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Whether you're leaving a job involuntarily, departing for something new, or just want to prepare for the unknown, it is smart to understand all your options regarding your 401k.
<h2>Leave It Where It Is</h2><p><a href="https://www.irs.gov/retirement-plans/401k-resource-guide" rel="noopener noreferrer" target="_blank">401k plans</a> differ based on the employer, but most will give you the option to leave your 401k where it is even when you don't work for them anymore.</p><p><div id="ezoic-pub-ad-placeholder-129" style="width: 100%;"> <!-- /10937338/Paypath/post-page-in-content-1 -->
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<!-- End Ezoic - In-Content 1- mid_content --></p><p>Depending on the 401k's money options, your money might be better off in the investments at your old job than moving it elsewhere. If you are happy with the investment options in the existing 401k, but not necessarily with your other options, it may be best to stay put. I personally did this with an ex-employer's 401k, because I was happy with the expense ratios and investments they offered. </p><p>Larger employers tend to offer 401k programs at lower fees. Compare any fees from your previous employer's 401k plan to whichever vehicles you are considering transferring to first. To do so, check the expense ratios of the mutual funds offered in both plans. </p><p><div id="ezoic-pub-ad-placeholder-131" style="width: 100%;"><!-- /10937338/Paypath/post-page-in-content-2 -->
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<!-- End Ezoic - In-Content 2 - long_content --></p><p>Depending on how much money is in your 401k at the time you leave, it may not be a good idea to leave it and do nothing. Often, accounts with balances of $5,000 or less may be closed automatically. If this happens, the employer may end up sending you a lump sum check, or deposit the money into an IRA in your name. It's best to check with your employer first.</p><p>Know that you won't be able to make more contributions to the existing 401k once your employment ends. Withdrawal options are also limited. 401k benefits, such as retirement loans, are usually not allowed once you are no longer actively participating in the plan.</p><h2>Roll It into a 401k with Your New Employer</h2><p>Simplicity is the key to easy 401k management. The standard routine for 401ks when you switch jobs is to roll it into your new employer's retirement plan. </p><p><div id="ezoic-pub-ad-placeholder-133" style="width: 100%;"><!-- /10937338/Paypath/post-page-in-content-3 -->
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<!-- End Ezoic - In-Content 3 - longer_content --></p><p>Having just one 401k to manage can be beneficial if you don't continuously dedicate time to review all your accounts. However, as we mentioned before, you should closely compare expenses and investment options before making that decision. </p><h2>Roll It into an Individual Retirement Account (IRA)</h2><p>You also have the option to roll over the funds from your 401k into an <a href="https://www.fidelity.com/building-savings/learn-about-iras/overview" rel="noopener noreferrer" target="_blank">IRA account</a> with a bank or brokerage firm, where your money will continue to grow tax-deferred.</p><p>One possible benefit of an IRA rollover is the plethora of investment options available to you. Many 401ks are limited to just a handful of mutual funds and bonds, whereas IRAs give you more choices. </p><p>Likewise, many 401ks limit the number of times in a year you can make investment changes (known as portfolio rebalancing). With IRA accounts, you're not limited to a select amount of times you can make such changes, giving you more freedom and flexibility with an IRA.</p><p>Many brokerages and banks are known for giving out incentives to new customers — and there's no shortage of handouts when it comes to opening a new IRA with them. You may be able to snag yourself a bonus while gaining more control over your retirement money. </p><p>As promising as IRA rollovers can be, it's not always going to be the best option for 401k funds. For example, let's say you've left a job for another and you're debating moving your previous 401k into an IRA or your new employer's plan. Always take into consideration employer matching contributions. Most employer's 401k programs will contribute a certain percentage or match what you put into the account. For example, let's say the program will match up to 6% of your contributions, and you contribute 6% of your salary that year which ends up being $3,000. With the employer matching contributions, you end up gaining another $3,000 for the year. If you choose the IRA, you could possibly miss out on a ton of money. </p><h2>Take the Money</h2><p>You always have the option to simply close out your 401k when you leave your job, but this is almost always a bad choice. </p><p>If you decide to take the cash when you aren't 59 ½ or older, then you will end up paying an <a href="https://www.irs.gov/newsroom/early-withdrawals-from-retirement-plans#:~:text=If%20a%20taxpayer%20took%20an,Nontaxable%20Withdrawals." rel="noopener noreferrer" target="_blank">excessive amount of taxes along with penalty fees</a> that are usually around 10%.</p><h2>Your Next Steps </h2><p>Once you have decided which rollover option to take, your first step is to set up the new account. When the account is opened, the new provider will provide you with instructions to transfer the money. Usually, this means you are in charge of contacting the former employer's plan administration and letting them know you need to make a direct rollover. </p>
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diy gifts
Frugal gifting often gets a bad reputation. However, this shopping method does not make you cheap — it makes you practical. Frugal gifts often avoid waste and overspending and can be just as meaningful (if not more so) as any other present.
