting a specific spending. With this card, your points will not expire. The 7,500 points are awarded if you spend $1000 in the first 3 months.
When choosing the reward cards, you need to check on aspects like annual fee, the limits of the amount you have to spend to gain the points and how fast the program allows you to accrue points. If you do not travel frequently and the card program requires you to spend a large amount of dollars for you to be rewarded with points within a short time, this may be challenging for you. In addition, you also need to check on the expiry of the points. It is better to choose a card that does not allow the points to expire.
Monday, November 18, 2013
Discover It …the Best Balance Transfer Credit Card 2013
Balance transfers are used to help cardholders pay off their debt. If you have accumulated a lot of debt on your credit card, you may consider 0 balance transfer or low rate balance transfer cards. With the average annual percentage rate for credit cards being around 16 percent, this rate can be difficult to pay down and this is because the interest charges continuously thus adding to the principal. The situation becomes worse when you miss payments as the rates sky rocket.
The Discover It card offers generous cashback and also a balance transfer offer of 18 months. You can transfer your balance to this card with an introductory APR rate of 0 percent that lasts for 18 months. This means that during these 18 months, you are not charged interest rate on the card. This will allow you comfortably transfer your balance and have enough time to prepare to clear the balance.
When choosing an introductory rate, you need to evaluate the amount you have accrued on your card and how sooner you can repay. Some cards that allow 0 percent intro rates are likely to place higher interest rates after the introductory period. This means that if you have the financial ability to repay your debt within a short time, you may need to choose a card that has a lower interest intro rate but which offers a lower APR after the intro period.
With Discover It, the variable purchases APR applies and as at the time of writing this review (March 2013), the card was attracting variable purchase rate of 10.99 to 20.99 percent. The card also has a 0 percent introductory APR on purchases of products for 6 months. With this card, you can also get 5 percent cashback at restaurants and movies through the month of March 2013 for up to $1,500 in total of purchases made. All other purchases attract 1 percent cashback. If you would like a credit card deal that promises handsome cashback perks, then this may be a good option.
In addition, this card has no annual fees meaning that you will not pay annual maintenance fees. Similarly, there is no fee charged on overlimit. Moreover, there is no fee for your first late payment and this means that although you may not be charged for your first late payment, you do not need to make your payment late. This can give a bad impression and could affect your negotiation power whenever you have problems making payments within the stipulated date.
Last but not least, the Discover It card does not charge foreign transaction fees. If you are struggling with a current credit card balance that attracts high interest rates, you may consider switching or transferring your debt to Discover It reward card. This will help you manage your repayment plan. The 0 percent introduction APR running for 18 months can give you sufficient time to plan on how to clear the balance. However, this card may be a good option if you feel that you cannot clear the balance in the short term.
The Discover It card offers generous cashback and also a balance transfer offer of 18 months. You can transfer your balance to this card with an introductory APR rate of 0 percent that lasts for 18 months. This means that during these 18 months, you are not charged interest rate on the card. This will allow you comfortably transfer your balance and have enough time to prepare to clear the balance.
When choosing an introductory rate, you need to evaluate the amount you have accrued on your card and how sooner you can repay. Some cards that allow 0 percent intro rates are likely to place higher interest rates after the introductory period. This means that if you have the financial ability to repay your debt within a short time, you may need to choose a card that has a lower interest intro rate but which offers a lower APR after the intro period.
With Discover It, the variable purchases APR applies and as at the time of writing this review (March 2013), the card was attracting variable purchase rate of 10.99 to 20.99 percent. The card also has a 0 percent introductory APR on purchases of products for 6 months. With this card, you can also get 5 percent cashback at restaurants and movies through the month of March 2013 for up to $1,500 in total of purchases made. All other purchases attract 1 percent cashback. If you would like a credit card deal that promises handsome cashback perks, then this may be a good option.
