Best Bank of America Credit Cards

Bank of America® offers 21 unique credit cards, and each one is tailored to a different type of consumer — the frequent flyer, the frequent grocery shopper, even the person who just wants to pay a little more than the minimum payment every month. I looked at all of the cards Bank of America® has to offer, pulled out five of its best options, and created a guide to help you decide which card might be right for you.

The Simple Dollar’s Top Picks for 2016

• BankAmericard Cash Rewards™ Credit Card
  Biggest Cashback Rewards
• BankAmericard Better Balance Rewards® Credit Card
  Best Perks If You Can’t Afford $2,500 Every Quarter
• BankAmericard Travel Rewards® Credit Card
  Best Travel Perks
• BankAmericard® Credit Card
  Lowest APR
• BankAmericard® Secured Credit Card
  Best to Establish or Rebuild Your Credit

Biggest Cashback Rewards

Apply Now on Bank of America's secure website

BankAmericard Cash Rewards™ Credit Card Highlights

Want cash back? Try the BankAmericard Cash Rewards™ Credit Card. This card gets you 1% cash back on every purchase — plus 2% cash back at grocery stores and wholesale clubs (think: Costco), and 3% cash back on gas for the first $2,500 in combined grocery/wholesale club/gas purchases every quarter.

That last part gets a little complicated, so here’s an example of how it could work: Let’s say you spend $1,500 on groceries and wholesale club purchases, plus $1,000 on gas, hitting your $2,500 maximum for the quarter. You’ll get 2%, or $30, back on the grocery purchases; you’ll also get 3%, or $30, on your gas purchases. Plus, you’ll get 1% cash back on all other purchases, including any grocery/wholesale club/gas purchases over $2,500.

Is this card right for you?

Those are a lot of perks, and they get even better when you factor in the card’s 0% intro APR for 12 months. Balance transfers made within the first 60 days of account opening also get a 0% intro APR for 12 months (although they do come with a 3% fee, or $10 minimum charge.)

What are the drawbacks? As with any cash rewards card, there’s a temptation to spend as much as possible to get the maximum reward. Going after the $100 cash rewards bonus by spending $500 in the first 90 days makes sense, but pushing yourself to hit that $2,500 maximum every quarter just to earn $50 or $60 doesn’t. Don’t spend more than you can pay back, and don’t be tempted to spend extra just because you’ve got that 12-month 0% intro APR. You’ll still have to pay off that entire balance at some point.

If you’re a student, consider the BankAmericard Cash Rewards™ Credit Card for Students. You get the same benefits and may become eligible for the Bank of America® Preferred Rewards program.

Best Perks If You Can’t Afford $2,500 Every Quarter

Apply Now on Bank of America's secure website

BankAmericard Better Balance Rewards® Credit Card Highlights

The BankAmericard Better Balance Rewards® Credit Card is a lot like the BankAmericard Cash Rewards™ Credit Card in terms of balance transfer options: Both cards include a 3% balance transfer fee with a minimum of $10 charged per transfer, and both cards include an 0% intro APR for 12 months on balance transfers made within the first 60 days of opening your account.

However, the BankAmericard Better Balance Rewards® Credit Card offers one benefit that the BankAmericard Cash Rewards™ Credit Card does not: the opportunity to earn $25 per quarter to put toward your balance. You can earn this $25 by paying more than the minimum payment on time each month, and you can earn up to $100 per year.

Is this card right for you?

Yes, this $25 benefit is smaller than the cash you might earn if you max out your purchases on the BankAmericard Cash Rewards™ Credit Card program. However, a lot of us aren’t going to spend $2,500 every three months on groceries, wholesale clubs, and gas to get that maximum BankAmericard Cash Rewards™ Credit Card benefit.

Take a look at your spending history and see if you’re likely to earn more money via the Cash Rewards program or the Balance Rewards program. Keep in mind that the BankAmericard Cash Rewards™ Credit Card gets you a $100 online bonus if you spend $500 within the first 90 days, which is the same amount you can earn by using the BankAmericard Better Balance Rewards® Credit Card for an entire year.

If you just want to transfer a balance and pay it off at a 0% intro APR — let’s say you already have a rewards card you like, or you’re trying to avoid making purchases on credit — then this card is a smart choice. Make more than the minimum payment on time every month and you’ll earn rewards that help you pay down your balance more quickly.

Best Travel Perks

Apply Now on Bank of America's secure website

BankAmericard Travel Rewards® Credit Card Highlights

Bank of America® has a lot of travel-related credit cards, most of them attached to a specific company: The Alaska Airlines Visa Signature® Credit Card, for example, or the Amtrak Guest Rewards® World MasterCard®. But those cards really make the most sense for people who prefer train travel, or who fly exclusively on Alaska Airlines. If you’re looking for a good travel rewards card that doesn’t limit you to one specific method of travel, BankAmericard Travel Rewards® Credit Card is ready to help.

With the BankAmericard Travel Rewards® Credit Card, you earn unlimited 1.5 points for every $1 you spend on purchases. You also earn 20,000 online points after making a minimum $1,000 in purchases in the first 90 days of opening your account. If you are a Bank of America® customer with an active Bank of America® checking or savings account, you could get 10% customer points bonus on every purchase, and Bank of America® Preferred Rewards customers can increase that bonus to 25% or more.

These points never expire, and you can redeem your points for a statement credit that you can use on travel expenses purchased via the BankAmericard Travel Rewards® Credit Card, including flights, baggage fees, hotels, cruises, rental cars, and vacation packages. (“Statement credit” means that the money can only be used to pay off travel expenses currently on your credit statement, so you have to book your travel before you use your points. You can also redeem your points for cash or gift cards, but your points will be redeemed at a lower value. Redemption starts at 2,500 points.)

Also, unlike all the other Bank of America® cards I’ve highlighted, the BankAmericard Travel Rewards® Credit Card has no foreign transaction fees — which is a great benefit for international travelers.

Is this card right for you? 

I think it comes down to whether you want to be rewarded in cash, airline miles, or points. It is a little hard to determine what these travel reward points are worth; Bank of America® includes a points calculator so you can see how your purchase dollars might come out as points (and then get translated back into dollars), but the calculator also states that your rewards will depend on your individual purchases.

Play around with the points calculator and see if this credit card would be a better value for you than the BankAmericard Cash Rewards™ Credit Card. If you have a favorite airline, or if you’re a frequent cruise or Amtrak traveler, check out those individual cards as well.

If you’re a student who wants to earn points for travel, check out the BankAmericard Travel Rewards® Credit Card for Students, which gives you the same benefits and the opportunity to become eligible for the Bank of America® Preferred Rewards program.

