Ten Fun Facts About Credit Cards
We all have had our ups and downs with credit cards. Undoubtedly, if you knew more about how they worked and their history, you would start having a lot more “ups!” Here are 10 fun facts about credit cards to help educate and entertain:
1. The Diner’s Club Card was the first credit card to be accepted at different locations and was issued in 1950. At first, only 200 cards were issued and functioned at 27 New York restaurants.
2. American Express was originally a shipping company that opened in 1850. It wasn’t until over 100 years later in 1958 that they issued their first credit card.
3. Mastercard was the first company to put a hologram on their cards to protect people against fraud. This was in 1984.
4. By simply using your credit card, you are agreeing to the cardholder agreement and when requisite changes are made, once you use the card again, you also automatically agree to the changes. No signature needed.
5. Ever had your credit card declined at a restaurant when you know it has more than enough space to cover the tab? That’s because most restaurants preauthorize the card for an additional 25% tip (they don’t charge you), so add 25% to your bill to be sure your card can handle it.
6. When you have a credit card with multiple balances under different interest rates, you payments will be applied to the balance with the lowest rate. As outlined in your card agreement, requests to have payments applied to balances with higher interest rates will be denied.
7. Credit cards used at the gas pump are usually preauthorized for about $50. So if your card is declined at the pump, this is probably why.
8. By law, Credit Card companies cannot send you a card you did not ask for (this does not apply to substitute or renewal cards.) So if you receive a credit card that you never applied for, be sure to file a complaint with the Federal Trade Commission.
9. Getting too many credit card offers in the mail? You can opt-out of getting them by going to OptOutPrescreen.
10. Read your user-agreements. They may seem like a lot of legal mumbo-jumbo, but there can be a lot of hidden clauses, such as the very common cardholder waiver that keeps you from being about to sue the credit card company.
Have any fun facts you would like to add? Comment below and share!