With the National Retail Federation predicting each consumer this holiday season to spend upwards of $1,000 on holiday gifts amidst an economic recession —this year might be the perfect time to reconsider your spending budget. We've formulated the ultimate list of frugal gift-giving ideas to get you started.
<h2>Baked Goods</h2><p>Cookie exchanges have become a tradition throughout America — so there's no reason gifting homemade food can't also be an acceptable gift during the holidays. Gifting someone with homemade food not only saves you money but, more importantly, shows you took the time and care to make something and that it has the most important ingredient in any recipe: love.<br></p><p><div id="ezoic-pub-ad-placeholder-131" style="width: 100%;"><!-- /10937338/Paypath/post-page-in-content-2 -->
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<!-- End Ezoic - In-Content 2 - long_content --></p><p><strong>Try this: </strong>Fill mason jars with everything needed to make cookies, pancakes, or hot cocoa and decorate with some festive swag.</p><h2>Experiences </h2><p class="shortcode-media shortcode-media-rebelmouse-image">
<a href="https://media4.giphy.com/media/3ofT5LSchACd3OoG4w/giphy.gif?cid=2fb0ca76wlimklz0cl2ibg4x8uxilwk20mpn4g58o59evupx&rid=giphy.gif" target="_blank"><img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDk1ODMwMC9vcmlnaW4uZ2lmIiwiZXhwaXJlc19hdCI6MTY2MjQzNjMzMX0.DzXq6FlFiGy0vs1cQkhoKTRcZ56xJzS5vJ09KXaVIU4/img.gif?width=980" id="d5752" class="rm-shortcode" data-rm-shortcode-id="c2500fa4a55327f8d4fd5a8e12111e72" data-rm-shortcode-name="rebelmouse-image" alt="Jess and Rory in Gilmore Girls" data-width="480" data-height="358"></a>
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</p><p>A few years ago, my aunt gifted my children season passes to our local zoo. It was the best gift I never knew my children were missing. Gifting experiences, rather than material possessions, is a great example of frugal gift-giving. Some examples are season pass admissions to museums or zoos, even tickets, movie passes, and much more.<br></p><p><strong>Try this: </strong>Admission to zoos or museums, event tickets, or movie passes.</p><h2>Donations to Charity</h2><p>A sure-fire way to feel frugal about your spending this holiday season, a charity donation in lieu of gifts is something almost everyone can appreciate. Make it personal by specifying donations to charities near and dear to the gift recipient.</p><p><strong>Try this:</strong> Given the current health environment throughout the country, donating to <a href="https://donate.doctorswithoutborders.org/onetime.cfm" rel="noopener noreferrer" target="_blank">Doctors Without Borders</a>, the nonprofit organization that provides medical aid where it's needed most.</p><p><div id="ezoic-pub-ad-placeholder-133" style="width: 100%;"><!-- /10937338/Paypath/post-page-in-content-3 -->
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<!-- End Ezoic - In-Content 3 - longer_content --></p><h2>Regifting</h2><p class="shortcode-media shortcode-media-rebelmouse-image">
<img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDk1ODMwNi9vcmlnaW4uZ2lmIiwiZXhwaXJlc19hdCI6MTY2ODQ4MjA1OX0.Qmfe4WDJQkklBbHLaSUE-7LYp7nqrb2U6YxHfXhzBsc/img.gif?width=980" id="93d30" class="rm-shortcode" data-rm-shortcode-id="deb058f1ec166ef58fc84847d9fda77e" data-rm-shortcode-name="rebelmouse-image" alt="Seinfeld regifter" data-width="400" data-height="299">