In addition, this card has no annual fees meaning that you will not pay annual maintenance fees. Similarly, there is no fee charged on overlimit. Moreover, there is no fee for your first late payment and this means that although you may not be charged for your first late payment, you do not need to make your payment late. This can give a bad impression and could affect your negotiation power whenever you have problems making payments within the stipulated date.
Last but not least, the Discover It card does not charge foreign transaction fees. If you are struggling with a current credit card balance that attracts high interest rates, you may consider switching or transferring your debt to Discover It reward card. This will help you manage your repayment plan. The 0 percent introduction APR running for 18 months can give you sufficient time to plan on how to clear the balance. However, this card may be a good option if you feel that you cannot clear the balance in the short term.
How to Maximize the use of Credit Card Rewards
There is growing trend on use of credit cards and one thing that has contributed to this phenomenon is the rewards programs being offered by the card issuers. In order to meet the increasing need for use of the cards, the issuers have developed different card reward programs that match different user needs. You will virtually get reward credit cards for different shopping and travel needs including hotel rooms, grocery store purchases, gasoline, restaurants, foods and cashrebate programs.
A new trend has been observed where some spenders have devised ways to use their purchasing power to gain on the perks offered by the cards. In a report by Wall Street Journal, homeowners planning to construct or remodel their homes are putting staggering amount of over $100,000 on their reward cards. The use of these cards should be done correctly otherwise with the large number of cards in the market; it may be confusing to choose the right one.
Before you choose a card, you need to evaluate the reason why you need it. One major aspect you need to consider is your spending habit. You need to check where your money goes to including travel and purchase of food stuffs. If you are business traveler, it is certain that you want to save money in your trip expenses. Using credit card rewards can help you garner points which you can redeem for airline tickets or hotel stay.
Hotel and airline reward cards enable you earn points when you stay in designated hotel facilities or fly on certain airlines. These cards also give you redeemable points in your day-to-day spending, which you can use for hotel rooms or air tickets. For example, Gold Delta Sky Miles credit card issued by America Express offers you a 30,000 bonus miles but this is subject to spending $500 in your first three months of use.
If you are a spender who is trying to make ends meet, perhaps cash back card programs could be a good option. Your spending habits will guide you on which card program to go for. You should consider where you will use the card and how you plan to use it. The need to spend your money should not be enticed by the reward programs. This means that you should not stretch your spending in order to garner points.
The use of the card should come as part of your normal spending patterns. You do not have to take a major home remodeling so that you benefit from a credit card reward, however, if you are planning your do your renovation, it is not a bad idea to consider one. You will save money and garner points that you can redeem for cashbacks or holiday vacation.
Large purchases can help you rack up your points fast but one thing you need to remember is that these cards lose their value especially if you begin to experience high interest rate charges. If you are spending large amount from your credit cards, you may need to consider doing that during intro periods so that you have sufficient time to pay off the balance before the issuer starting charging interest.
Some cards will give an introductory period of up to 18 months. This is sufficient time for you to make arrangement to pay the balance, otherwise, you risk suffering from credit card debt, which can ruin your finances. Credit card debits can be difficult to service because the rates sky rocket very fast and with large percentages making it difficult to settle the amount you are owed. You may have credit cards balances attracting interest rates of up to 35 percent if you have balances rolled over.
A new trend has been observed where some spenders have devised ways to use their purchasing power to gain on the perks offered by the cards. In a report by Wall Street Journal, homeowners planning to construct or remodel their homes are putting staggering amount of over $100,000 on their reward cards. The use of these cards should be done correctly otherwise with the large number of cards in the market; it may be confusing to choose the right one.
Before you choose a card, you need to evaluate the reason why you need it. One major aspect you need to consider is your spending habit. You need to check where your money goes to including travel and purchase of food stuffs. If you are business traveler, it is certain that you want to save money in your trip expenses. Using credit card rewards can help you garner points which you can redeem for airline tickets or hotel stay.
