2011 Credit Card Trends – From Debt Relief to Attractive Credit Card Offers

There have been numerous downs in the economic condition of America since the recession of 2007-2009. However, the economic condition of the country has been gaining in balance. As a result, the job market has also started to improve. This can lead to increased money in the hands of people and so there may be a surge in the credit card offers. Moreover, 2010 was more a year of credit pull back and debt relief. So, 2011 may see more increasingly attractive credit card offers.

Credit card trend predictions for 2011

The credit card trends as predicted by the market watchers or the financial experts are:

  1. Increased Credit Card Offers – The credit card issuers have started to increase their credit card offers after losing millions of credit card accounts in the past 2 years. People have been enrolling in debt relief programs rather than getting new credit cards. As per reports, credit card offers through mails increased considerably in the last quarter of the year 2010, more than that in the third quarter.
  2. Increasingly Attractive Credit Card offers – The creditors are increasing the reward offers as these credit cards with reward offers have been outperforming other credit cards. Moreover, the cash bonuses may also be used not only to attract some new customers, but also to get back the existing cardholders to start reusing their cards. There may also be good balance transfer offers in the year 2011 like the 0% APR balance transfers.
  3. Increase in the Interest Rates – On the average, recently the interest rates on variable rate credit cards have been around 14.39%. This increase can be attributed to the restrictions on credit card issuers from increasing the APR as per the new CARD Act of 2010.
  4. Hard to be Eligible – Although the number of credit card offers may increase, the lenders may show some signs of easing the lending standards. However, the card issuers may continue to be selective before approving you for a new credit card. You still need to have a good income and good credit score in order to qualify for credit cards.

Other than the above, the card issuers are thinking of introducing new fees because the new CARD Act of 2010 has restricted them from collecting high penalty fees. Another very important thing that can happen in 2011 is that the smart phones may be battling to take over the credit card payment methods. The customers may no longer have to use credit cards while buying things. They will rather be able to use their cell phones for their purchase.

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