Lowest APR

Apply Now on Bank of America's secure website

BankAmericard® Credit Card Highlights

If you’re looking for low APR, look no further than the BankAmericard® Credit Card. This card offers a variable APR of 11.24% to 21.24%, depending on your creditworthiness — which is the lowest APR offered by Bank of America®.

You also receive an 0% intro APR for 18 months for all balance transfers made in the first 60 days. Each balance transfer comes with a 3% fee or a minimum of $10 per transfer.

Is this card right for you?

The BankAmericard® Credit Card is pretty great if you’re looking for the lowest possible APR, but think carefully about what you’re leaving on the table if you choose to get this card. I’ve highlighted three other Bank of America® cards that offer cash rewards, balance credits, or travel credits — and their APRs are only a few points higher than the BankAmericard® Credit Card.

If you’re planning to pay off your balance in full every month, a low APR becomes less important. If you know you’re going to have to carry a balance on your credit card, the BankAmericard® Credit Card is worth considering, but so is the BankAmericard Cash Rewards™ Credit Card, which gets you a 0% intro APR for 12 months followed by a variable APR of 13.24% to 23.24%, plus you’re earning cashback rewards.

This card is good for people who aren’t interested in earning rewards — maybe you’ve got another airline miles card you’re already using — and do expect to occasionally carry a balance on one of their credit cards. If you have to carry a small balance a few times every year (like paying off holiday spending), a low APR card can be the right choice.

If you’re a student, consider the BankAmericard® Credit Card for Students. This card comes with the same benefits as the BankAmericard® Credit Card, including the 11.24% to 21.24% variable APR and the 0% intro APR for 18 months on balance transfers made in the first 60 days.

Best to Establish or Rebuild Your Credit

Apply Now on Bank of America's secure website

BankAmericard® Secured Credit Card Highlights

The BankAmericard® Secured Credit Card requires a security deposit of at least $300 — that’s the “secured” part — and offers a maximum credit limit of up to $4,900 depending on your income, your ability to pay, and the amount of your security deposit. After 12 months, you may qualify to have your security deposit returned.

The BankAmericard® Secured Credit Card is the only card on this list with an annual fee, which means you’ll pay $39 for the privilege of using the card. You’ll get a 20.49% APR, with a penalty APR of up to 29.99% if you make a late payment. You’ll also get hit with a penalty fee of up to $37 per late payment, so do your best to make your payments on time.

Is this card right for you?

This all sounds like a lot of money, just to get a credit card. But don’t let the idea of a security deposit or an annual fee hold you back from establishing or rebuilding your credit. Building a credit history and proving you can manage credit effectively will help you in the long run, both in terms of getting an unsecured credit card (like the other cards on this list) and in terms of getting a car loan, a mortgage, or other types of credit.

The Bottom Line

Deciding what credit card is right for you starts with understanding how you’re going to use the card. Are you paying off a balance? Are you rebuilding your credit? Are you looking for rewards on grocery and gas purchases? Once you know what kind of credit consumer you are, use this guide to determine which Bank of America® credit card fits your situation. Or check out Bank of America®’s complete list of credit cards to see if any of them are right for you!

The post Best Bank of America Credit Cards appeared first on The Simple Dollar.

Source The Simple Dollar The Simple Dollar http://ift.tt/2bN2rnx

Old IBW site on track for cleanup in East Stroudsburg, clearing way for a sale

As the vacant International Boiler Works site nears state Department of Environmental Protection clearance, East Stroudsburg and local entities are working towards ensuring the site is eventually used for the right purpose.The site, purchased by the borough for $545,000 in a 2002 tax sale, has reached the last step in the process prior to submitting an environmental remediation report to the DEP, borough manager Jim Phillips said. Borough council voted to amend an article of an [...]

Source Business - poconorecord.com http://ift.tt/2bqwmgV

AC's Diner in Stroudsburg closing six months after opening

AC’s Diner, the retro-themed eatery that opened just six months ago in Stroudsburg, is closing Sunday.Located in the old Wyckoff's Tea Room on the 500 block of Main Street, it was AJ Hiller's first venture into the restaurant business.“The food business is a tough business,” Hiller said. “I wanted to try it out. Right now is the right time to walk away. I want to spend more time with the family than behind a stove.”The 1950s themed [...]

Source Business - poconorecord.com http://ift.tt/2bn3WrL

Have a Way With Words? These 6 Writing Contests Pay at Least $500

As one of those who got her degree in English, the fact that I can write stories to earn extra money makes my heart swell with joy.

If you’re of the writing breed, you probably keep a small notebook on hand to scratch down story ideas. Or maybe, like me, you become impulsively entwined in writing the premise of an essay in your phone’s notes.

Placing my thoughts on paper like that and giving them a chance to breathe is rewarding. But what’s even more rewarding? Money.

Writing competitions offer writers a way to share their work and pocket some cash. Calls for writing vary — from horror writing to speculative fiction to comedy sketches to poetry — so you’ll likely find a competition that caters to your interests and expertise.

The contests with the larger prizes (think: $3,000) typically have entry fees, which can add up when you’re on writing binges. However, plenty of legitimate contests require no entry fee and offer substantial cash prizes.

To get you started on the *write* track, we found six writing contests currently accepting submissions with no entry fees. Even better? These contests reward the winner with more than $500 — often $1,000 or more.

6 Writing Contests with No Entry Fees and Substantial Cash Prizes

If you have some stories hiding in your computer files or tucked away in lost journals, pull those suckers out and polish ’em up. If not, start brainstorming and giving life to your ideas. Then, click “submit” for a chance at some extra spending money.

1. Princemere Poetry Prize 2016

The Princemere Journal needs submissions for its publication, but this is better than freelancing (see: the prize money).

There’s no rhyme or reason to the submissions for this contest (unless you write a rhyming poem, of course). You can submit up to three poems for publication consideration — even if they’ve already been published — though you’ll want to provide a disclaimer for those pieces.

Follow the rules: Don’t write your name on your work, and include a cover letter or title page. Other than that, let your poetic juices flow.

Prize: $500

Deadline: Sept. 12

2. Real Simple’s Life Lessons Essay Contest 2016

Confession: I love Real Simple; it often racks up my grocery bill. And I love these Life Lessons essays. They’re so real.

The good news is this contest occurs twice a year, and the deadline for 2016’s second submission is coming up.

This year’s theme is about dramatic change. The rubric asks:

Maybe you had to move cross-country after being relocated for a job, opening up new possibilities along with fears. Or maybe you needed to sell your house or leave an apartment before you expected to. How did that situation influence the rest of your life?