Hotel and airline reward cards enable you earn points when you stay in designated hotel facilities or fly on certain airlines. These cards also give you redeemable points in your day-to-day spending, which you can use for hotel rooms or air tickets. For example, Gold Delta Sky Miles credit card issued by America Express offers you a 30,000 bonus miles but this is subject to spending $500 in your first three months of use.
If you are a spender who is trying to make ends meet, perhaps cash back card programs could be a good option. Your spending habits will guide you on which card program to go for. You should consider where you will use the card and how you plan to use it. The need to spend your money should not be enticed by the reward programs. This means that you should not stretch your spending in order to garner points.
The use of the card should come as part of your normal spending patterns. You do not have to take a major home remodeling so that you benefit from a credit card reward, however, if you are planning your do your renovation, it is not a bad idea to consider one. You will save money and garner points that you can redeem for cashbacks or holiday vacation.
Large purchases can help you rack up your points fast but one thing you need to remember is that these cards lose their value especially if you begin to experience high interest rate charges. If you are spending large amount from your credit cards, you may need to consider doing that during intro periods so that you have sufficient time to pay off the balance before the issuer starting charging interest.
Some cards will give an introductory period of up to 18 months. This is sufficient time for you to make arrangement to pay the balance, otherwise, you risk suffering from credit card debt, which can ruin your finances. Credit card debits can be difficult to service because the rates sky rocket very fast and with large percentages making it difficult to settle the amount you are owed. You may have credit cards balances attracting interest rates of up to 35 percent if you have balances rolled over.
How Easy Is It To Trade Profitably In Commodity Futures Market?
Trading in commodity futures market can be quite easy if only you follow the cardinal rules which have been applied by the successful traders. Almost every trader in futures market loses but the secret in profiting in this market is to manage risks. Many traders are not able to manage risks because they do not have trading plans, and do not manage their equity. They also do not leverage their gains and losses. Moreover, they do not get substantial education on how the market works.
If you want to trade easily and profit in this market, you have to follow the rules and be disciplined in your trades. The following tips can help you trade easily and profitably in the long run in futures commodity markets;
- You need to scale down your losses. Every trader in futures market experiences losing positions. There are many losses you will trade in any given trading period. In fact, you may find that the losing trades are more than the profiting trades. The big question is; how to you leverage the losses and gains?
- In order to manage losses and increase your gains, you have to trade with very minimal amount in relation to your equity. The amount with which you trade with will largely be determined by your account equity. You need to leverage the risks of loss to about 2% of your total equity. This means that in the event you trade in losses as it is likely to happen most of the time, you will only incur small losses
- You need to use stop loss orders properly. This is essential because you do not know when the market movement will turn against your position. At one moment you may be trading in profit and the next moment you are trading in loss. When this happens, you may be saved from suffering huge losses in your account by a stop loss order.
- You also need to maximize your profiting trade. Because you will occasionally get a profiting trade, when it happens, you need to optimize it. This does not means that you have to trade with a big percentage of money. You should always ensure that you do not exceed a risk loss of more than 5% of your account equity. When you are trading in profit, you need to hang on and ensure your position keeps on running until you have gained substantial amount. This is the amount which offsets the numerous small trading losses you have incurred.
- You should avoid exiting profiting market prematurely and should let the profits run but on the other hand, you should not overstay a position. If you have gained the targeted amount, you may decide to exit the market even if the position is trading in profit. This is because, the more you hold on, the more you are likely to lose at the end of the trade.
Why Should You Avoid a Margin Call When Trading in Commodity Futures Market?
A margin call occurs when the value of positions in your account exceeds the amount that is available as equity in your account. Mainly traders result to margin calls because of poor trading practices. When trading in futures markets, you are advised to watch the contract size and ensure that you do not over trade your account. There are a number of things, which you can do to avoid being issued with margin calls and they include;
• Trading with very low risk margins
• Not overtrading your account
• Using stop loss orders appropriately
• Avoiding entering a trade unprepared
• Avoiding premature entry and exit of positions
• Trading with the trend and avoiding speculations
It is essential that you leverage the loss that you can bear. You should not risk more than 5% of your account equity. If you can maintain a risk percentage of about 2%, it means that even if the prices of the commodities go against your trade, you will not suffer from margin calls.
