Credit cards - current rates - Brief Article - Statistical Data Included

Kiplinger's Personal Finance Magazine, June, 2001 by Joan Goldwasser

What happens when a company with a bad reputation takes over your card?

Wachovia Bank's 2.8 million MasterCard and Visa customers can be forgiven if they're unsettled by news that their accounts have been sold to First USA, a firm that has long been a target for consumer complaints and lawsuits over lousy service and unfair late fees. If you pack a Wachovia card, you should follow Ronald Reagan's admonition about the Soviet Union: Trust, but verify.

An official at Wachovia--the bank's name will remain on the card--was candid about First USA's past problems but said improvements in its customer service should mean Wachovia cardholders won't suffer any ill effects. Monthly statements will be the same, and you must be notified of any changes in interest rates or billing rules. Read any enclosures in your monthly statement carefully.

Low-interest premium cards
Best if you carry a balance

                             RECENT    CASH-ADVANCE   ANNUAL
ISSUER                       RATE(*)   RATE/FEE(c)     FEE

Pulaski Bank & Trust (G)      7.99%     7.99%/none     $50
USAA Savings Bank (G,P)       9.00      9.00/none       45
Simmons First National (P)    9.50      9.50/none       50

                               LATE/       TELEPHONE
ISSUER                       OVER LIMIT      NUMBER

Pulaski Bank & Trust (G)      $20/$20     800-980-2265
USAA Savings Bank (G,P)       20/none     800-922-9092
Simmons First National (P)    20/none     800-636-5151

No-fee premium cards
Best if you usually pay the balance each month

                             RECENT    CASH-ADVANCE    GRACE
ISSUER                       RATE(*)   RATE/FEE(c)    PERIOD

Wachovia (G)                  9.40%     19.99%/4%     20 days
Chase Manhattan Bank (G,P)    9.65       19.55/3      22 days
Security First Network (G)    9.90        9.90/2      25 days

                               LATE/       TELEPHONE
ISSUER                       OVER LIMIT      NUMBER

Wachovia (G)                  $29/$29     800-842-3262
Chase Manhattan Bank (G,P)     29/29      800-413-5661
Security First Network (G)     15/10      800-736-2321

Rebate cards
Best of the air-miles cards (for travel on all major airlines)

                              RECENT    CASH-ADVANCE   ANNUAL
ISSUER                        RATE(*)   RATE/FEE(c)     FEE

Visa MilesOne (P)([dagger])     9.90%   9.90%/2.5%      $19
USAA Eagle Points (P)          13.50     13.5/none       49
Chase Travel Rewards (P)       15.49     19.55/3         25

                             MILES NEEDED    TELEPHONE
ISSUER                        FOR TICKET       NUMBER

Visa MilesOne (P)([dagger])     25,000      800-548-4593
USAA Eagle Points (P)           25,000      800-793-8990
Chase Travel Rewards (P)        25,000      800-413-5661

(*) As of April 6; rates are adjustable, often tied to the prime rate.
(c)Cash advances often nave no grace period; additional fees may be
charged. (G) gold card (P) platinum card ([dagger]) Pays airline miles
or, balance transfers up to limit. SOURCE FOR LOAN RATES
AND CREDIT CARDS: Bankrate.com. N. Palm Beach, Fla.