Be sure to take a close look at the submission criteria. It’ll probably throw you back to high school writing assignments: Double space, 1,500-word limit, Microsoft Word doc. Plus: You must be a U.S. resident and at least 19 at the time of submission.

Prize: First place receives $3,000, second place receives $750 and third place receives $500.

Deadline: Sept. 19 (But be sure to to keep an eye out for other, future deadlines as this is a biannual contest.)

3. Web of Life Foundation Essay Competition

This non-profit (WOLF) aims to break society out of its conventional thinking and to “unleash the imagination.” Cue a writing competition.

This year’s theme is, appropriately, “connecting politics with people.” Take that as you will, and run with your ideas. You can write, in English, an essay, short story, factual commentary or fiction. “Just make it compelling,” the foundation urges.

Individuals may submit up to three entries. These entries should less than 2,000 words and non-technical (no footnotes or citations, you scholars).

Prize: First place receives $1,500 cash, and second place receives $500.

Deadline: Sept. 30

4. PEN/Robert J. Dau Short Story Prize for Emerging Writers

Check out the prize money on this one.

This contest recognizes 12 — yes, 12 — emerging fiction writers for their debut into the literary world via a literary magazine or cultural website. The idea? Help them jump start a successful career.

However, there are strict guidelines, so be sure to read the fine print.

We’ll get you started: Your editor from an eligible publication must submit the work — not you. Those eligible publications include online and print U.S. magazines and cultural websites. It must be the author’s debut story — so the first short story publication. These can be up to 12,000 words.

Think you might qualify?

Prize: $2,000 to 12 writers

Deadline: Nov. 11

5. Dapim: Studies on the Holocaust Article Prize Competition 2016

This academic journal is devoted to everything Holocaust. If you’re a historian and this stuff fascinates you, this could be a great opportunity to get published and win a substantial monetary prize.

Topics may range from Nazi propaganda to war crime trials to the tragedy’s aftermath. This competition naturally allows for footnotes and encourages graduate students and scholars to apply. If you have a lot to say on the subject, that’s fine because submissions can be up to 10,000 words.

Prize: $1,000

Deadline: Dec. 31

6. ‘Philosophy Through Fiction’ Short Story Competition

You’ve got some time to think on this one, but I wanted to include it because, well, philosophical stuff sends me in spirals and extra brain time is appreciated.

Your job for this competition is to tell a story laced with philosophical thinking. Embrace your inner Jean-Paul Sartre.

You may submit a short story of any genre — science fiction, horror, alternative history, etc. Submissions should be 1,000-7,500 words and can come from anyone, not just the Platos of our generation.

Include a “Food for Thought” section, not unlike a cover letter, which explains the ideas in your piece. Be sure to read more submission specifics before entering.

Prize: $500

Deadline: Feb. 17, 2017

For more writing competitions with no entry fees but apt profits, check out Write Jobs. You’ll find a competition for any type of writing, including one titled “All Trumped Up.”

Your Turn: What are you going to write about?

Carson Kohler (@CarsonKohler) is a junior writer at The Penny Hoarder. After recently completing graduate school, she focuses on saving money — and surviving the move back in with her parents. She plans to start entering writing competitions if she’ll ever sit down and focus long enough.

The post Have a Way With Words? These 6 Writing Contests Pay at Least $500 appeared first on The Penny Hoarder.

source The Penny Hoarder http://ift.tt/2bmlbX1

Ask GFC 006: We’ve Maxed Out Our Credit Cards – Now What???

Welcome to another Ask GFC! If you have a question that you want answered you can ask it here.

If your questions get featured on GFC TV or the GFC Podcast, you are the lucky recipient of a copy of my best selling book, Soldier of Finance, and a $50 Amazon gift card.

So what are you waiting for? Ask your question now!

Not many people even admit to being in this situation, at least not publicly. But GFC TV viewer Taylor H. has come clean, which means that she’s putting herself in a position to do something positive about it.

Here is her question:

Jeff,
What do you advise as the quickest, and most efficient way to pay off credit card debt? My husband and I bought a house almost two years ago. After being anti-credit card for four years, our mortgage lender recommended we each open one to boost your credit score and in turn lower our interest rate. Unfortunately, we followed her advice, and now we each have maxed out cards (totaling roughly $7000)! It’s causing huge financial strain on our marriage to pay more than the minimum each month.

Thanks,
Taylor H.

Don’t kick yourself for being in this position Taylor. A lot of people get into this bind, and it often happens after buying a house. That’s at least in part because there are almost always more expenses associated with owning a home than with renting. In your case, you may have gotten some bad advice along the way, but we’re going to talk about that.

Let’s see what we can do to straighten all of this out.

First Order of Business – Put Away the Credit Cards

The first thing in any crisis is to stop the bleeding! Since the credit cards are the source (but not the cause) of the bleeding in this case, you need to put them away. That means putting them somewhere out of sight, where you won’t be tempted to use them.

Along the same line, immediately dispose of any emails or regular mail showing up offering you a new credit card. This is a good time to let you know that credit card spending can easily become an addiction. The last thing you want to do is open up new credit lines.

Now I’m telling you to put the credit cards away, but I’m specifically not telling you to close the lines out. The mortgage person you spoke to was actually on the right path, if she was recommending taking out a couple of credit cards as a way of boosting your credit score. The higher credit score that will result, will enable you to get a better rate on the refinancing of your mortgage. The credit cards will actually accomplish that goal when you pay them off.

The real problem wasn’t the credit cards, but what you and your husband did once you got them. That’s what we’re going to talk about next.

Analyze How You Got Into This Position

Credit cards don’t cause people to go into debt – they just make it easier to get there. I’m sure that when your mortgage consultant recommended that you get some credit cards, she wasn’t thinking that you would max them out. The reasons why you did are something you and your husband really need to think about.

Since it’s only been about two years since you opened up the credit card accounts, get out the statements and review exactly what it was that you spent the money on.

This will indicate at least two possibilities, and which actually drove you to go into debt will help you to determine how to get out of it:

1. Did you use the credit cards to go on a spending spree to buy a bunch of stuff that you wanted, but didn’t actually need, or
2. Did you use the credit cards to pay for necessary expenses that your incomes didn’t cover?

If it’s #1, you will need to get control of your spending impulses. Credit cards give you the ability to buy what you cannot afford right now. If paying them off is an issue, you’ll probably be better off without credit cards entirely.

But if it is #2, your situation may be more complicated. It could be an indication that you have insufficient income to support your lifestyle. For example, if you have been using the credit cards to pay for groceries and utilities, because your income is covering the house payment and other necessary expenses, your basic cost of living may be too high.

