It makes logical sense that consumers should have the power to choose how their payments apply to credit card debt. Of course, some must go towards paying interest charges if a balance is carried, but the rest of the payment should be applied to the debt with the highest interest rate, right? That would clearly be in the best interest of the consumer. Unfortunately, that's not how it works in the credit world. Hidden deep in the dark shadows of your credit card's terms and conditions, there is a section known as the "Payment Allocation Provision" - a credit card company's best friend.

Piggybacking, a technique that allows consumers with good credit to boost other's credit scores by adding them as an authorized user, will live on. If you haven't heard the term before, it's not a new thing. Parents have used the technique for many years to help their children build solid credit at a young age, but in recent years private companies have begun to take advantage of the practice by connecting bad-credit consumers with good-credit consumers for a fee.

Everyone seems to care what your credit score is these days. Even insurance companies and employers are taking a look at your credit history to determine if you are a "risk" worth taking. You may pull your credit report regularly and know what your credit score is, but what does that number really mean? The problem is every lender sets its own criteria, so a good credit score to one company may be a fair credit score to another. The key is to know your FICO score, the 800 pound gorilla in the industry, and then shop around for the best deal.

If you are a fan of using your debit card to make everyday purchases, you may want to think twice before filling up this July 4th weekend. Consumers have been complaining across the country about excessive holds on debit card transactions at gas stations. For instance, if you purchase $25 in gas using a debit card at the pump, there may be a hold placed on your account for $100 until the transaction clears with the bank. This process could take up to 3 business days to complete, and you will be unable to use the funds for any other purchases during that time.