Welcome one and all to Ireland Credit Card.

Ireland credit card is an independent review of credit cards in Ireland only. We review Bank of Ireland credit cards, MBNA credit cards as well as many others. Ireland Credit Card doesn’t endorse Irish credit card companies, we simply provide the facts.

We will be reviewing on an individual basis, credit cards from Bank of Ireland, AIB, TSB and MBNA as well as the lesser known ones. We will also be providing reviews and suggestions on student credit cards in Ireland and which offer the best rates and services. We have also provided a rundown on the rip off that is the Irish government levy on credit cards in Ireland and how to avoid getting yourself into the nightmare of debt. We will be offering tools for credit card management and friendly personal advice to anyone who asks. Once again, welcome!

Ireland Credit Card is run by a group of University students and provides a detailed and TRUE information on how to apply for card credit in Ireland only. We are not affiliated with any of the Irish credit card banks mentioned here and we are always open to any information, feedback or comments on any of our reviews.

“Want to shop online to buy flights, tickets, download music but don’t have a credit card? Want to order clothes from a mail order catalogue but don’t have a credit card?”

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What is a 3V Voucher™?

The Virtual Value Voucher, or 3V Voucher™, is a disposable 16-digit prepaid VISA debit number, which is printed onto a paper receipt from a point-of-sale terminal in participating retailers. The 3V Voucher™ is issued by permanent tsb, one of the largest banks in Ireland, in association with VISA, one of the world’s largest payment card schemes, and 3V™ Transaction Services Ltd.

The 3V Voucher™ can be used to shop on the Internet, over the telephone or through mail order in exactly the same way as you would use a credit or debit card. The 3V Voucher™ is accepted worldwide on the Internet or for telephone and/or mail order wherever the VISA logo is displayed. It can be used to make any number of transactions up to the monetary value of the 3V Voucher™ purchased and, when the funds are all spent, you just throw it away.

* No Credit Checks, No Application Forms and No Bank References needed
* No Stamp Duty or Interest Charges, just a nominal €5 surcharge for every 3V Voucher™ purchased
* 3V Voucher™ is issued by permanent tsb in association with VISA and 3V™ Transaction Services Ltd.
* 3V Voucher™ is accepted worldwide on the internet or for telephone and/or mail order wherever the VISA logo is displayed.

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Terms and conditions apply. The 3V Voucher™ is issued by permanent tsb in association with VISA and 3V Transaction Services Ltd. permanent tsb is a trading name of Irish Life & Permanent plc which is regulated by the Financial Regulator.

Apart from making sure your bank has issued with a NOW STANDARD CHIP AND PIN , Here is a list of measures that you should adopt to protect your credit card against fraud in Ireland and abroad:

Identity protection: The credit card supplier includes some instructions with the credit card, at the time of delivering it to you. The very basic instruction is to put your signature in the white space/box at the back of your credit card. A lot of people tend to be lazy and defer it for later (and that later never comes). This signature is used by the merchants to ascertain the identity of the credit card holder. This protects you against possible fraud in the event of your credit card getting stolen or lost. Though a lot of credit suppliers have started using other means like chip-pin (wherein you need to enter a pin number in the card reader machine instead of a signature) and picture credit cards (credit cards bearing your picture on them), a lot of merchants still use the traditional signature matching mechanism. So just sign it, it takes just 2 seconds.

Destroy before disposal: Sifting garbage for credit card details seems to have become pretty popular with the fraudsters. To protect yourself against such fraudsters, you must destroy (shred or tear to small pieces) any mail/documents containing your credit card details, before disposing them off.

Use anti-spyware software: Since the advent of internet technology, online shopping and payments have become very common and convenient. However, with that, fraudsters have also started using spyware to intrude into your privacy and to get details of your credit card, when you make an online purchase. Anti-spyware software protects you against such fraudsters. There are hordes of anti-spyware softwares available in the market and you can choose the one that best suits you. You should however check the credentials of the anti-spyware software provider before going for one (lest you end-up with a spyware instead).