Carefully evaluate which situation it is. If it’s #1, you have to control your spending habits. But if it’s #2, you may have to take a serious look at either reducing your basic cost of living, or increasing your income, so that you can achieve balance in your financial situation. Excess credit card usage can indicate that balance is missing.

Find Extra Cash Flow in Your Budget

Now let’s get to the mechanics of getting out of debt. In order to do that, you’ll need to create extra room in your budget to pay down your debts. You’ve indicated that the debts are causing financial strain, which tells me that your budget is stretched pretty tightly.

You and your husband need to sit down and do a deep analysis of what makes up your monthly budget. That includes income and expenses, big and small. You need to know exactly what you have coming in, and exactly what’s going out. That will tell you how much you have to work with.  If you don’t know where to start there are many budgeting tools that can help.

Most likely, you will need to cut some expenses. Carefully review each line in your budget, to determine that the expense is either completely unnecessary, or that it can be reduced. If it isn’t necessary, terminate the source of the expense. If it can be cut, do it, and do it quickly.

Look for Extra Income Sources

With your finances being as tight as they are, cutting your budget probably won’t produce the kind of extra money that you need. One of you or both of you may need to consider finding ways to increase your income.

There are a lot of possibilities here. One of you may be able to find a better paying job. Or perhaps you can participate in a bonus or referral program at work. Failing that, you may need to consider getting a part-time job. No, it won’t be easy, but it may be a necessary step until your credit cards are paid.

You should also consider if you have any personal possessions that you can sell for some quick cash. Start by looking at anything you may have purchased with your credit cards. If you don’t need it, try selling it. You can probably find several hundred dollars worth of items to sell in your home, and that can jump start paying off the cards.

Make Sure You Have Adequate Savings

Most debt payoff strategies ignore this step. But since your financial situation is tight, it’s an extra step that you may have to take.

If in analyzing the cause behind your debt you determine that you may be living beyond your means, you may need to create a cash cushion before paying off the credit cards. This will give you the opportunity to rely on savings – rather than credit cards – when you have a sudden financial need.  Make sure you put this cash in a separate savings account where you do not see it in your regular checking.

If you can get off the dependency that you may have built up with your credit cards, that will get you halfway through the process.

Employ the Debt Snowball

As to actually paying off your credit cards, I like the debt snowball method. The idea was originated by Dave Ramsey, and is referred to as a “snowball” because it starts small, but grows larger as it rolls forward.

In regard to credit cards, this means paying off your smallest credit card balance first. This is recommended because paying off the smallest credit line will be the most doable. But once that credit line has been eliminated – along with its attached monthly payment – you will have even more room in your budget to pay off the next largest debt.

You keep doing that until all of your credit cards are paid. Each pay off helps to empower you to take out the next credit card.

I hope this helps your situation Taylor, as well as anyone else who might be struggling with the same problem. All you need is plan, and you can make it happen.

Source Good Financial Cents http://ift.tt/2boIxzH

Going to Target This Sunday? Don’t Leave Home Without This Coupon

Making your weekly Target run this Sunday? Participate in the first #TargetRunDay to save a little extra.

The retailer is rewarding online and in-person shoppers with 10% off almost the entire store on Sunday, Aug. 28, Time.com reports.

The discount will not be applied automatically unless you’re shopping online. If you’re planning to visit in person, look for the 10% off coupon in the Target ad in your Sunday newspaper.

Millennials (we know you don’t get the paper), you can text “RUN” to 827438 to receive a mobile coupon. You can get it today, but remember — it’s good for Sunday only.

The sale’s timing is perfect for college students making that fateful first trip to their local Target with their new roommate.

How big of a trash can do you really need? Do you share a love of twinkly string lights? If you’re about to live within four feet of each other, you might as well save 10% on the stuff you need to succeed at school this year.

If you’re a Target REDCard-carrying member, you’ll get an additional 5% off your total purchase. And don’t forget about manufacturer’s coupons if you’re grabbing household items like cleaning supplies!

Your Turn: Will you brave the back-to-college crowds in your town for #TargetRunDay this Sunday?

Lisa Rowan is a writer, editor and podcaster living in Washington, D.C.

The post Going to Target This Sunday? Don’t Leave Home Without This Coupon appeared first on The Penny Hoarder.

source The Penny Hoarder http://ift.tt/2c24gNZ

Demolition work at Inn at Buck Hill Falls scheduled for September

Major demolition work at the old Inn at Buck Hill Falls is scheduled to begin next month.However, just like obtaining any details surrounding the ultimate fate of the former landmark, getting specific information about the scheduled work has proved nearly impossible.“What I know is that the Buck Hill Falls Company is knocking down property there,” said Barrett Township Supervisor and Roadmaster John Seese, who noted that the township doesn’t have anything [...]

Source Business - poconorecord.com http://ift.tt/2bG00Qn

Deal of the week: Billhub - a hassle-free household bill management tool

Tom Wilson

billhub-logo-32163d18efa46e58ce8f50b0ce3474e5.png

Every week Moneywise’s product researcher, Tom Wilson, picks out his favourite deal. This week it’s Billhub – a hassle-free way to avoid squabbles about bills in shared accommodation at university and beyond.

Every week Moneywise’s product researcher, Tom Wilson, picks out his favourite deal. This week it’s Billhub – a hassle-free way to avoid squabbles about bills in shared accommodation at university and beyond.

What’s the deal?

Billhub.io is a website that puts all of your household bills into one place where everyone can see them. Flatmates can:

read more

Source Moneywise http://ift.tt/2blKPeG

These Grants Can Help You Finally Get Your Small Business Off the Ground

Welcome to Business Grants 101, Penny Hoarders.

I’m starting this class with an analogy: Small business grants are to small businesses as scholarships are to colleges.

I always hated analogies, but this sounds promising, right?

If you’re looking to start a business — or fund an existing one — a grant could be a great financial solution.

Read on to learn more (and decode that pesky analogy — sorry, guys).

What’s a Small Business Grant?

Let’s consult the expert.

Hal Shelton, a SCORE mentor and the author of “The Secrets to Writing a Successful Business Plan,” likens business grants to “free money.”

“There’s no obligation to pay back anything, and you’re not giving away any ownership in your company,” he says. And if you are? It’s not a grant.

So just like a scholarship (and unlike student loans), you’re not required to return the money, nor are you expected to pay principal or interest. Nor are you required to give up part of your company — or your educated brain.

However, similar to a scholarship, you’re often expected to report your progress and prove the money’s being put to good use. Fortunately, this doesn’t require maintaining a certain GPA.

