Causes and Prevention: Credit Card Debt

• What is credit card debt?
  It’s happened when a credit card user bought items or services by using card system. Debt accumulated by adding some interest rate and penalties when the credit card user did not pay the credit card company for the money that he or she spent.
  
  
  Causes of credit cards debt
  
• Promotion: Every month, the credit card company will make promotion event to attract more people to subscript a new card. The most popular incentive is zero interest rate. Most of this incentive is only for the first month subscription. Once the special rate end, the interest rates shoot up. So, this made a small debt grow rapidly and becomes a huge debt.
  
• Spending: BIG SALES, MEGA SALES, STOCK CLEARING and DISCOUNT are common phrases that attract people to spend more. Although the consumer is not affordable to buy the product, the consumer will just can’t miss the promotion. At the end, they will just swap the card and buy that product.
• Missing payment: Most of the consumer did not plan their money usage. Firstly, they will use their cash to buy items. When they run out of cash, they will use their card without thinking are they able to pay? At the end of the month, the bills arrived at their home. They will have no more cash to pay it. They will just let debt accumulated and pay it next month PLUS some interest and penalties.
  

Prevention of credit card debt

• Only use cash to buy items or services. Stop spending when you are run out of cash.
• Budget your expenditure. List down all the necessary that you want to buy.
• Think before you buy. Buy it if you are able to pay the bill.
• Only use credit card for emergency.
• Clear all the outstanding debt and cancel the card that you are no longer use.
• Hold only one card. This can reduce risk card being stole.
  
  

Mobile payments systems in Malaysia: Its potentials and consumers' adoption strategies

There is a new and rapidly-adopting alternative payment method, which called mobile payment. With this method, a consumer can use a mobile phone to pay their payment without paying with cash, check or credit cards. Furthermore mobile payment also called as M-payment. Mobile Payment is paying for goods, services or makes transaction with a mobile device such as mobile phone, Smartphone, Personal Digital Assistant (PDA), or other such device.

Potentials
In Malaysia, the mobile payment system has been launched since November 2001. Thus, by using the M-payment, it can eliminate the hassle to queue up for the bills payments, pay the payments when urgently or lack of other payment instruments, support refund and reversal functions, and no minimum monthly transaction like credit cards and no merchant account required. Because of nowadays there are many mobile users in Malaysia; it will be an advantage for the system to be used.

Consumers’ adoption strategies
To promote the mobile payment system to the public, the system itself should be easy to be used. Make sure there is no too complicated function which can make the users confused. In order to maintain customer loyalty, the systems also need to have powerful security to secure the customer transaction information and give confidence to them.

The mobile payment system has provided convenient to public. Therefore, with the mobile payments system, the mobile users can save their time and costs when they want to pay their payments.

The Application of pre-paid cash for consumers

An example of successful and well known application of pre-paid card in the world is the Octopus card- 八达通. The octopus card is applicable in Hong Kong. It is a card to be used in all of the public transport in Hong Kong. Besides that, It also can be used at the convenience stores, supermarkets, car parks and other places. The card made their life easier and more convenient.

Touch 'n Go in Malaysia is improving ! As we know, the card can be used to pass tolls and to be used in railway transports. Besides that, selected parking sites such as Sunway Pyramid and The Mines enable us to use Touch'n Go too. So, what is Touch'n Go?

Touch'n Go is a card that uses contactless smartcard technology. Users able to use it as long as it is pre-loaded with electronic cash. There are few places to reload the card which includes toll plazas, train stations, ATMs, Cash Deposit Machines with zero charges and Petrol kiosks , authorised third party outlets with RM0.50 charging fees.

Touch'n Go could be used in RapidKL too. It is a good news to people who takes public bus because it can be used as Monthly Travel Card. Besides that, under a pilot scheme of the Touch'n Go card, Outlets such as A&W, Burger King, Dunkin’ Donut, 7-Eleven, Carrefour hypermarkets, Caltex convenience stores and Cineleisure in Klang Valley areas are accepting the card too.

Pre-paid Cash Card is a card that will not have to bare a "rolling debts" such as misuse of credit cards. Besides, you can use what you have NOW without using your FUTURE money.

Money is more valuable now than future.

Electronic Currency

E-currency, which allows Internet-based purchase and sales transactions involving almost anything to be safely conducted at lightning speed.

Electronic Currency is also known as electronic money, electronic cash, digital money, digital cash or digital currency. The examples of electronic currency are Electronic Funds Transfer (EFT) and direct deposit.

Electronic currency means the money you use over the internet. Electronic currency trading means buying and selling of this internet money, allows its holder to buy the goods and the services that offered over the internet.


There are some of the electronic currency trading experts has stronglly suggested that beginners should start with only a few dollars so that they can first learn about electronic currency.

With electronic currency trading you are given many opportunities to make profit without spending too much on investment.

Besides that, electronic currency trading has a low transaction cost as compare with other businesses. So that, electronic currency trading allows you to do business with minimal fees but giving you more profit for you.

Electronic currency trading is versatility and convenience to the persons involved. Electronic currency trading market that best suit for your needs for anytime of day. The electronic currency trading business does not sleep at the night or day, the world is merely at your fingertips.

Aside from the schedule flexibility, whether you are at home, at the coffee shop or virtually anywhere, electronic currency trading can be used as long as there is an internet connection.

Electronic currency trading is not only very profitable it is also very convenient for you.