But given all the benefits of using cards, there are still a few issues with plastic money such as fraud due to phishing or someone copying off the digits from your card. Thus people are wary of using their cards online as well due to lack of security since nobody wants to end up giving their card details online on a fraudulent webpage and suffering losses. Online scams soared to an all-time high with over a half million people affected by scams in just the first half of 2016. There is the added misery of getting your card blocked and then waiting for a replacement card to be issued and getting any fraudulent transactions reversed.

However what if the digits on the back of your card could automatically change and thus fraudsters would be left with unusable card details. Sounds cool right? Well that’s just what two French banks are doing to protect their customers from online fraud using high tech cards.

The technology is dubbed as Motion Code, and what it does is add a digital display to the back of the card that displays different digits randomly at the interval of every hour for upto 3 years. This will give a huge blow to fraudsters as they would not be able to rob you as such thefts only occur after a few hours or a few days once your card details have been stolen and thus there will be a very short window left to act. Moreover these cards look similar to the ones currently in use. You can bend, drop or even put it through a wash cycle without any issues.

What we know is that banks see this as a hugely growing problem that needs to be addressed,” Aaron Davis, Business Director of Oberthur Technologies UK & Ireland, told The Memo. Oberthur Technologies is the French digital security company that has developed the tech, called MotionCode, and they’ve been making chip and PIN bank cards for over two decades.

Société Générale and Groupe BPCE, two of France’s largest banking groups, are preparing to roll out these cards across all their customers after completing a pilot scheme last year. There are other pilots underway in Poland and Mexico, and Davis is running Oberthur’s UK operation with the hope of getting a pilot or trial started with a UK bank soon.

Let’s hope someday this solution is implemented with Pakistani banks as well because this card is a huge leap forward for security and will help keeping your hard earned cash safe.

Khurram Zahid

The post French Banks Roll Out High Tech Plastic To Counter Fraud appeared first on Smartchoice.pk.

Reward Points vs. Reward Cards:
Almost all credit card providers have their reward points system on which you accumulate reward points by simply making purchases via your credit card. These points can be later used to get discounts if redeemed at various places which have partnered with the bank. However be aware that reward cards usually carry a higher percentage of interest. Hence if you have opted for a reward card for commodities such as fuel or grocery, make sure you pay your complete dues on time rather than just the bare minimum otherwise you will end up losing more money in terms of paying interest rather than saving. Also only get a reward card if you really need one because the discounts and cash backs are reserved to a specific service only.

Select The Right Card:
This is very essential. There are some incentives that you just can’t get on regular cards. For e.g. if you are a frequent flyer, then you should get a travel card which gives you air miles on spending on your air tickets and hotel bookings. The accumulated air miles can be redeemed upon your next trip. Not just that, you also get free access to VIP lounges that you might be paying for otherwise. If you travel in your personal car a lot, then a fuel card is a must have and if you have a big family then a grocery card could help you save your money by purchasing through the relevant card.

Keep An Eye On Offers:
It surely annoys getting spam emails/messages and even phone calls at times from your credit card provider. While running after such offers can land you into deep waters(read: hefty debt), however don’t ignore all of them too. Credit card providers usually have some good offers in the holiday/festive season apart from the usual offers that you get with your credit card.

Make Timely Payments:
A credit card will only help you save all those rupees only if you keep paying off your due balance on time. To make sure that you aren’t charged interests or late payment fines,make sure that you always pay more than the minimum if not all of your amount within the grace period. This will also improve your credit rating and you would be able to get a higher tier card easily or apply for another card from a different provider. In case you don’t pay your credit card bills on time, things can get pretty ugly.

Don’t Withdraw Cash:
Emergencies can happen anytime where you might be in need of cash urgently. While you can withdraw cash from an ATM using your credit card, it’s not a good idea at all because the interest starts accumulating on the withdrawal right from that very moment because there is no grace period. Also the interest rates are sky-high and you could end up paying huge amounts for the sake of convenience. A better idea is to always keep some cash handy.

We hope that following these smart tips, you will also be using your card to save on your monthly expenses and regulate your finances to your benefit!

Khurram Zahid

The post 5 Tips To Save Money Using Your Credit Card! appeared first on Smartchoice.pk.

For salaried employees it is always a difficult decision to go for credit card or not. It’s a double edged sword, can be of great benefit as well as great trouble depending upon your payment history. Some credit cards though are not that big of a burden and if you have monthly salary around PKR 30,000 you can go for the basic ones that several banks offer.

For your convenience we have compared and compiled a list of credit cards from various banks in Pakistan that can be availed and be light on pocket.
 *All information extracted from Schedule of Charges July-December 2015 documents of respective banks

**Where required information was not available, we have mentioned “Unknown” in the chart above

We had assumed the salaries since most credit card companies require minimum 25k salary and two references (ideally existing credit card holders). The card limit that is assigned to any customer is based on the salaries, net worth and other factors, usually this limit is multiple of 2.5 to 3 of individual’s salary. Since calculations of possible spending limits would be out of scope of this comparison, we decided to leave that part out.

Conclusion

It is difficult to declare one credit card as the best of the lot since each comes with its own benefits. The special features of each card is what matters, apart from the obvious financial factors, because your card use and relevant benefits make the card best for you.

For example, for those who shop a lot and eat out, Faysal Bank would be best option as they offer up to 15% discount on number of restaurants and easily redeemable reward points, while those preferring direct debit monthly payments and internet banking would likely go for Standard Chartered bank cards. For some the rate of foreign transactions would matter while for others the APR (Annual Percentage Rate) rate would be a major factor.

Ideally, whatever card you choose, make sure it is providing you the maximum benefits based on your needs and requirements.

Khurram Zahid

The post Credit Card options for Salaried Employees appeared first on Smartchoice.pk.