Be Vigilant: Don’t lose sight of your credit card when making payments at shops/restaurants etc. You never know when a fraud clerk might swipe it multiple times. This is especially important if you are using your credit card at a place whose reputation is not known to you or if you are using your credit card overseas. The chip and pin type of credit cards seem to provide respite from such frauds.
Another time to be vigilant is when you are entering your pin number either to withdraw cash from cash machines (or ATMs) or to make a payment using chip-pin arrangement. This pin is as good as your signature and you need to make sure that you don’t reveal it to anyone, not even accidentally. Also, if you find any suspicious device attached to a cash machine, do not use it and immediately report the matter to the cash machine owner. Beware; it could be a card copying device.

Information sharing: Don’t reveal your credit card details to strangers especially people you find in chat rooms on the internet. In fact, don’t share credit card details with friends or anyone else either. Even if they don’t commit a fraud by themselves, they might end up revealing the details (accidentally or otherwise) to a fraudster.

That is a list of essential measures which you should adopt immediately. A list of precautions and instructions is also provided by all credit card suppliers at the time of credit card delivery. You should contact Bank of Ireland, AIB or whoever issued your card if you require any further advice on how to protect yourself.

Finally, you should all now be using teh standard chip and pin feature. No retailers should be asking you to sign anything. Remember, don’t give out your PIN to ANYONE, especially not the clerk in the shop you are using it. Stay safe, use your head!

Getting out of this difficult situation is not as easy as getting into it. You can’t turn the things around overnight to get rid of credit card debt (unless you win a lottery or something like that). What it needs is proper planning, perseverance and patience.

So first you need to analyze how bad your current debt situation is. Get the data together for all your credit card debts and figure out what your total debt amount is. You might like to maintain this information in a diary and track it on a monthly basis so that you are always up-to-date with your debt situation.

Next you will need to find out what debt is hurting you most e.g. which credit card has the highest APR. This is the one which you would like to clear off on priority basis. Also, check if you have been defaulting on the payments for any of your credit cards and as a result of that incurring a late fee. Late fee is something which you surely want to avoid. So make sure that in the process of paying back your debt on one credit card, you don’t end up paying late fee on the others. What you can do is pay the minimum amounts required for each credit card and then pay any additional amount towards the debt payment of the card with the highest APR.

This means that you will need to calculate your monthly expenses and then figure out what is left from your pay/salary after you have met these monthly expenses. This will give you the total amount that you can pay towards minimum payments and towards debt payment. It goes without saying that you will need to evaluate how you can limit your monthly expenses to a minimum. Yes, you do need to be disciplined in your spending habits and suppress some of your desires (spending desires) until you get rid of the monster called credit card debt.

Another good option is to check with the credit card company (ies) if they can help you in getting rid of debt by lowering the APR on your credit account.

If after doing all this analysis, you find that it’s proving difficult to get out of credit card debt (may be because the situation is just too grim), you may have to go for other options like debt consolidation or a bank loan or maybe filing for bankruptcy. If you are not comfortable in dealing with this situation all by yourself, you may seek professional help.

The journey is long and tiring, however, the joy of getting rid of debt can’t be compared to anything.

Put simply, credit card debt consolidation is about shifting (transferring balance) your debt from one or more of your credit cards to another credit card. Generally you transfer balances from the higher APR credit card to the lower APR one. This obviously means that you are trying to reduce your outgo on the interest component of the credit card debt and hence reducing the rate at which your current debt is building up (this, of course, doesn’t include the new debt created by new spending). Other, less significant, reasons for balance transfer could include things like additional benefits on the new credit card, ease of debt tracking, lower annual fees etc.

So what are the things to look for when going for debt consolidation?

First thing, of course, is to do some research on what credit cards can give you a lower APR. You can gather this information quite easily by looking over the internet or newspapers or visiting bank branches. You can also phone the credit card suppliers and request them to post brochures to your address. Newspapers and televisions are full of advertisements offering balance transfers at attractive APRs. So getting all this information is really easy.