Types of Small Business Grants

To jump-start your search process, it’s important to understand where your grant money might be coming from — usually it’s either from the government or a private entity.

You’re likely going to have trouble finding government grants because they’re funded by your tax dollars, and, well, the rules about who gives and receives this money are pretty strict.

Shelton encourages us to think about it this way: What if you use a government grant to open a craft chocolate shop right down the road from a big competitor? You bet your competitor will be mad that the government is funding the new kid on the block.

Besides, that’s our tax money, and not everyone likes chocolate.

This is why most government-funded grants go to nonprofits. So if you’re a nonprofit, great. Check out grants.gov for some good opportunities.

But if you’re in the business of making money, you’ll want to look into private grants.

“That’s where the action is if you can find them,” Shelton says.

How to Find the Best Private Small Business Grants

If you can find them, Shelton says.

I’m not going to lie — it’s difficult. I spent several days researching small business grants, and I felt as though I was drowning in the black hole that is Google.

But Shelton made me feel better.

“You have to question, why would [a company] give a grant?” he says. “There are no charitable deductions, no equity invested in the company, and you’re not paying [the grant] back, so it’s not a loan.”

So, really, there’s no big incentive for entities to hand out money. But of course there are those gems — usually big-name brands — that extend a helping hand.

Lucky for you, I found three.

3 Small Business Grants to Keep on Your Radar

Before applying to a grant, be sure to read the fine print. I can’t stress that enough.

And give yourself plenty of time to apply. Like scholarships, these grant applications can be real hair-pullers. They’re also super competitive, so spend time perfecting every detail.

1. FedEx Small Business Grant Contest

If you win this contest, you’ll receive not only a paycheck, but also become a member of a strong, entrepreneurial community where you can share and gain a wealth of knowledge.

This year, 10 businesses were awarded up to $25,000. Worth the application? Heck yeah.

Head on over to the contest page to see this year’s range of winners, from a business to help homeless and disabled artists sell artwork to a company that designs bicycle racing wheels.

Go ahead and make a reminder for yourself to check back in for the spring 2017 contest announcement.

2. Miller Lite Tap The Future Grant

Yes, even a beer giant offers small business grants.

This annual competition gives entrepreneurs a chance to win more than $200,000. And, like the FedEx contest, this isn’t just a funding opportunity. You’ll be able to attend business seminars and rub elbows with business superstars like Daymond John.

This year, the application period ran Feb. 11 to April 8, semifinalists were announced in May, then people pitched their business ideas live in July. (I’d need a Miller for that.)

The national finals are in September and we suspect the timeline will be similar for 2017, so be sure to pop in for updates. In the meantime, start drawing up your business plan.

3. The Zach Grant

Context: Zach is the founder of Fusian, a restaurant chain. He applied for a small business loan and couldn’t snag one, which sparked his cousin Jared to investigate.

In short, Jared created Fundera, a site to help small business entrepreneurs (and worth checking out). After its establishment, Fundera created the Zach Grant.

For this grant, you won’t need to lace your pitch with business jargon. Instead, record a three-minute video explaining why you created your small business. Then, follow the subsequent instructions. You could win $2,500.

The grant is awarded every year, so keep posted.

Other Small-Business Grants and Options for Funding

Because grants can be difficult to find, Shelton offers other suggestions.

Wherever you’re located, check with your county’s economic development department. It won’t offer you a grant, but sometimes it offers low-interest loans. After all, many cities are in the business of growth, so they might want your business.

There’s also something called HUBZone, which stands for Historically Underutilized Business Zones. The program’s part of the U.S. Small Business Administration and encourages small companies to set up shop in disadvantaged areas. This allows areas to increase employment rates.

“It fits many people’s agendas,” Shelton says.

Your Turn: Have you ever applied for a small business grant?

Carson Kohler (@CarsonKohler) is a junior writer at The Penny Hoarder. After recently completing graduate school, she focuses on saving money — and surviving the move back in with her parents.

The post These Grants Can Help You Finally Get Your Small Business Off the Ground appeared first on The Penny Hoarder.

source The Penny Hoarder http://ift.tt/2bUDBkg

How Much Should You Spend on Paid Ads? Here’s My Data-Driven Formula

A few years back when I first started NeilPatel.com, I spent $66,372.09 on paid advertising through LinkedIn, Google AdWords, Retargeter, Perfect Audience, and StumbleUpon ads.

You might say that’s a lot of money.

It was. But I learned some valuable lessons.

I learned which platforms and networks work best for targeting which audiences with which ads.

Some of my takeaways?

LinkedIn, for example, provided an excellent return on B2B ads, while Google still reigned supreme for B2C. StumbleUpon’s conversion rate for paid products was woefully low.

The top three paid ad spots on Google’s SERPs, for example, get 41% of the clicks. Even the best SEO techniques will only expose you to 59% of the viewing audience, and Google’s knowledge graph and infoboxes are quickly cutting into that as well.

Marketing professionals across the board agree that pay-per-click advertising works. The hard part is getting set up with a solid PPC plan to serve as your foundation.

We need to know how much to spend, when to spend it, where to spend it, and how to spend it correctly.

Those are tough calls to make, especially if you’re a paid advertising newbie. The paid platforms can be complicated and confusing. What do you do with all these options, data, and metrics?

To answer these questions and be successful, instead of playing a guessing game, we need information and cold hard data. 

How PPC works

First, a quick lesson in PPC, which you probably already know. I’m including it for the newbs (and a refresher for the pros—it never hurts!).

Google and other search engines allow you to purchase ad views on their platforms on a pay-per-click pricing model. The actual price is determined by the number of searches and ads running for a particular keyword or phrase.

A popular search term, such as “insurance,” can cost $59 per click to advertise, meaning you’ll have to pay Google $59 for every lead it gets to your website by displaying your ad at the top of the search results for the terms you bid on.

This isn’t your typical example, however, as “insurance” is actually the most expensive PPC keyword by a large margin.

These costs can be mitigated (and conversions improved) by targeting specific demographics, affinity groups, geographic locations, and mobile devices, which are generating more and more search traffic.

Of course, search engines aren’t the only platforms for paid ads. Social networks and video ads are rising in popularity, as explained in this Search Engine Land article by Pauline Jakober.

Video ads in search results aren’t a reality yet, but with Alphabet owning both Google, the world’s largest search engine, and YouTube, the world’s largest video platform, it’s only a matter of time.

Determining CAC and LTV

CPC isn’t the same as your customer acquisition cost (CAC). What ultimately determines your CAC is your website’s conversion rate.

