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The holidays are quickly creeping up Black Friday is only eleven days away.
And -- -- purchases are piling up so to the credit card offers from stores.
But with the discount comes hidden dangers for more on what to look out where I'm joined by Vera Gibbons -- -- pot grate just in here.
-- -- -- can we have some legislation now from congressman Anthony Weiner about these cards introducing legislation that would require them to.
Tell people what they want to charge you interest is really going to be a historic heard well -- -- help.
The credit card for everything including greater transparency.
But the people who -- company's current to people who have bad credit you know problems with credit.
And they're very easy to get these -- they get campaign mini 1015% discount let's sign on they do and they don't know with the consequences because these people who carry a balance month to month.
You get really hit hard for -- interest rates and over 20% generally.
And they don't know because there is to have charges nearly 25% let's show some of those rates that.
Department stores and charging it's ridiculous they're generally over 20% on average -- in the credit cards by about 15%.
People sign on they have no idea.
That there are consequences and these are people who do carry about a month to month so they're not aware of -- -- take out -- to Carville once.
And that takes up thirty points up your credit score.
Our gift cards we'll talk about gift cards one of the interesting things here the credit card -- have a lot about Gephardt -- -- little.
Finally here right but are they perfect now they're not perfect now made him a little bit friendly or get away with some of the NAFTA practices this went into effect last summer back and I -- very popular I -- We've spent 25 million dollars on gift cards over the holidays.
And why did do it with some monastic practice is -- mean there's still some out there for example gift cards.
The expiration date is changed on the no longer allowed to expire in less than five years now with some faith in me not expired all the -- -- what's going on your state.
In activity -- gone for the first year but after that.
They can come back and then there's no charge and you've got -- if you get one use it.
He knew that -- is that right away well that had a problem money 25%.
Of consumers have a gift card from last holiday season that they never actually used we are leaving 10% -- eight billion dollars on the table so.
That's sort of the -- weather advice is if you do get a gift card.
-- it but most people don't.
-- led laps that they do use it and they spend more more -- -- -- about whether it's not like something when you do you that you go and you spend twenty to 30% more than the face value of the card.
But -- your best defense against anything happening the credit card industry gift card and street specifically.
Is used these cards is seeing you get and that's your best defense against the expiration date you know they are now five years.
Again -- activity fees but don't go into effect until after year but.
You you know -- -- an activity -- 250 a month.
And that could easily -- at the value of your card.
Well I -- other so handy and people love to get them I -- -- the most popular gift here in and year out I I don't like them but.
Everybody else can you want something personally it is something else -- -- -- thanks for your time today I.
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