Once you have all this information, just check what benefits each one is offering and evaluate the benefits in the same way as you would do for a new credit card. You might like to decide the parameters of evaluation at first and then prepare a comparison table filling in the data from various balance transfer offers. This will help you in quickly and easily comparing the various balance transfer offers and making a decision on which one best suits your needs.

Note that sometimes the offers might look very attractive on the face of them but actually have twisted terms and conditions at the back. For example, some credit card suppliers might be offering a lower APR only for a short term. Their long term APR rate might actually be more than or equal to that of your current credit card(s). So unless you are fully confident of wiping out your debt in the lower APR period, such an offer would not mean anything to you. Some others might offer a lower APR but charge a hefty balance transfer fee, thus making them unattractive.

Also read the fine print of terms and conditions carefully. This is even more essential for you since you already have enough problems on hand and don’t want any more.

You might also want to check with your current credit card supplier(s), if they can lower the APR rates. If they make you an offer, you might like to evaluate the same against the hassle of shifting to a new credit card. It’s a good idea to cursorily check the balance transfer offers available in the market, before you query your credit card supplier for the same.

Another option is to contact a debt assistance company for professional advice.

However you do it, debt consolidation is surely a step in the right direction.

Now what’s so special about small business credit cards?

Well, if you were to look at a very high level, there isn’t much difference. As any other credit card, the small business credit cards too offer credit albeit to a small business. However, the specialty about small business credit cards lies in the benefits it brings to the small business (and hence to the small business owner). These benefits include things like flexible credit limit and attractive APR.

However, the most important benefit lies in business expense accounting which is automatically taken care of by the small business credit without you spending any effort or any money for that. The only thing that you have to do is ensure that you make your business related payments using your small business credit card and all the personal expenses on your personal credit card. So all you are doing is just segregating your business and personal expenses. When the bill for the small business credit card arrives, you have all the business expense data sitting pretty & accurate in a well organized manner. In fact some of the credit card suppliers even group the various expenses under specific heads so as to further facilitate business expense accounting.

Also, since your personal and business expenses are segregated, you can do your financial and budget planning on both the fronts (personal and business) in a much better way.
The segregation of personal and business expenses also facilitates tax planning which otherwise becomes a nightmare.

Another advantage is in terms of the credit rating. Like with personal credit cards, small business credit cards too lead to a credit rating getting developed. In this case it is for your small business. So a small business can use these credit cards to develop and establish their credit worthiness in the market.

Small businesses, by their inherent nature, develop need for immediate cash for short periods of time. Arranging for bank loans each time is not just time consuming but also a big hassle. In such a scenario small business credit cards can become very handy. You can not only get the credit immediately (by using credit card to pay for these expenses) but also get it interest free (for a short period). The flexible credit limit on small business credit cards too plays its part by ensuring that this requirement is met significantly if not in full.

The other benefits associated with credit cards i.e. membership benefits, discounts etc are applicable for small business credit cards too. In fact, in this case these benefits grow in size due to the sheer fact that a business needs such services much more than an individual (and hence the benefits aggregate for a small business). A small business owner should consider such benefits when choosing a small business credit card for his/her business e.g. a business involving a lot of air travel could go for a co-branded credit card offered by an airline. Such credit cards will not only provide discounts but also offer things like free travel insurance.

With so many benefits, going for a small business credit card seem more of a prudent decision than anything else.

First you need to evaluate your needs accurately and completely. You could do it in a bit of formal way, if you like. Just jot down the reasons for why you want a credit card. Different people have different needs and that is exactly the reason why there are so many different credit card offers in the market.

If you are going for a credit card because you sometimes need credit i.e. you sometimes need to borrow money, then one of the most important factors to look for could be the APR of various credit cards. APR determines the interest that the credit card supplier would charge you if you don’t pay the whole amount you owe them (within the stipulated time) i.e. if you make only a partial or no payment of your credit card bill. APR is not a consideration for people who are confident of paying off the bill in full every month. However, if you have even an iota of doubt you should include APR on your list of comparison parameters. Yet another consideration for such people would be the interest free period. However, the variation of interest free periods across various credit cards is not too much.