If each web visitor costs $59 to obtain and you’re only converting 50% of your visitors, the customer acquisition cost for your PPC campaign is actually double your CPC, or $118 in the example of insurance.

This doesn’t take into account the rest of the marketing budget either, which also includes radio, print, television, social media, billboard, event marketing, and other customer outreach initiatives.

The CAC is calculated by dividing all marketing expenses by the number of customers acquired in the same period. For example, if a company spent $10,000 on marketing in a year and acquired 10,000 customers as a result, its CAC is $1.00.

Balancing the CAC with the customer’s lifetime value (LTV) is how you create a successful business model.

So long as the LTV is larger than the CAC, your marketing efforts are working, and you have a sustainable business model.

When the CAC rises above the LTV, you’re in trouble.

Because understanding this concept is critical, here’s a graphic to help make the lesson sink in:

To calculate the LTV of a customer, you need to know how much each customer spends in an average purchase, how many purchases the average customer makes in a certain time period (day/week/month/year), and how long the average customer sticks around.

Profit margins, discounts, customer retention rate, and gross margins are all factored in to the final formula, which you can find here.

In the case of an insurance company, if an average policy costs $1,000 ($100 is profit), and the average customer is retained for 3 years, you’re making $300 for every $118 spent on your PPC campaign, which is close to the actual average.

Businesses make an average of $3 for every $1.60 they spend on AdWords.

I’m sure you want to double your money. We all do. But if everyone is advertising for the keyword “insurance,” they’re missing quite a bit of traffic. You need to check associated keywords.

Extending keyword searches

There are millions of searches for insurance every month, but you have no idea whether those people are looking for medical, life, business, home, phone, or auto insurance.

It’s still worthwhile to advertise on a single keyword, but with such a high CPC, you shouldn’t pour all your budget into that one highly competitive keyword.

“Car Insurance,” “insurance quotes,” “auto insurance,” “compare car insurance,” and “car insurance quotes” all have different prices for different search volumes. Spreading your budget across all these keyword phrases increases the chances that your ad is seen by people searching the web in different ways.

At this point, your overall CPC will be determined by the cost and frequency of each individual search term. You can afford to buy some traffic for “insurance” and “auto insurance” so long as it’s balanced out with “compare car insurance,” “insurance quotes,” and “car insurance quotes.”

You now have a potential pool of customers that’s three times the size of your original pool, which maximizes the reach of your ads.

Continue this research into five- and seven-word long-tail searches for the best results. For example, phrases such as “Best car insurance company in Arizona” or “Cheapest car insurance for 2005 Ford Mustang” are great ways to target specific regions or car owners.

The longer a search term, the more specific information a customer is typically looking for. While searches may be lower, bids will also be lower, allowing you to obtain some customers for $5 and others for $50 while still maintaining a low CAC.

Portioning budgets for each keyword is critical as this is one of two places where smart marketers maximize their ROI. The other is targeting specific customers using Remarketing lists for search ads.

Targeting the right customers

A few years ago, Google moved beyond focusing on just keyword searches to looking at contextual information about customers.

The most valuable result from this change was RLSA—remarketing lists for search ads.

RLSA lets you target customers who have visited your website previously.

Bounce rates are high on websites, but just because a customer leaves doesn’t mean they’re not interested. Shoppers may visit a site 9 times before purchasing, so the more they visit, the further down the conversion funnel they may be.

Take a look at this sales funnel:

For every 5,000 visitors, only 100 inquiries are received, so why waste ad money on those 100 when you should be focusing on converting the other 4,900?

Using RLSA, you can optimize bids to increase your ROI. Tirendo Tires, for example, increased sales by 22% and conversions by 163% simply by raising their bids on previous homepage visitors.

World Travel Holdings increased ROI by 30% by using RLSA to target previous site visitors for broad search terms (like “insurance” in the example above).

By adding the remarketing tag to your website, you allow Google to further segment your visitors and hyperfocus your PPC ad campaigns.

Of course, the downside to these PPC ad platforms is you can’t determine who is already a paying customer. I constantly receive ads for products and services I’ve already purchased, which I know is wasting the advertiser’s money.

You also have to be wary of disgruntled customers and employees who may purposefully click your ads without making a purchase. (Seriously, people do this in order to drive up the cost of your ad spend.)

Segmenting and targeting ads in any way is an essential step toward optimizing them and getting the most bang for your marketing buck.

Conclusion

PPC is still one of the most popular methods of advertising, with over $500 billion spent annually on it.

It can be exciting to envision massive ROI and all the extra sales you’ll be able to make by simply toggling some ads and letting them run.

Before spending any money on a campaign, however, it’s important to understand what keywords and searches have the best conversions for your site. Targeting these searches with ads moves you to the top of the search results, giving you optimal visibility.

Beyond just search terms, it’s also important to target customers at specific points in the sales funnel.

The actual cost of your PPC campaign isn’t as important as the ratio of CAC to LTV. It’s okay to spend a little more if you are marketing a more expensive product or a company with higher retention rates.

So long as your overall marketing budget doesn’t outweigh the lifetime ROI from customers, you’ve built a sustainable business model.

How much are you spending on paid search? Are you getting a solid ROI?

Source Quick Sprout http://ift.tt/2bmc6k5

How to Minimize and Get Maximum Value from a Book Collection

My wife and I are both lifelong reading addicts. We have shelves and boxes full of books around our home, even after several “purges” of our collection, and we could easily pare it down quite a bit more if needed in order to free up space.

If you’re a book lover, the first thing you’re probably thinking to yourself is how on earth we were able to convince ourselves to downsize our book collection without serious heartache. A good book can be like an old friend, containing thoughts and ideas and memories that can feel almost as real as anything we experience. How can a person just get rid of that? And why would a person do that?

Well, the reasons why are obvious. A large book collection takes up space, which necessitates more living space to house it, which costs money. A large book collection also represents a sunk cost, meaning it cost money to acquire the collection and it also represents at least some value sitting there. And, let’s be honest, most of that book collection is just “sitting there.” You’re not actively reading the books and many of them really aren’t being used for decoration (unless you happen to live in a home with an entire wall that’s a bookshelf that basically turns it into decor).

I’ve minimized my book collection several times (many people like to give me books as gifts and I do have an occasional weakness for new ones, so it eventually re-inflates a little). Here’s the strategy I use for paring things down, along with some of the techniques I use for getting value out of the books I get rid of.

Four Key Questions

I pare down my collection by going through each book that I own and asking myself these four questions as honestly as I can.