</p><p>The regifter has long been given a bad name, such as in the famous <a href="https://m.youtube.com/watch?v=0a0EPfIZsow" target="_blank"><em>Seinfeld</em></a> regifter episode. But there's nothing wrong with passing along something pre-owned that someone else can use.<br></p><p><strong>Try this:</strong> Everyone loves candles, and there is a good chance you have an unburnt candle somewhere in the house.</p><h2>Socks and Underwear</h2><p class="shortcode-media shortcode-media-rebelmouse-image">
<a href="https://media1.giphy.com/media/3ohA2JgygJieWlLOh2/giphy.gif?cid=2fb0ca768s5u84ekgyskenrzch2rl9xq1x826bpi6i1fxyrp&rid=giphy.gif" target="_blank"><img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDk1ODMxNS9vcmlnaW4uZ2lmIiwiZXhwaXJlc19hdCI6MTYxODc3MTMyNn0.pwh5FOUamiRIUneCf5nTZy0tIs3RC6X-bfGOoHNJwlo/img.gif?width=980" id="3a597" class="rm-shortcode" data-rm-shortcode-id="f042ad1dfb62fc71d4bd4ccc0124d588" data-rm-shortcode-name="rebelmouse-image" alt="" data-width="480" data-height="270"></a>
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<a href="https://giphy.com/gifs/filmeditor-christmas-movies-a-story-3ohA2JgygJieWlLOh2" target="_blank">Giphy</a>
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</p><p>It was ingrained in my brain throughout my adolescence that getting socks or underwear for Christmas was the worst possible gift. I have come to realize, however, that these essentials are probably one of my favorite gifts to receive, as it's something I always need and rarely take the time to buy myself.<br></p><p><span></span><strong>Try this:</strong> If you want to impress them with your undergarment shopping abilities, impress them with a new pair of socks or underwear from <a href="https://www.meundies.com/collections/holiday-gift-guide" target="_blank">MeUndies</a>.</p><h2>Subscription</h2><p class="shortcode-media shortcode-media-rebelmouse-image">
<a href="https://media2.giphy.com/media/l2Je8Me69YEv6Qm7m/giphy.gif?cid=2fb0ca76ngvu3v0rtuzxffqouz8jbsdfjhuo9czya3vhi0bt&rid=giphy.gif" target="_blank"><img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDk1ODM0Ni9vcmlnaW4uZ2lmIiwiZXhwaXJlc19hdCI6MTY2NDI4ODQxM30.il3VG1r3M4qoWBTK4KqzA_p0Y6MDat2zUP61_FrukuY/img.gif?width=980" id="085f1" class="rm-shortcode" data-rm-shortcode-id="8a094f0ba423239ee756ec07f116fb63" data-rm-shortcode-name="rebelmouse-image" alt="the simpsons" data-width="480" data-height="362"></a>
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</p><p>The gift that keeps on giving, a subscription gift is something to be enjoyed long after Christmas. From books and magazines to streaming subscriptions, it's easy to find a subscription service tailored perfectly for every person on your list.<br></p><p><strong>Try this:</strong> For the coffee lover, try a subscription to <a href="https://www.drinktrade.com/subscribe?clickid=W87TxOzB3xyLW-iwUx0Mo385UkE1aSRZ2xraT40&irgwc=1&utm_medium=affiliate&utm_campaign=New%20York%20Media&sharedid=&adid=571223&gwlurl=https%3A%2F%2Fwww.drinktrade.com%2Fsubscribe%3Fclickid%3DW87TxOzB3xyLW-iwUx0Mo385UkE1aSRZ2xraT40%26irgwc%3D1%26utm_medium%3Daffiliate%26utm_campaign%3DNew%2520York%2520Media%26sharedid%3D%26adid%3D571223&iradname=Online%20Tracking%20Link&irmpname=New%20York%20Media&irmptype=mediapartner" target="_blank">Trade Coffee</a>.</p><h2>Grocery Store Gift Card</h2><p class="shortcode-media shortcode-media-rebelmouse-image">
