Energy companies may become more transparent in dealings

Transparency can benefit customers whether it is energy companies or credit card companies.

07:35 15 June 2013

New measures should make energy prices drop, according to a recent report. The measures being proposed would require energy companies to state their price for two years into the future, and in this way would allow greater transparency for customers.

Many times credit card companies could perhaps also improve their transparency towards customers. There are a few different things about credit cards that customers should be aware of to protect their finances.

• Interest rates—there are a few different types of interest rates offered by credit card companies. There are fixed interest rates which may not fluctuate, then there are variable rates which typically depend upon a certain base percentage and then an additional percentage amount can be added with the end result being a variable rate.

 

• Fees—some credit card companies are not as transparent as customers might like when it comes to fees. There may be annual fees, monthly fees, late fees, over-the-limit fees, application fees, and fees when you do not use your card.  Many times this information is included with a credit card application, but in much smaller print, or if it is online, it may be in a spot that is difficult to locate.

 

• Payments—although some credit card companies may make the minimum amount due quite clear, it is often less clear what the balance is, and sometimes what the available credit is. This can lead to confusion and potential over-the-credit-limit fees. It also does not necessarily make it clear what would be done with any extra amount that is sent beyond the minimum payment. That type of information is usually more difficult to find.

 

• Policies—credit card companies may be good at alerting customers about changes, but sometimes the information received is difficult to read due to the size of the print, the amount of the information, as well as how it is written.