Will I read this book again in the next year or two? If the answer is no, I get rid of it. The strong likelihood is that if I’m not going to re-read this book or even look at this book in the next year or two, then it deserves to be in the hands of someone who will read it in the next year or two. This ends up eliminating a lot of my collection.

Is this book rare enough that I won’t be able to easily get it from the library (or another legal, free source)? Even if it’s a book that I might re-read soon, if I can get it from the library with ease, I’ll get rid of it. This ends up eliminating a lot more of my collection.

Do I use it for regular reference? If the answer is yes, then I keep it around. This includes some of my favorite cookbooks, cooking references, tabletop gaming books, and books like Your Money or Your Life that I refer to in my professional work. This usually keeps some books in my collection that would have been discarded by the previous questions.

Is there a very clear and very exceptional sentimental reason to keep it? I have a few books that I want to keep for deep sentimental reasons that go beyond simply loving the experience of reading the book. I have books personally signed by authors. I have books that were given to me by loved ones and have these really wonderful personal notes on the inside cover. These books are kept for sentimental reasons, though I could downsize them at some point if it were really necessary.

Basically, I eliminate books I’ve already read and have no real reason to keep around for regular reference.

The Sunk Cost Fallacy

Quite often, book owners will fall into the “sunk cost fallacy” when it comes to their book collection. They’ll look at the MSRP of the books that they own, recognize that they probably won’t get that much value out of them (usually, they won’t get anything close to that), and use that as justification for keeping the books.

The reasoning is that if you have a book you bought for $10, selling it for $1 means that you’ve lost money on the deal, so it’s better to just hold onto the book. That’s a fallacy.

The truth is that once you’ve spent the $10 on the book, it’s gone. Books are not a financial investment (unless you’re talking about super-rare books that collectors might want). Books are items that you buy for personal enrichment and the item itself devalues significantly as soon as you pay money for it and walk out of the store with it. The initial amount you paid is already gone. You’re never getting it back. At best, you can recover a fraction of it.

Here’s the way I look at that sunk cost. I have a book on my shelf that I’ve already read. I have the possibility of selling it for $0.50 or $1 or something like that. If I saw this book for $0.50 or $1 at a used book sale, would I buy it given that I’ve already read it and given that I can probably get it from the library should I really want to read it again someday? The answer is almost always no. In that case, why am I keeping it on my shelf instead of having that $0.50 or $1 in my pocket that I would get from selling it?

You’ve already sunk that cost into the book. It’s not coming back. Instead, look at what gets you into the best position from where you’re at right now. That’s the best way to look at almost all of your non-investment possessions.

Getting Value Out of the Discarded Books

So, you’ve decided to get rid of a bunch of your books. Now what? How do you get value out of them?

Here are five things that I typically do with books when I’m clearing out my own book collection.

Have a book swap with friends. Many of my friends are voracious readers as well and we all accumulate books. Every once in a while, we’ll come together, each of us bringing a box of books, and do some one-for-one book swapping with no intention of ever getting the books back. At the end of the swap, all of us have a pile of new books to read, ones that our friends have usually read (so we can talk about these books with them).

Use Paperbackswap. This is essentially the same thing as a big book swap with friends, except it’s online, there are lots of friends, and it’s done via USPS Media Mail, meaning it costs a buck or two to do a swap. It’s also done asymmetrically, which means you trade a book for a “credit” and then you later use that “credit” for any of their listed books.

Have a yard sale with smart pricing. This is a great way to sell off a large bulk of books with minimal effort. Just put them all out on a table with a sign that says “$1 per book on Friday, $0.50 per book on Saturday, $0.25 per book on Sunday – first come, first served.” (You can adjust the prices a little if you wish.) You’d be surprised to find that most of the books sell on Friday or Saturday with a sale like that.

Use Craigslist or a community swap site. If you don’t have a full free weekend to have a book sale as with the above suggestion, you can do much the same on Craigslist. However, you’ll have to list all of the books individually and you may end up having to deliver (or having people stop by to pick up) many different bundles of books. If you do it this way, you may want to offer discounts to people who buy large bundles at once.

Use eBay for individual items with notable value. If you have specific books that are valuable on their own, like first editions or signed editions, you may be able to get a good price for such books on eBay or Amazon Marketplace. In general, this is a very inefficient way to sell individual used books, given the time involved and the costs of shipping and the relatively low bids most books will receive, but it’s a great avenue for individual books with high value.

Final Thoughts

I know quite well how challenging it can be for a book lover to pare down his or her book collection, but for me, the motivation to do so came from three places.

First, books sitting on my shelf unread could be enjoyed by others, including my friends. A book is meant to be read. It’s not meant to sit forever on a shelf.

Second, those books have value. Every book sitting on my shelf can get me at least a quarter, and some can get me quite a bit more than that, and I can put that money to work. Many can be traded for other books that I haven’t actually read.

Finally, shelves stuffed with books I probably won’t read again take up space in my home and require me to have more living space than I otherwise need. That means higher rent, higher insurance rates, and so on.

Add those together and it really does make sense to downsize, especially when considering the advantages of the local library.

If you’re a book lover, take a hard look at your collection and ask yourself why you’re holding onto many of the books. You might find a new motivation to clear out space, get some new books to read, and put a few dollars in your pocket.

The post How to Minimize and Get Maximum Value from a Book Collection appeared first on The Simple Dollar.

Source The Simple Dollar The Simple Dollar http://ift.tt/2buw370

Getting a Flu Shot This Season? You Could Get a Free $5 or $10, Too

Summer’s at an end.  

It’s time for back-to-school shopping, throwing one last, boozy backyard bash, and — yes — thinking about the coming flu season.

Are you getting a flu shot this year?

It’s smart penny hoarding to do so: Avoiding the flu means avoiding taking sick days from work, and you won’t suddenly need to buy a bevy of tissues and decongestants.

To say nothing, of course, about the worst part of the flu: “It can make you feel awful,” as CVS almost too-plainly states.

So if you’ve decided to try and outsmart the virus by facing the needle, why not reap even more rewards than not being reduced to a couch-ridden, snotty mess?

Get Your Flu Shot at CVS to Score Sweet Freebies and Deals

Mike Mozart under Creative Commons

CVS has already begun offering vaccines for the 2016-2017 season, and if you stop by to get yours, you’ll get more than a stick in the arm.

Freestanding CVS locations offer shoppers 20% off up to $50 worth of non-pharmacy purchases when they get their flu shots.

Since you always need stuff like shampoo and laundry detergent, it’s basically a free $10 for you to use to stock up — and since your 20% pass is good until March 31, 2017, you’ll have plenty of time to take advantage of it.

To get the deal, you must be an ExtraCare Rewards member — but it’s free and easy to sign up.