<a href="https://media2.giphy.com/media/3oEjHVJtaC1T1w4Be8/giphy.gif?cid=2fb0ca76x42jcinf6xp2vfdo8t52ct2e1fkbkvtuixtfcmt7&rid=giphy.gif" target="_blank"><img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDk1ODM2Mi9vcmlnaW4uZ2lmIiwiZXhwaXJlc19hdCI6MTY1NTU3NTIwOX0.cMdeCxX3AWd1_WhE-JJD1dT9NT2i8fazSmTkXJp9pIs/img.gif?width=980" id="ca237" class="rm-shortcode" data-rm-shortcode-id="6034fba966bf11ad567ac73e69027421" data-rm-shortcode-name="rebelmouse-image" data-width="480" data-height="343"></a>
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</p><p>No one has ever been mad about receiving a grocery store gift card for a present. To save money, check local grocery stores that might have gift card specials.<br></p><h2>Gift Your Time</h2><p class="shortcode-media shortcode-media-rebelmouse-image">
<a href="https://media3.giphy.com/media/lz0fR8nwQfbq/giphy.gif?cid=2fb0ca767izsga83iyvjeicfxj8ovtkkcafcbcm8ac98hyx7&rid=giphy.gif" target="_blank"><img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDk1ODM2Ni9vcmlnaW4uZ2lmIiwiZXhwaXJlc19hdCI6MTYzODM5OTQ0Nn0.Qmst7orgx0jNvSgx5W_2kI3vfAUbCQ0nlyo-FSM5mAk/img.gif?width=980" id="7cc01" class="rm-shortcode" data-rm-shortcode-id="8fbac09d1500fc406ad1bd4835045f78" data-rm-shortcode-name="rebelmouse-image" alt="tyrrian" data-width="245" data-height="245"></a>
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</p><p>As <a href="https://www.fi.edu/benjamin-franklin/famous-quotes" target="_blank">Benjamin Franklin</a> put it in 1747, "Lost time is never found again." Since our time is such a valuable gift, it is the perfect way to show your friends and family you care.<br></p><p><strong>Try this:</strong> For the friend that cooks dinner for the family every night, give them a voucher to make them a full course meal so they get a break one night.</p><h2>Gifts from the Garden</h2><p class="shortcode-media shortcode-media-rebelmouse-image">
<a href="https://media2.giphy.com/media/3oz8y07ua4tO49cr3G/giphy.gif?cid=2fb0ca762xu8e7dyit8reowfyysa1cepthdmufyb8c5a6sfj&rid=giphy.gif" target="_blank"><img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDk1ODM3NC9vcmlnaW4uZ2lmIiwiZXhwaXJlc19hdCI6MTY3NDUyNzE4MH0.Vqg00AEwPdJCRQtF8k2jdwOCnCkItq9SustwAwRY1-I/img.gif?width=980" id="1c21c" class="rm-shortcode" data-rm-shortcode-id="ae5cacdf86c44cb482884422d3300e1d" data-rm-shortcode-name="rebelmouse-image" alt="Bob's Burgers" data-width="636" data-height="358"></a>
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</p><p>As people spend more time at home this year, more people are turning to gardening from home, and there's no better time to turn your outdoor garden or plants from the store into a frugal gift this holiday season.<br></p><p><strong>Try this:</strong> These <a href="https://www.notjustahousewife.net/mason-jar-wall-planter/" target="_blank">mason jar wall planters</a> are perfect for the DIY enthusiast to recreate and would look amazing on a kitchen wall holding cooking herbs.</p>
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Details Of A PS5 Pro Leaked Spell Trouble For Industry Rival Microsoft
December 07 | 2020
Playstation 5 Release
News of another new Playstation began to spread like wildfire after insider information leaked inside the gaming community this week. The PS5 Pro could be a game changer in the rivalry between industry giants Sony and Microsoft.
As if 2020 hasn't been a big enough year for the video game industry, news that Japan based electronics company Sony has plans in the works to make a hulk size version of their Playstation console, called the PS5 Pro, certainly made a big splash in the tight-knit gaming community.
