Consumer Credit Assignment

Worth 25 points

Purpose: There are two purposes for this assignment:

1. To analyze credit card offerings to see what is available to consumers and
2. To assess your credit report(s).

Please note that you will not be applying for credit as a part of this assignment,
just doing research. Also, I don’t want you to spend any money to get your credit
reports for this assignment.

Directions: Directions are below for each of the two parts. Please use the rubric
for this assignment to make sure you have included everything you need so you
can earn full credit for this assignment.

Part 1: Credit Card Comparison

Gather data about four different credit card opportunities. Analyze the data you
collected and determine the appropriate card for your personal use.
You can compare similar cards being offered from 4 different companies or you
may look at 4 different cards being offered by 1 company.

If you have the Credit Karma app on your cell phone you should see credit card
recommendations geared toward you. You can use these for this assignment if
you wish to.

1. Make a chart including the following information about the 4 different credit
cards you researched. Please provide detailed information:

Company Type of Interest Fee Benefits Other Website

Name Card Rate s Informatio
n
Capital One Quicksilver 0% for the first $0 Unlimited 1.5% One time $200 Source
Cash 15 months Cash Back on cash bonus
Rewards then 15.49% - Every purchase, after spending
Credit 25.49% every day $500 on
Card (variable) purchases
within 3
months from
opening the
account.
Discover Discover it 0% for 14 $0 5% cash back Will match all Source
Cash Back months on on everyday the cash back
purchases and purchases at earned in the
balance different places first year at
transfers then each quarter. the end of the
11.99% - 1% cash back first year. Get
22.99% on all other free access to
purchases credit score.
Citi Diamond 0% for 18 $0 Get free access Include a $0 Source
Preferred months on to your FICO liability on
Card purchases and credit score, Unauthorized
then 13.74% special access Purchases
-23.74% to purchase and Citi
tickets to Identity Theft
thousands of Solutions
events.
American Blue Cash 0% APR for Earn up to $250 Earn 20% Source
Express Everyday the first 15 in statement back on
Card months, then a credits. 3% cash Amazon.com
variable rate of back on purchases for
13.99% - supermarkets up to $150.
23.99% for up to $6000 Earn $100
a year. 2% cash back after
back at gas spending
stations and $2000 in the
select first 6 months
department in the form of
stores. 1% on all statement
other credits.
purchases.

2. Write a ½ to 1 page analysis of which card (if any) would be the most

appropriate card for your personal needs.

After comparing the four different credit cards, I decided that I would go with the

Discover It Credit Card. The reason I chose this credit card was because it had

the lowest annual percentage rate than the other cards. This card also offered

free credit report checks and cash back rewards for different purchases. They

also offer rewards for everyday purchases at lower rates. The one thing I liked

was that they offered to match the cash back you earn in a year after your first

year of having the credit card. If I use the card wisely, I could potentially use that

cash back to pay off any of the credit I owe or get myself something I have

wanted and use that statement credit for the purchase. Most cards offer the

same as far as no annual percentage within the first year and offer cash back. I

felt like Discover’s benefits were better compared to the rest.

Part 2: Assessing your Credit Reports.

After reviewing my credit report, I realize that I have one too many credit

accounts open and that I need to work on my credit. I have two accounts

that became delinquent because I forgot to schedule the payments on

both. I also have one account where I did send the payment, but I

overpaid other accounts and ended up over drafting my bank account and

the payment bounced back. I have been trying to pay off accounts and

close them as soon as they are paid off so that I do not use them

anymore. I did not realize how credit reports worked and noticed that I had

ran my credit to apply for credit cards one too many times. I need to stop

applying for cards and focus on paying off my debt and bringing down

what I owe so that my credit can go back up.