Also, beware that the pass can’t be issued or redeemed in Arkansas, New Jersey or New York, or at MinuteClinic locations in Massachusetts, Rhode Island or Pennsylvania. Sorry, Northeasterners!

If you stop by the CVS Pharmacy or MinuteClinic inside your local Target, you’ll get a different deal: a free $5 Target gift card, available between Aug.15, 2016 and March 31, 2017.

The gift card has no expiration date, but, again, Arkansas, New Jersey and New York are exempt.

Should You Get a Flu Shot This Year?

skynesher/Getty Images

While the Centers for Disease Control (CDC) recommend flu shots every season for almost every human being over the age of six months, you should avoid the vaccine in some instances. See your doctor for the best advice.

But if you are going to get one, it might pay to do it soon — and not just because you’ll avoid long lines in September.

According to CVS’s information, “the vaccine provides protection starting two weeks after you receive it,” and the CDC recommends you get vaccinated every flu season “as soon as you can” to get ahead of the nasty bug

Most insurance policies cover flu shots, but if yours doesn’t, the vaccine will run you $39.99 at CVS and Walgreens.

And if you’re a student or employee, be sure to double-check and see if free immunizations are available! Many campus infirmaries and large corporate firms offer these disease-stopping measures gratis to help keep their communities healthy and productive.

If all goes as planned, you’ll stay sniffle-free and feeling anything but awful this winter — and who knows? You might just score some free money while you’re at it.

And that, unlike the needle, certainly can’t hurt.

Your Turn: Are you getting a flu shot this year?

Jamie Cattanach is a staff writer at The Penny Hoarder. Her writing has also been featured at The Write Life, Word Riot, Nashville Review and elsewhere. Find @JamieCattanach on Twitter to wave hello.

The post Getting a Flu Shot This Season? You Could Get a Free $5 or $10, Too appeared first on The Penny Hoarder.

source The Penny Hoarder http://ift.tt/2bV3ezY

How Small Businesses Can Save On Credit Card Processing Fees

When it comes to accepting credit cards as payment, small businesses are “damned if they do, and damned if they don’t” – as in, they stand to lose income no matter which decision they make. Since approximately 35% of people preferred credit to any other type of payment in 2014, small businesses could miss out on sales if they refuse to accept credit cards altogether. But since typical merchant account companies charge up to 5% for each transaction, the costs of accepting credit can add up fast.

So, what’s a business to do? By and large, most businesses – and even small ones – grin and bear it. Better yet, they build the cost of accepting credit into the retail price of everything they sell.

Four Tips to Help You Save On Credit Card Processing Fees

But there are additional ways businesses can save on credit card processing, and they aren’t that hard to implement, either. If you’re a business owner who’s tired of paying huge credit card processing fees, here are a few tips that can minimize your pain:

Tip #1: Set a firm minimum for consumers who use credit.

To reduce the damage caused by credit card processing fees, some merchants up the ante in terms of how much their customers must spend. In other words, they set a minimum for each transaction they process with credit, say $10.

When faced with a purchase minimum to use credit, consumers can either turn to cash or spend more – both options that benefit your business. If customers opt for cash, you’ll avoid credit card processing fees altogether. But if they spend a bit more so they can use credit, the extra revenue can help offset credit card processing fees.

To implement this strategy, all you have to do is post your new rule prominently by the cash register and inform your employees of the change. Then, follow up to make sure they follow through. It’s as simple as that.

• Related: 21 Best Small Business Apps

Tip #2: Shop around before you choose a credit card processing company.

Credit card processing companies have to compete to attract (and keep) clients just like everyone else. As a result, credit card processing fees can vary depending on the company you choose. One might offer a lower rate to lure in new customers, while another might charge more for the exact same thing. Either way, it pays to shop around to find the best deal – especially when we’re talking about a difference of a percentage point or more of your credit sales.

One small business owner we interviewed in 2015 said she switched from her old credit card processing service to Square, and praised their straightforward fees. “One month I looked at my bank account and [my credit card processor] had taken $2,500 out of my account just for fees,” said Coffee Break Cafe owner Jen Ormond. “And I was like, I’m paying more in credit card fees than I am for rent. So I literally went to Apple that day and I bought the [Square] swiper, and it’s the best thing I’ve ever done.”

To find a few processing firms for comparison’s sake, check with other businesses in your area and ask who they use. A simple search of the Better Business Bureau (BBB) may also turn up companies in your area while letting you check their credentials along the way. You can check out the Simple Dollar’s guide to credit card processing services as well.

Before you sign up to use anyone’s service, make sure you understand their fee structure and how it works. Saving a percentage point or even half a percentage point on credit sales can be huge for your bottom line, but failing to conduct due diligence can be costly.

• Related: Best Credit Card Processing Service

Tip #3: Buy your own credit card terminal instead of leasing one.

When you sign up with a credit card processing company, you’ll find some firms also rent the equipment as well. While that might sound convenient, you should know that renting a POS system is much like renting anything else – as in, you’ll pay a lot more over time than if you had just bought the equipment outright.

A quick search of an office supply store shows that credit card terminals run anywhere from $100 to $600. Depending on how much you’re asked to pay to rent one, purchasing your own processor could easily pay for itself in a short amount of time.

Tip #4: Make sure your employees aren’t entering credit information manually.

Because credit card information entered manually can mean a higher incidence of fraud, credit card processing firms charge more for these transactions. Because of this, you’ll want to go out of your way to make sure each credit transaction is processed through your POS system by either a swipe or the “dip” of a chip-enabled credit card.

To make this step happen, you should train your employees and cashiers to avoid entering card information manually at all costs. And if possible, you can also try to limit credit purchases made over the phone.

Even if the additional charge for entering credit manually is only a half percentage point more, those fees can cut into your profits dramatically over many months and years.

Final Thoughts

If you’re a business owner who is struggling to come to terms with their credit card processing fees, there are a handful of ways to lessen the burden without alienating your customers. Remember, small fees can make a huge difference to your bottom line over the long haul. Credit card processing fees may be unavoidable, but you can reduce them with a few simple steps.

Related Articles:

• Credit Card Processing Guide for Small Businesses
• Best Credit Card Processing Service
• Best Business Credit Cards of 2016
• Credit Card Processing Explained and Mobile Readers Reviewed
• Best Small Business Loans for 2016

How much do you pay in credit card processing fees? Have you tried any of these strategies to reduce your fees over time?

The post How Small Businesses Can Save On Credit Card Processing Fees appeared first on The Simple Dollar.

Source The Simple Dollar The Simple Dollar http://ift.tt/2bUhA53