OTTAWA, January 11, 2005 -- The Financial Consumer Agency of Canada (FCAC) today released an updated version of its popular publication Credit Cards and You. The Commissioner of the Agency, Bill Knight, explains how the guide helps consumers save money. "Credit Cards and You gives consumers tips on how to get the most from their credit card. No matter what your financial situation, there are always ways to maximize your card's benefits and reduce costs. For example, if you always pay your balance in full and have a decent reward program you can actually make money from your credit card." But for most consumers, especially after holiday spending, paying their balance in full isn't always an option. For those consumers, Knight recommends paying what you can, as soon as possible. "Even if you don't have the money to pay your whole balance in January, pay what you can, and pay it early. That will reduce your daily balance sooner, so the interest charged on your next month's statement will be based on a smaller outstanding balance." Credit Cards and You compares the interest rates, fees, rewards and coverage of more than 200 credit cards in Canada. The guide also has tips on how to save money, how to protect yourself from credit card fraud, and how to get the most from your credit card. Some additional tips for saving money: If you can't pay off your entire balance every month, consider switching your balance to a low-rate credit card or a line of credit. These products usually carry a lower interest rate. Allow enough time for your payment to reach your credit card company. If you don't, you may end up making a late payment that could mean paying more interest. It could also negatively affect your credit history. Take cash advances only when absolutely necessary. Check your statement and report immediately any discrepancy to your credit card company. This will be especially important for your January statement since credit card fraud often occurs during the holiday season. To access Credit Cards and You, visit the "Publications" section of FCAC's Web site at: www.fcac.gc.ca. Print versions are also available to the public free of charge by calling FCAC toll-free: 1-866-461-3222. FCAC ensures compliance with the consumer protection laws that apply to banks and federally incorporated trust, loan and insurance companies. FCAC also provides consumers with accurate and objective information about financial products and services, and informs Canadians of their rights when dealing with financial institutions. - 30 - Media contacts: Christina McDonaldPublic Affairs Officer (613) 941-4168mcdonald.christina@fcac.gc.ca Jean-Guy St-AmourConsumer Education Officer(613) 941-4222st-amour.jean-guy@fcac.gc.ca
