Update 12/9/20: Deal is due to end on 1/13/2021 according to people with affiliate links. Make sure to apply through a link with the $50 bonus.
Update 10/1/20: Doing a dummy booking gets you 140,000 points + $50 statement credit with the AF waived. Somebody in the comments reported seeing a $150 statement credit, but I can’t get that to show at all. Updated the direct link.
Update 9/30/20: New direct link available, no longer needed to apply in app (wasn’t showing for everybody anyway). This time the annual fee is waived, making the deal the best ever.
Direct link to offer
- Chase IHG Premier card is offering a signup bonus of 140,000 points after $3,000 in spend within the first three months.
- Annual fee of $89 waived first year
- Card earns at the following rates:
- 25x points per $1 spent on IHG properties (10x from the card + 15x from status and club membership)
- 2x points per $1 spent on gas stations, grocery stores and restaurants
- 1x points per $1 spent on all other purchases
- Free night certificate on card anniversary, this is limited to properties that cost 40,000 or fewer points
- Automatic Platinum elite status
- Fourth Reward Night Free on any stay of 4 or more nights
- 20% discount when purchasing points
- Global Entry or TSA PreCheck fee credit
- 10,000 bonus points when you spend $20,000 or more and make one additional purchase each account anniversary year
- This product is not available to either (i) current cardmembers of this credit card, or (ii) previous cardmembers of this credit card who received a new cardmember bonus for this credit card within the last 24 months. If you have the old IHG card, youâre still eligible to get this bonus/card.
- Chase 5/24 rule applies to this card
Best offer we’ve ever seen was 125,000 plus $50 statement credit, this one doesn’t have the $50, but comes with 15,000 more points. If IHG interests you and you are eligible, this one is worth signing up for. We’ll add this to our best credit card bonus page.
If you recently signed up with the targeted 125,000 points offer, you should be able to message Chase and have this 140k offer matched. As always read these things everybody should know about Chase credit cards before applying.
Thanks to all those who sent this in.
- Update 9/17/20: Deal is now publicly 125,000 points. But there is a 140,000 point offer showing up in app for some. Hat tip to Kyle
- Offer was supposed to end at end of March, but is still alive and well. Hat tip to VFTW
Uh-oh! You just received your credit card statement, and it shows interest charges and a $38 late fee that you didnât expect. You realize youâre guilty of making a late credit card payment last month. Or worse, you realize you forgot to send your payment at all. Hereâs a rundown of potential impacts that your missed payment may have on your account.
- Youâre assessed a late fee.Â Most credit cards charge a late fee when youÂ make a late payment. In most cases, the fee is a flat charge of up to $39. In other instances, the fee might be tiered. For example, the late fee could be $15 if the balance is less than $100, up to $25 if the balance is $100 to less than $250 and up to $39 if the balance is $250 or more.
But what exactly does âup toâ mean? Federal laws now prohibit credit card issuers from charging late fees that are in excess of the amount due. So if you have a balance of only $12, then yourÂ late fee canât be more than $12.
On the other hand, there are credit cards that charge no late fees at all. In addition, a few cards automatically waive a first late payment. Nevertheless, donâtÂ interpret a late-payment forgiveness policyÂ as an excuse to pay late.
- You lose your interest-free grace period.Â Many credit card users avoid interest charges by paying their balance in full and on time. But if you fail to pay your statement balance on time, the interest charges are applied to your next statement in addition to any fees. In fact, interest charges are assessed based on your average daily balance for each day ofÂ the entire statement period. For cardholders who are already carrying a balance, the increase in interest charges wonât be as dramatic, but it can be significant.
- You’re charged a penalty interest rateâAKA penalty APR.Â Not only are most cardholders hit with a late fee and additional interest charges, but a new, higher penalty interest rate can apply when cardholders miss payments. Thankfully, some of the same simple cards, like the Avant Credit Card donât increase your APR as a penalty for late payments.
- YourÂ credit score suffers.Â Making a late payment on your credit card accountÂ can affect your credit score, but it depends.Â Itâs up to credit card issuers howÂ late a payment must be before itâs reported to the credit bureaus, but any late paymentÂ canÂ be reported.
Thankfully, most credit card issuers wonât report payments that are less than 30 days late. And some lenders wait as long as 60 days before reporting late credit card payments.
Just because issuers donât immediately report a late payment doesnât mean it doesnât exist. Your credit reports show the payment history for all of your credit cards, so check your reports to see whether a late payment has been reported to the bureaus.Â Youâre entitled to a free credit report from each of the credit reporting agencies once a year under federal law.