It is your responsibility to understand what a margin call means. You need to keep your account fully margined in all your trades. The futures commodity trading is highly profitable to the disciplined and experienced investors. However, for those who lack self management in trading, they are prone to risks of losing their money through extended losses.
When you are trading in this market, there are risks which range from system failures, illiquidity to market volatility. The possibility of changing political and economic conditions also affects the market substantially. There is a lot of enticement when it comes to futures commodity trading. This is because there is a high degree of leveraging available.
You can leverage what you want to gain as well as what you are willing to lose. If you want to gain big profits, you have to risk big losses. Because of the volatile nature of the market, price movements can change unexpectedly and this leads to a disproportional effect on your equity. Whereas the market movement may work in favor of your position, it may also go against your trade.
There is a possibility to sustain a total loss in initial margin funds and this is where you are required to deposit additional funds in order to maintain your position. When your account becomes under-margined, it means that it is insecure at that time and there is no adequate collateral equity in your account to support any further price movements against your position. At this time, a margin call is issued. This means that your order is cancelled and you meet any deficiency or debt balance as a result of the call.
In essence, if you trade with the trend and avoid speculating the market movement, you are able to avoid getting into a situation where your account equity is put at risk. In addition, if you understand the right time to enter and exit the market you are also able to manage unexpected losses.
You should trade with very minimal percentage of your overall equity in order to bear the losses in the event of an untimely change in market movement. You also need to safeguard your position with a stop loss order.
• Trading with very low risk margins
• Not overtrading your account
• Using stop loss orders appropriately
• Avoiding entering a trade unprepared
• Avoiding premature entry and exit of positions
• Trading with the trend and avoiding speculations
It is essential that you leverage the loss that you can bear. You should not risk more than 5% of your account equity. If you can maintain a risk percentage of about 2%, it means that even if the prices of the commodities go against your trade, you will not suffer from margin calls.
It is your responsibility to understand what a margin call means. You need to keep your account fully margined in all your trades. The futures commodity trading is highly profitable to the disciplined and experienced investors. However, for those who lack self management in trading, they are prone to risks of losing their money through extended losses.
When you are trading in this market, there are risks which range from system failures, illiquidity to market volatility. The possibility of changing political and economic conditions also affects the market substantially. There is a lot of enticement when it comes to futures commodity trading. This is because there is a high degree of leveraging available.
You can leverage what you want to gain as well as what you are willing to lose. If you want to gain big profits, you have to risk big losses. Because of the volatile nature of the market, price movements can change unexpectedly and this leads to a disproportional effect on your equity. Whereas the market movement may work in favor of your position, it may also go against your trade.
There is a possibility to sustain a total loss in initial margin funds and this is where you are required to deposit additional funds in order to maintain your position. When your account becomes under-margined, it means that it is insecure at that time and there is no adequate collateral equity in your account to support any further price movements against your position. At this time, a margin call is issued. This means that your order is cancelled and you meet any deficiency or debt balance as a result of the call.
In essence, if you trade with the trend and avoid speculating the market movement, you are able to avoid getting into a situation where your account equity is put at risk. In addition, if you understand the right time to enter and exit the market you are also able to manage unexpected losses.
You should trade with very minimal percentage of your overall equity in order to bear the losses in the event of an untimely change in market movement. You also need to safeguard your position with a stop loss order.
Top Reasons Why Traders Lose Money in commodity Futures Trading
As much as the commodity futures market can earn you good money and in an easy way, on the other hand, you can easily fall into the market’s trading pitfalls. Apparently a big number of those who lose in this market display some common trading characteristics. If you have to be among those who benefit in this trade, you need to avoid the common mistakes, which are made by about 80 to 95% of those who trade in futures market. Some of these mistakes are;
• Lack if an in-depth training on the market
• Over leveraging in commodity trading
• Poor account equity management
• Lack of a concise commodity trading plan
If you plan to trade in commodity futures market, you do not have to be the best trader but it is important that you acquire fundamental knowledge and skills on how this market trade works. What this means is that you have to gain more knowledge other than the typical futures margins, contract sizes, ticker symbols, or entering and exiting an order position.