<p>If the leaded reports are true the PS5 Pro will come with not one GPU, but TWO GPU's, a development that would be a monumental upgrade to its current system (which already contains the latest and best technology). For those of you not familiar with what that means, let's cover it quickly so you can understand how big of a change it would be!</p><p><strong>What Is a GPU?</strong><br></p><p>In the computer industry a GPU is what is known as a "Graphics Processing Unit, which is a processor that has been specifically produced to help computers accelerate the process of rendering graphics on screen. Its ability to simultaneously process large amounts of data has made it a crucial tool in devices meant for design as well as video editing and in the case of Sony, video game applications. </p><p><div id="ezoic-pub-ad-placeholder-131" style="width: 100%;"><!-- /10937338/Paypath/post-page-in-content-2 -->
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<!-- End Ezoic - In-Content 2 - long_content --></p><p>Currently, the PS5, Sony's latest and greatest gaming console comes with one GPU. Rival company Microsoft just released their own brand new console the XBOX Series X with one GPU, in an attempt to stay relevant in its long standing rivalry with Sony. Despite the PS5 being one of the hottest items to find this holiday season, gaming experts have come to the conclusion that Microsoft has distinguished itself as the winner between the two with their Xbox Series X. </p><p>While a lot of gaming connoisseurs have expressed glee and awe at the proposed specifications of this supposed PS5 Pro, there were many others that complained of being left having a bad taste in their mouth. Why? Well, for one, the PS5 has broken its record for biggest console launch in Sony's history and it is next to impossible for people to get their hands on one.</p><p><div id="ezoic-pub-ad-placeholder-133" style="width: 100%;"><!-- /10937338/Paypath/post-page-in-content-3 -->
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<!-- End Ezoic - In-Content 3 - longer_content --></p><p>Despite a pre-order process that began in September, coupled with large scale launch day events at Gamestops all over the country as well as online, and then several weeks of console releases at every major retailer in America, people still can't find one for themselves.</p><p><strong>Why Is PS5 So Popular?</strong><br></p><p>This is a much more complex question that it seems for a lot of reasons. The most obvious being that the difference in technology between the PS4 and PS5 is enormous and a lot of people have been using the PS4 for almost seven years now. </p><p>Some of the upgrades that have gamers going crazy over the new console are its 120Hz refresh rate (while this is advertised by Sony, users have found few available games to be able to take advantage of this feature) and ability to display 4k resolution. Specifically concerning the standard edition ($499), which comes with a 4k BluRay player, players will find that the graphics and display are advanced leagues ahead of its predecessor, the PS4.</p><p><strong>What Are the Specs Of the PS5?</strong><br></p><p>The PS5 contains an 8-core AMD Zen 2 CPU and an AMD Radeon RDNA 2 GPU, all in all, this is technology that will allow the console to produce up to 10 Teraflops of power in the graphics department. While it may seem like a bit of word salad, the translation is that the PS5 is almost a completely different device in the way it is built, operates, and performance it provides to gamers lucky enough to be able to own one this holiday season.</p><p>In addition to it being a graphics powerhouse, the PS5 also comes with a sizable amount of storage, clocking in at over 800gbs of available space after the completion of the installation process. Despite this being a pretty serious upgrade, there are some people critical of Sony's decision not to make it bigger or allow immediate expansion with a third party card. </p><p>The reason that some people feel it does not have the storage it should is because AAA games being released today can be require up to 350gb of space at installation. Interestingly, Microsoft decided to go with a full 1TB SSD, and while it may only provide approximately 150gm more space, it could mean a big difference when people make the decision on what console to take home.</p><p><strong>The Future Of Gaming</strong><br></p><p>Even though it barely gets any press, Sony simultaneously released a cheaper version of the PS5, called the PS5 Digital edition ($399), which comes with similar specs minus the BluRay disc drive. In order for gamers to take advantage of the digital edition they will need to purchase and download any desired games and content directly from the Sony store.</p><p>One of the reasons Sony made the digital edition is because it represents the future of Gaming the world. As companies test and begin to move towards cloud based gaming, the need for physical discs becomes less and less. Unfortunately (or fortunately, depends on who you ask) this could also spell the end of brick and mortar video game sales. Sorry Gamestop! </p><p>If I was forced to make a bet on it, I would say that the PS5 will be the last generation of consoles to come with a disc drive as non cloud based gaming is phased out of the norm.</p><p><strong>When To Expect the PS5 Pro</strong><br></p><p>Before you get all excited I should tell you that there is no indication that Sony has even seriously began working on the PS5, past ideas and thought. The reason the world even knows about the potential of a pro version is because Sony filed a patent for another console which led to this epiphany. At a minimum, it will be several years before we have to start worrying about to get our hands on the PS5 Pro.</p><p><strong>How Can I Find A PS5?</strong><br></p><p>If you are one of the millions of people in the world still looking to get a coveted PS5 console in time for the holiday, here is some advice I can give you now. Think long and hard about how important this system is to you and be realistic about how much time and effort you are willing to put into getting one. Between scalpers buying thousands of units for enormous markups, people sleeping in parking lots over Thanksgiving, and seemingly impossible online releases of the PS5, it is a daunting task and one that will definitely be the subject of future console releases. both here in America and world wide. </p><p>Check out FindKarma for the rest of our next-gen gaming content as well as in depth tutorials on how to find yourself a PS5 or Xbox Series X today!</p><h4></h4>
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When you're evaluating the benefits of one credit card over another, you have a lot of different factors to consider, including fees, rewards, and interest rates. But does the type of credit card you choose matter at all? Is there any real difference between a Visa and a Discover card with the exact same terms?