In between getting your free annual credit reports, you can see how your payment history is affecting your ownÂ credit by getting yourÂ free score and credit report card on Credit.com.
What to Do If You Miss a Payment
- Pay it as soon as possible.When you realize you missed a payment, make a payment immediately. The quickest way to make a payment is by phone or electronicallyânot by postalÂ mail. Making sure the payment is received quickly reduces the likelihood that your late payment is reported to the major credit bureaus. It also increases the chance that the card issuer is willing to forgive any late fees and interest charges.
- Contact your credit card issuer.Once youâve made a payment,Â if you were otherwise in good standing, youâre in an excellent position to request that any late feesÂ and interest charges be waived. Simply call your credit card company andÂ let it know the circumstances that caused you to pay late, such as if you didnât receive your statement. In most cases, the credit card provider is happy to waive these charges in order to satisfy and retain you as a customer.
- Fix the problem.AfterÂ youâve done what you can to limit the immediate harm caused by a late credit card payment, take steps to keepÂ it from happening again.Â For example, if your statement for your last billing cycle wasnât delivered in the mail, switch to electronic statements. Alternatively, you can see if your credit card issuer offers payment reminders via text or email. Even better, set up automatic payments if you can.
Itâs only human toÂ miss a credit card payment sometime. Itâs how quickly you address the error that matters to you, your credit score and your credit card issuer.
More on Credit Cards
- 6 Smart Credit Card Strategies
- How to Get a Credit Card with Bad Credit
- 11 Ways to Improve Your Credit Score
Note: Itâs important to remember that interest rates, fees and terms for credit cards, loans and other financial products frequently change. As a result, rates, fees and termsÂ for credit cards, loans and other financial productsÂ cited in this article may have changed since the date of publication. Please be sure to verify current rates, fees and terms with credit card issuers, banks or other financial institutions directly.
The post What Happens If You Make a Late Credit Card Payment? appeared first on Credit.com.
Sending cash to friends and family? Before you reach for that credit card, grab a calculator. Itâs time to do a little math.
With most everything you purchase online or through apps, credit cards have the edge. With plastic, you have chargeback rights. If youâre overcharged or receive the wrong item, broken merchandise or nothing at all, your card issuer will make it right. And if you use a rewards card, you collect points or miles, too. Win-win.
But itâs different story when youâre sending money through peer-to-peer platforms. Many of them (like Google Pay, Popmoney and Zelle), donât allow consumers to use a credit card to send cash.
Others (like Cash App, PayPal and Venmo), allow credit cards but also charge a fee for the privilege â often about 3%.
See related: How to choose a P2P payment service
The hidden costs of using credit cards to send money
Choose a credit card to send money and you might also end up paying additional fees to your card issuer. Thatâs because the combination of some peer-to-peer apps with certain cards are coded as cash advances, rather than purchases.
For many cards, that cash advance code triggers a higher interest rate that kicks in the moment you make the transaction, as well as a separate cash advance fee thatâs often $10 or 5% of the transaction â whichever is higher. (Currently, the average interest rate for cash advances is 24.8%, while the average APR for purchases is 16.05%.)
So the combination of peer-to-peer service fees, credit card cash advance fees and that higher interest rate (with no grace period) could make sending a few hundred dollars a bit more costly than youâd planned.
No chargeback rights with credit cards
The real kicker: Unlike other venues, you donât have chargeback rights when you use credit cards to make peer-to-peer money transfers.
When you present your credit card in an online or brick-and-mortar store, thereâs a merchant involved â and the law provides chargeback rights for your protection in case you donât get what you were promised in the deal. But in a peer-to-peer money transfer, thereâs no merchant, so currently the laws donât give consumers any chargeback rights, says Christina Tetreault, manager of financial policy for Consumer Reports.
âThe chargeback right requires a merchant,â says Tetreault. âOne of the hoops a consumer has to jump through is to try and work it out with the merchant.â
If you use a peer-to-peer service and send the wrong amount or send the money to the wrong person, most platforms advise that the only way to get it back is to contact the recipient and ask them to return it. And thatâs often the same whether you use a credit card, debit card, bank account or funded account on the platform.
âBe doubly sure when youâre sending the money that youâre putting in the correct information,â says John Breyault, vice president of public policy, telecommunications and fraud for the National Consumers League. âItâs still a buyer beware world when it comes to peer-to-peer.â
If youâre sending money and want to use a credit card, it pays to do a little sleuthing first. Check out the peer-to-peer site. Does it allow users to send money with a credit card? If so what, if any, fees does it charge?