The good thing is that there are many resource books, which you may read and can help you trade wisely. In this trade, you are competing with some of the most professional traders in the market who have a wealth of experience. You have to remain focused and follow the strategies which have been applied by others that have succeeded in the trade.
Moreover, many traders fall in the trap of poor leveraging strategy. You need to leverage between what you can lose and what you can gain. The most impacting part is the losing trade. When you enter into a contract that risks your entire account, you could easily lose all your money with just a couple of losing positions.
It is therefore important not to risk your account with one trading position. In addition, you should not trade in contracts, which are too large for your account. You need to watch on the contract size you are trading in.
Managing your account becomes a challenge for many people who trade in futures commodity market. This happens because many traders want to gain big money so fast not realizing that a wrong move could leave their accounts wiped out completely. You should not risk more than 5% of your account in just a single trade position. You can leverage your risk to about 2% on one trade.
However, this becomes a challenge especially when you find that you are trading in profit. Since you want to maximize your profits, you end up risking more so that you earn more. What happens is that in the event the market prices shifts somewhere down the line in your trade, you suffer greatly.
However, you can manage this aspect by placing stop loss orders away from your entry so that you are safeguarded from huge losses should the market prices shift against your trade. A plan is essential in order to monitor your trading. However, many traders trade blindfolded without any plan and this means that they are prone to making erratic trading mistakes that cost them dearly. The plan may entail the markets, which you will trade.
The contract size you have to use as a well as your exit and entry strategies may also be featured in the plan. In addition, your plan has to feature the stop loss order strategies that you apply in any given trade. The risk management strategies are also included in this plan. With this tool, you are able to trade carefully and reduce risks, which face most of the traders.
• Lack if an in-depth training on the market
• Over leveraging in commodity trading
• Poor account equity management
• Lack of a concise commodity trading plan
If you plan to trade in commodity futures market, you do not have to be the best trader but it is important that you acquire fundamental knowledge and skills on how this market trade works. What this means is that you have to gain more knowledge other than the typical futures margins, contract sizes, ticker symbols, or entering and exiting an order position.
The good thing is that there are many resource books, which you may read and can help you trade wisely. In this trade, you are competing with some of the most professional traders in the market who have a wealth of experience. You have to remain focused and follow the strategies which have been applied by others that have succeeded in the trade.
Moreover, many traders fall in the trap of poor leveraging strategy. You need to leverage between what you can lose and what you can gain. The most impacting part is the losing trade. When you enter into a contract that risks your entire account, you could easily lose all your money with just a couple of losing positions.
It is therefore important not to risk your account with one trading position. In addition, you should not trade in contracts, which are too large for your account. You need to watch on the contract size you are trading in.
Managing your account becomes a challenge for many people who trade in futures commodity market. This happens because many traders want to gain big money so fast not realizing that a wrong move could leave their accounts wiped out completely. You should not risk more than 5% of your account in just a single trade position. You can leverage your risk to about 2% on one trade.
However, this becomes a challenge especially when you find that you are trading in profit. Since you want to maximize your profits, you end up risking more so that you earn more. What happens is that in the event the market prices shifts somewhere down the line in your trade, you suffer greatly.
However, you can manage this aspect by placing stop loss orders away from your entry so that you are safeguarded from huge losses should the market prices shift against your trade. A plan is essential in order to monitor your trading. However, many traders trade blindfolded without any plan and this means that they are prone to making erratic trading mistakes that cost them dearly. The plan may entail the markets, which you will trade.
The contract size you have to use as a well as your exit and entry strategies may also be featured in the plan. In addition, your plan has to feature the stop loss order strategies that you apply in any given trade. The risk management strategies are also included in this plan. With this tool, you are able to trade carefully and reduce risks, which face most of the traders.