Some people need a credit card just for the purpose of online shopping or just for the convenience offered by credit cards in making payments etc. For them, the main points to consider would be the credit limit and the shopping discounts etc offered by the credit card. So if you plan to use your credit card for making every possible payment, then you might like to evaluate your monthly expenses and check which credit card offers sufficient credit limit to cover your monthly expenses. If your shopping is concentrated on or limited to some shops in particular, it might be a good idea to check with such shops if they offer a credit card too. Some major retail chains, grocery stores and other big shops, offer credit cards which entitle you to discounts when you make payments at their shop using the credit card issued by them. Similarly, if you travel a lot, a credit card which offers you travel discounts or free travel insurance might be a better bet. A lot of airlines and hotels offer such credit cards. Some of these also include discounts on car rentals. For people wanting to do a lot of foreign currency transactions on their card, the commission charged by the credit card supplier or the currency conversion rate applied by the credit card supplier (vis-à-vis others) might be an important factor.

Another point to note is that filing an application for a credit card doesn’t mean that you will get the credit card for sure. The credit card companies have their application scanning and approval procedures which they use to determine whether a particular individual is qualified/worthy-enough to get a credit card from them. The parameters include things like your age, your pay-back capability, your credit rating etc. It’s worth noting that some credit cards are designed keeping in mind some special needs too e.g. you have small business credit cards for small businesses, student credit cards for students, dependent credit cards for dependents and debit/secured credit cards for people with bad credit rating.

So just make a good choice and enter the world of credit cards with confidence

Yes, repairing a credit rating is possible. If you have recognized the importance of credit rating, you have already taken the first step towards mending it. You might like to start with getting your credit report from the national credit bureau. This is especially important if you (and your credit card) have been a victim of credit card fraud in the recent times. You might need to inform the credit bureau if you find that the fraud has earned a bad credit rating for you. Even otherwise, if you feel that there is something unexpectedly wrong with your credit rating, you might have to take up the matter with the credit card supplier and the Irish credit bureau.

Now for the more common scenario, i.e. where you know that you have been responsible (or rather irresponsible) for your bad credit rating. In such a case you would already know about some of the things that have contributed to a bad credit rating and you will need to take care of those things in future. However, here is a list of things that you need to do in order to repair your credit rating.
Set reminders to remind you of the payment due date for your credit card bill, your mortgage installments and any other loan installments. Defaulting on these will hit your credit rating the most. These reminders will help in preventing your credit rating from getting worse.

Do not apply for too many credit cards or loans. These applications reflect badly on your financial situation and hence negatively influence your credit rating. Moreover, managing too many credit cards and loans becomes too much of a hassle. Further, too many credit cards may also mean a bigger outgo in terms of annual fee (if any) charged by the credit card supplier. In fact, you should try and close any credit accounts that you possibly can especially the ones having long standing debt.

Remain within limits (i.e. credit limits). Credit limit is a way of limiting the amount you can spend on your credit card in a particular period (monthly). It doesn’t mean that you have to necessarily spend that amount. Neither does it mean that your credit card is under-utilized if you don’t spend that amount your credit. Spend only as much as you need to and always try to remain within 70% of your credit limit.

Protect yourself from fraud and fraudsters. Besides the possible losses that are caused by a fraud, you can also end up tarnishing your credit rating. Though the credit rating can be resolved to a certain extent but it is not free from hassles and is a time consuming process. Follow the fraud prevention instructions and even consider using anti-spyware software (if you use your credit card for online shopping).

If the situation is so bad that your credit card applications are getting refused then you can go for a secured credit card (also known as debit card). These require you to open a savings/current account with the bank and always maintain some balance in that. Your credit limit is governed by the amount you hold in your account. You can then use this credit card in an orderly manner so as to improve your credit rating.
In short, the key to credit rating repair lies in a lot of discipline and patience.

Let’s first see what actually a credit rating is. Put simply, credit rating is the rating that tells your credit worthiness. The credit rating is calculated by the designated credit bureaus on the basis of the data supplied by various credit card agencies (or other credit providers / financial institutions). In other words, if you have been defaulting on your credit card bill payments or on the installments of your loan or mortgage, you would earn negative points and hence spoil your credit rating.