There are four major credit card networks in the US: Visa, Mastercard, Discover, and American Express. These companies offer a network of infrastructure that allows merchants to swipe your card and then collect the money from your card issuer. They also set the fees that the merchant must pay to use the network – that's right, every time you swipe your card, the merchant must pay for the privilege of allowing you to do so.
<h2>Network Fees</h2><p>The fees that your merchant pays, also known as interchange fees, are not static; Visa and Mastercard adjust their rates twice a year. Different types of businesses also pay different rates, and they may have different fees for different tiers of credit cards and debit cards. For instance, a Visa debit card transaction at a grocery store may have a smaller interchange fee associated with it than a restaurant even if the transactions themselves cost the same amount.</p><p><div id="ezoic-pub-ad-placeholder-131" style="width: 100%;"><!-- /10937338/Paypath/post-page-in-content-2 -->
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<!-- End Ezoic - In-Content 2 - long_content --></p><p>Online shopping is usually more expensive for the retailer because swiping a card is typically cheaper than typing in your card number on a website.</p><p class="shortcode-media shortcode-media-rebelmouse-image">
<img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDk0MTY1MS9vcmlnaW4uanBnIiwiZXhwaXJlc19hdCI6MTY2NjI2NzM1M30.MH3MNW0p8UPIyMYH6b-aedqXVdQqH9nJmdykbwf0pQ4/img.jpg?width=980" id="ad46a" class="rm-shortcode" data-rm-shortcode-id="781fbe82fe00de04dabe842df673b55e" data-rm-shortcode-name="rebelmouse-image" alt="The logos of the four major credit card networks in the United States" data-width="600" data-height="83">
<small class="image-media media-caption" placeholder="Add Photo Caption...">Of the four major credit card networks in the US, Visa usually has the lowest <a href="https://www.valuepenguin.com/what-credit-card-processing-fees-costs" rel="noopener noreferrer" target="_blank">processing fees</a>. American Express often has higher fees.</small></p><p><br></p><table><tbody><tr><td>Network</td><td>Average Credit Card Processing Fee</td></tr><tr><td>Mastercard</td><td>1.55% - 2.6%</td></tr><tr><td>Visa</td><td>1.43% - 2.4%</td></tr><tr><td>Discover</td><td>1.56% - 2.3%</td></tr><tr><td>American Express</td><td>2.5% - 3.5%</td></tr></tbody></table><p>These are on top of any additional fees that the credit card networks may charge such as charge-back fees, terminal rental fees, and IRS reporting fees. These fees are paid by the merchants, but they also affect you as a consumer. American Express almost always has higher fees than Visa, Mastercard and Discover, which is why you're more likely to encounter a merchant that won't accept it. If you're in the market for a new credit card, you may want to make sure you have a Visa or Mastercard as a backup instead of only having Discover or American Express, as Visa and Mastercard were accepted at 10.7 million locations in the US at the end of 2019, compared to 10.6 million for Discover or AMEX. Costco is one merchant that only accepts Visa, and those without a Visa card may be out of luck.</p><p><div id="ezoic-pub-ad-placeholder-133" style="width: 100%;"><!-- /10937338/Paypath/post-page-in-content-3 -->
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<!-- End Ezoic - In-Content 3 - longer_content --></p><h2>Issuers vs. Networks</h2><p>Pull out the credit card in your wallet and take a look at it. Chances are, if it's a Visa or Mastercard, you'll see their logo as well as the logo of the bank that issued it. That's because Visa and Mastercard are card networks, but do not actually issue the cards themselves. They merely facilitate payments between the merchant and the bank that issued the card.</p><p>On the other hand, Discover and American Express both process transactions and issue cards. As with the fees, this may not have a big impact on you as the cardholder. However, it does mean that you can't take advantage of having a card linked to your bank. if you are interested in building a deeper relationship with your bank to get better interest rates or have everything consolidated into one app, Discover and American Express may not be the strongest options.</p><p>When picking your next credit card, consider the array of cards that you already have, and ask yourself if you are interested in diversifying the different networks that you may be able to use if one retailer does not accept a certain type of card. However, as most of the practical differences are behind the scenes and don't affect you, your considerations should be given to the different types of rewards you can get through the card and the fees you will pay before you worry about which card network you might want to use.</p>
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