Understanding the Futures Contracts
Futures market is a marketplace where buyers and sellers engage in commodity selling contracts. Although the futures contracts state the price and when it is paid as well as the date of delivery of the products, almost all futures contracts end without the actual delivery of commodities. The futures contract is an agreement between two parties.
One party takes a short position and this is the party who agrees to deliver a commodity and a long position is taken by the other party who agrees to receive a commodity. The price of futures is represented by an agreed-upon price of the commodity in question. A financial instrument may also be used to determine the price of the commodity.
The profits and losses of futures contracts largely depend on the daily price movements that are witnessed in the market. The profits and losses are calculated on daily basis. Unlike the stock markets, the futures positions are adjusted or settled on a daily basis and this means that profits and losses are deducted or credited on the traders’ accounts on a daily basis based on the movement of the price as agreed upon in the contract.
Since the accounts of the parties engaged in a futures contract are adjusted every day, this means that most transactions in this market are settled in cash. What happens is that the actual physical commodity is bought and sold in the cash market but not in the futures market. Depending on how the prices change every day, when the two positions decide to close their contract, one will have lost and the other gained but this depends on how the prices have changed over that period.
In the real sense, none of the parties actually go to the market to buy or sell these commodities and this means they only act as speculators of the price movements. This is how the futures contracts are derived. The futures contract is more like a financial position and the position takers are actually speculators.
The short speculator is the one who agrees to deliver the commodity and the long speculator is the one who agrees to receive the commodity. But because neither of these parties will go to the market to buy or sell the commodity even after the contract expires, it means that all the deals are settled in cash.
Futures markets are important economic tools since they help determine the supply and demand of commodities today and in the future. The continuous flow of information from around the world affects the prices. Factors like war, weather changes, debt defaults, government regulations on major currencies as well as crop reports all affect the market prices.
It is this kind of information and the way people tabulate and absorb it, which constantly keeps on influencing the price of the commodities in the futures market. This is a process known as price discovery. Because the price of commodities is pre-set, this reduces the risks. The traders know how much they will need to buy and sell.
One party takes a short position and this is the party who agrees to deliver a commodity and a long position is taken by the other party who agrees to receive a commodity. The price of futures is represented by an agreed-upon price of the commodity in question. A financial instrument may also be used to determine the price of the commodity.
The profits and losses of futures contracts largely depend on the daily price movements that are witnessed in the market. The profits and losses are calculated on daily basis. Unlike the stock markets, the futures positions are adjusted or settled on a daily basis and this means that profits and losses are deducted or credited on the traders’ accounts on a daily basis based on the movement of the price as agreed upon in the contract.
Since the accounts of the parties engaged in a futures contract are adjusted every day, this means that most transactions in this market are settled in cash. What happens is that the actual physical commodity is bought and sold in the cash market but not in the futures market. Depending on how the prices change every day, when the two positions decide to close their contract, one will have lost and the other gained but this depends on how the prices have changed over that period.
In the real sense, none of the parties actually go to the market to buy or sell these commodities and this means they only act as speculators of the price movements. This is how the futures contracts are derived. The futures contract is more like a financial position and the position takers are actually speculators.
The short speculator is the one who agrees to deliver the commodity and the long speculator is the one who agrees to receive the commodity. But because neither of these parties will go to the market to buy or sell the commodity even after the contract expires, it means that all the deals are settled in cash.
Futures markets are important economic tools since they help determine the supply and demand of commodities today and in the future. The continuous flow of information from around the world affects the prices. Factors like war, weather changes, debt defaults, government regulations on major currencies as well as crop reports all affect the market prices.
It is this kind of information and the way people tabulate and absorb it, which constantly keeps on influencing the price of the commodities in the futures market. This is a process known as price discovery. Because the price of commodities is pre-set, this reduces the risks. The traders know how much they will need to buy and sell.
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