Three Reasons Rewards Credit Cards Are a Bad Idea If You Have Debt
March 31, 2012 by Charlie Stedman · Leave a Comment
Many popular credit cards are heavily advertised using the lure of rewards including cash back and free travel. From the bank’s standpoint, this only makes sense as few would be encouraged to apply for a credit card after being reminded of the possibility of debt or fees. While many cardholders are able to use their cards to earn fantastic rewards, these products are not well suited to those who tend to carry a balance. In fact, there are three great reasons why those who have credit card debt should not be using reward credit cards.
First, those who carry a balance should be concerned primarily with find a card with the lowest possible interest rate. Unfortunately, these tend not to be available on reward cards. The cost of extending cash back or other types of rewards is justified by the higher interest rates charges. Yet from the cardholder’s standpoint, the higher interest rates offered on rewards cards will never justify the relatively small amount of cash back or loyalty points received. For example, the interest rate on a reward card may be several percentage points higher than that of the most competitive non-rewards card. The h
US Q4 GDI up 4.4%, GDP unchanged from 2nd estimate at 3%
March 28, 2012 by Laura Reveley · Leave a Comment
So much for the Okuns Law mystery?
Those who think Gross Domestic Income, whose first quarterly estimate arrived in the same release the third estimate of GDP, is the more useful growth measure of the two will be encouraged by this:
Real gross domestic income , which measures the output of the economy as the costs incurred and the incomes earned in the production of GDP, increased 4.4 percent in the fourth quarter, compared to an increase of 2.6 percent in the third.
Well be discussing in more detail during Markets Live, but neither real GDP growth of 3 per cent nor the Personal Consumption Expenditure price index of 1.1 per cent changed from the second estimate.
So thats quite a divergence between GDP and GDI. GDI growth in the third quarter was also revised from 0.2 up to 2.6 per cent.
This brings full-year 2011 GDI growth to 2.1 per cent, better than full-year GDP of 1.7 per cent.
And in the second half of the year, GDP grew at an annualised 2.4 per cent while GDI grew 3.5 per cent .
Offshore law firm reports high demand for BVI structures
March 25, 2012 by Hudson Watts · Leave a Comment
The British Virgin Islands office of international offshore firm Ogier reported on large number of transactions involving BVI structures. It was also stated by the company that the involvement of its BVI office in global transactions reflects the strong demand for BVI-based corporate structures.
Some of recent high-profile transactions with BVI structures include, for example, Canadian-based financial institution Scotiabank’s USD acquisition of 51% in Colombia’s Banco Colpatria Red Multibanca Colpatria S.A., which became Scotiabank’s largest ever-international takeover. Other
Ireland Factory Gate Inflation Eases In February
March 22, 2012 by Laura Reveley · Leave a Comment
– Ireland’s manufacturing output price inflation eased in February, after accelerating in the previous month, data from the Central Statistics Office showed Wednesday.
Factory gate prices increased 2.3 percent year-on-year in February, slower than the 2.7 percent rise seen in January.
Manufacturing output prices for export market gained 1.9 percent year-on-year in February, while domestic market prices advanced 3.7 percent.
Month-on-month, manufacturing output prices declined 0.6 percent in February, reversing the 1.4 percent gain in January. Prices fell for the first time in four months.
Top State Income Tax Rates
March 19, 2012 by Hudson Watts · Leave a Comment
Tax Foundation has published a map showing the top income tax rates in all 50 states. There are seven states that have no income taxes at all: Alaska, Washington, Nevada, Wyoming, South Dakota, Texas, and Florida. Tennessee and New Hampshire only tax dividends and interest. Except for Iowa, the high tax states are on the coasts.