The credit rating is the most important parameter that is considered by any bank or financial institution at the time of processing your loan/credit-card/mortgage application. A bad credit rating will almost surely lead to rejection of your application. On the other hand a good credit card rating will see your application sail through easily and quickly.

Some companies check the credit ratings of job applicants in order to determine how responsible a particular individual is. Amazing, isn’t it?

Thus, the importance of credit rating cannot be undermined in any way. You need to be constantly aware of this fact and always work towards maintaining a good credit rating.
The good news is that maintaining a good credit rating is not that tough at all. There are few small things that you need to take care of. Let’s see what these are.

Firstly, you need to ensure that you do not exhaust the credit limit on your credit card. Generally 70% of credit limit is considered to be a good benchmark and you should try and limit yourself to this benchmark. It doesn’t take much to do this. Just refrain from buying too much stuff at the same time. There always are things which can wait. So prioritize your shopping list. If you can’t afford to pay for something with your salary or your bank balance, avoid buying it. You must understand that credit card is not ‘free money’; you need to pay back whatever you spend on your credit card. A small tip is – enter a shop only if you NEED something from that shop and not because it is offering 50% discount, otherwise you will end up buying something you don’t really need.

Another way to control your credit card spending is to use cash on some occasions and leaving the credit card home. This will help especially if you are an impulsive shopper. With reduced shopping power, you will end spending lesser and more so spare your credit card (and the credit rating) in the process.

As with credit card payments, you must also make sure that you don’t default on your mortgage/loan installment payments. All these contribute to your credit rating. Also, do not apply for too many loans at the same time. Not only is it difficult to handle them at the same time but also leads to a bad credit rating (since that is a reflection of you having run out of money).

Broadly speaking, you just need to ensure that you make all your credit card payments in a timely manner and that you maintain good spending habits. This is enough to pave the path to a good credit rating. Especially in todays shopping world in Ireland, it is increasingly more important to have a decent credit rating as many retailers now offer credit.

*** In out next edition, we look at repairing your credit rating ***

Since most of the students do not have a job or a regular source of income, the credit card suppliers have to tackle the risk of credit card holder (i.e. student) not being able to pay their credit card bills. The situation is further compounded by the fact that for most of the students, the student credit card is their first credit card. This means that they have no experience in using credit cards. To cover these risks, the credit card suppliers impose certain additional restrictions on the student credit cards. One of the main restrictions is the credit limit which is generally kept much lower for student credit cards (generally it is 500-1000). Another important difference is in terms of the APR which is higher for the student credit cards. Again, this is to dissuade the students from defaulting on their payments. Moreover, a parent is generally required to co-sign or act as a guarantor for a student credit card. Thus the credit card company tries to cover its risk in all possible ways.

However, student credit cards are really good for students in more than one ways. The first obvious thing is that they are able to take advantage of benefits, which come along with the credit cards, much earlier in their lives. This includes things like being able to shop online, getting discounts on shopping, cash-back offers, ease of carrying a plastic as opposed to cash, etc. However, one very important benefit is learning how to use a credit card. Since most of the students are new to the world of credit cards, the student credit card is like a training ground for them to learn good habits and to understand the various benefits associated with credit cards. It is recommended that students go through various instructions etc that are supplied with the student credit card and understand them. These will not only help them in using their student credit card in the best way but will also help them when it comes to choosing a personal credit card at a later stage in their life. The lower credit limit and higher APR are in fact good in that sense (for training sake).

Another indirect benefit from student credit cards is the building up of credit rating. As we know, all credit accounts are reported to the credit bureaus that use the data to build and maintain a credit rating for the credit card holder. So a student credit card too contributes to credit rating. If used in the right way, a student credit card can help build a good credit rating for the student. Having a good credit rating even before you enter professional life is the best thing to happen. Besides the benefits related to faster processing of loans and mortgage applications, a good credit rating can also help get into a job (some employers check the credit ratings of the job applicants in order to gauge how responsible they are).

So there are tremendous benefits associated with student credit cards and it makes perfect sense for students to go for such credit cards.