On some platforms (PayPal is one), you could see similar fees for using a debit card â while sending from a bank account or funded account on the platform is free.
The good news is that many peer-to-peer platforms clearly disclose it when thereâs an extra charge to use a credit card, says Tetreault. With Venmo, for example, youâll get a pop-up message.
Harder to decipher: Will credit card transactions on the platform be treated as a cash advance? If your preferred platform doesnât post this information, you might need to contact customer service. (And how quickly and easily you get an answer can tell you a lot, too.)
Ask your card issuer the same question: Are peer-to-peer money transfers on the platform youâve chosen treated as a cash advance? If they are, whatâs the interest rate, and whatâs the cash advance fee?
âWhat I would suggest is to ask that question, via email, of your financial institution,â says Tetreault. âIt may be in their FAQs. And you want to save that email. If you have it in writing, if thereâs an issue later, youâre better positioned to contest that fee.â
But âthe hard truth is you may not be able to find out ahead of time,â she says.
Another solution: Opt to use a credit card issued by a credit union.
âWith credit unions, the APR is usually the sameâ for purchases and cash advances, says John Bratsakis, president and CEO of the Maryland and District of Columbia Credit Union Association.
Likewise, with American Express cards you pay your regular interest rate and no cash advance fees on peer-to-peer transfers, says Elizabeth Crosta, vice president of public affairs for American Express.
And credit cards from U.S. Bank register peer-to-peer money transfers as regular purchases â with no cash advance fees or cash advance APRs, says Rick Rothacker, spokesperson for the bank.
See related: How do credit card APRs work?
Whatâs your reason for using a credit card?
Take a good look at the reason youâre using a credit card, too. If you want chargeback rights, thatâs not an option. If youâre doing it for the rewards, will the value of those points or miles be eaten up by extra fees or a higher interest rate you have to pay to use the card?
And if youâre using a card because you donât have the cash, that might be a good reason to rethink the idea of sending money in the first place.
Thatâs a huge red flag, says Bruce McClary, vice president of public relations at theÂ National Foundation for Credit Counseling.
âThe need to convert credit into cash is what really gets my attention â because that hints at a lack of savings,â he said. âItâs a reality a lot of people are facing, especially now.â
Cash advances arenât as expensive or risky as payday loans and car title loans, but they should be among your last resorts. If you’re looking for short-term relief, you could ask your credit card issuer for help, or find out if you qualify for a personal loan. You could also borrow from a family member or trusted friend, but be wary of the potential relationship toll if you can’t pay them back.
Getting cash from credit cards
Fifty-two percent of Americans report that the pandemic has damaged their finances, according to a recent survey by the NFCC. More than a fifth of those had to tap savings for everyday expenses, while 16% increased their credit card spending.
And thatâs a sign of financial stress, says McClary. âIt means that, in some situations, they have run out of savings.â
There are ways you can use your card to get cash, though.
Cashing in rewards
Some rewards cards from issuers such as Chase, Bank of America and US Bank let you deposit cash-back rewards directly to your bank account.
And Wells Fargo also will let you deposit its Go Far Rewards directly into another Wells Fargo customerâs account, says Sarah DuBois, spokesperson for the bank.
Many credit cards let you convert rewards into retail gift cards. So a pile of points can help a friend or family member buy much-needed groceries or a few holiday presents.
Or simply âbuy a gift card for someone,â says Bratsakis.
Retailer-specific gift cards and gift cards issued through local and regional retail associations and malls often come with no fees â meaning every dollar you spend goes toward your gift.
While you can get a cash advance or use convenience checks from your card issuer, both those options often come with fees and higher interest rates. Not a smart money move, especially in the current economy.
While some lenders may offer convenience checks with deferred interest, thatâs not the same as âno interest,â says Bratsakis. Also, if you donât pay the loan in full, will you owe the full interest retroactively?
âThatâs where consumers have to be careful,â he says. With a convenience check or even a cash advance, âthatâs usually where consumers can get themselves into trouble if they canât pay it off and get hit with deferred interest.â
See related: What is deferred interest?
When it comes to peer-to-peer payments, cash really is king. You can then put it into a funded account with the money transfer platform or your bank account. And most peer-to-peer platforms let you do this for free.
âThe safest way to use these services is to send money person-to-person and be diligent about getting all the details correct so it doesnât go to the wrong person,â says Tetreault.
Only send to people you trust and know in real life, she says. âAnd before sending money make sure you understand what, if any, fees you might incur.â