4 Smart Tips to Using Credit Cards
4 Smart Tips to Using Credit Cards
Plastic money, which comes in form of
credit cards, is really loved and highly used. There is nothing you cannot
purchase with one swipe of the credit card. Credit companies make a multi
billion dollars kill every year on credit card users. This kill is made when
they deduct their charges and when they fine you for late payments, transfers
and over-limits. However, a credit card can be a good servant if used wisely
but a bad master when used unwisely. As a matter of fact, you can even get
bonuses when you learn how to wisely use your plastic. The following tips will
be of great help to you.
1. There are many credit
card companies to choose from; choose the best. The best credit card you can
have is one that has good rates of interest and an open bonus system. Some
credit cards usually have rewards for you, if you use it wisely. The rewards
range from cash back to college fees for your kids. You can have a look at the
customer reviews on a credit card before choosing it to be your plastic. Such
reviews will give you the best image of the credit card, and the experiences of
other customers will help you make the right choice.
2. Avoid carrying
balances on your plastic. Credit card companies reward those who have a clean
record when it comes to having balances in their credit cards. Paying off the
balances usually relieves you of the burden of paying huge amounts of interest.
Make it your aim to pay off any balance in your credit card ever month.
3. Learn how to
communicate with your credit card company. When you have a balance that has
been forwarded to the next month, pick up your phone and talk to your credit
card company and see whether it is possible for the interest rate to be cut
down. However, you can only benefit from such a step if you have previously
kept a clean record of clearing balances with the company.
4. Avoid cash advances
like plague. As a matter of fact, use cash advances only when you are faced
with an emergency and there is no other way out. It is very easy to ask for a
cash advance, because when you get it you feel as if you have been given free
money. However, such advances usually attract heavy interests and charges when
you delay payment.
Use these smart tips when you use
credit cards and then you will not feel them to be the monster that they are
usually touted to be.