American Express Makes a Move on the Tech Savvy

American Express is out to bring younger customers on board through Foursquare. Foursquare is a social networking start-up that utilizes computers and phones with global positioning technology to let others keep tabs on where they are.  Foursquare rewards users for checking into their favorite places.  The locations must be participating with Foursquare in order to count.  The more often a customer “checks in,” the more rewards they get.

Foursquare is an ideal place for AmEx to gain new customers and keep up with advancing technology.  “The credit card company has to keep up with the times,” says one Foursquare user and rightfully so.  In today’s competitive business world, you have to find a way to stand out from the crowd.

With more young people obtaining credit cards, AmEx is in a race with other credit card companies to gain loyalty from those who are already tech savvy.  That’s because this demographic is spending more money online these days.  Last year, AmEx recognized that because over $100 billion is being spent online, they need to find new ways to encourage younger customers to use their card instead of a competitors’ like Discover or Capital One.

The Wall Street Journal noted that online sales are increasing at 20% as opposed to 15%, which is the rate for all other types of purchases.  With numbers like this, is it any wonder that AmEx is willing to take the plunge with the lesser known social network.

Foursquare has tried to partner with other credit card companies before to no avail.  They may have needed to mature a little before a major credit card company could take them seriously.  Perhaps trying a test run with one another will help AmEx and Foursquare see how this setup could work out to their advantage.  Both companies are hoping to benefit from new customer loyalties and profit from the venture.

AmEx and Foursquare will make their debut in Austin, Texas, March 11-20, 2011, at the South by Southwest Interactive Festival.  The goal is to eventually go nationwide after a test run of the partnership.  Together, they could reel in a younger crowd that is enamored with technology and willing to be loyal customers for a lifetime.


Eliminate Credit Card Debt through High Interest Savings Accounts

After the recent economic meltdown, many Americans have started depositing money in their savings accounts. But unfortunately, people who are knee-deep in debt are not quite well versed with the concept of eliminating their debt by using a high interest savings account. Instead, they take out credit card debt consolidation loan to pay off their outstanding dues. Now, you must be wondering if high interest savings account can be utilized to pay off the owed amount to lessen your financial obligations.

Reason behind choosing high interest savings accounts

Savings accounts with online banks, regional banks, credit unions and community banks often give high interest on the savings accounts. Therefore, you can rely on these accounts to pay off your insurmountable debts. An online search will help you to find banks that give high interest on the savings. You can eradicate your credit card debt with the high return from your these accounts.

Use Debit Instead of Credit

You can use the cash in your account through a debit card offered by the high interest savings accounts. Instead of exhausting your credit card limit try out your debit card to buy things. Limited cash in your hand will restrain you from over expenditure. Along with that you will start a good habit of spending within your budget once you start using your debit card. Avoiding the use of your credit card and focusing on paying your arrears will help to wipe out the piling debts.

Know how your savings accounts can eliminate your credit card debt

Profitable returns that you earn from your high interest savings account can be used to pay off your debts. Using your debit card will help to depreciate the credit card balance growth. The high interest savings account can be an effective solution to eradicate your debts. But remember, closing your accounts might have a negative effect on your credit report. It may also affect your ability to get a loan in the future. Therefore, you need to be more responsible while using the credit card so that you do not incur debt burden. Occasional use of the card and paying off the balance on time will help you to avoid mounting bills. You can be less reliant on your credit card if you possess a high interest savings account that will manage your financial situation with ease.