|Four Top Credit Card Tips To Help You Stay In Control
Everyone recognizes that credit cards can be a great help in many ways. So long as you pay your balance off in full every single month, you can keep your hard earned money in your bank account for even longer each month, paying off your bill in one lump sum when it comes in. It's important to follow credit card tips to stay in control of your spending.
Aside from credit card tips, you can also put larger purchases on your card and benefit from the extra protection credit card companies give you. What’s more, some credit card companies offer extra incentives for using their cards, such as bonus points or special deals such as Air Miles.
But there is a flip side. If we aren’t careful, credit cards can also get us into trouble, leading to large debts and hefty interest payments which can take a long time to clear.
Fortunately you can stay in control of your spending—and how you use your card—by following some sensible credit card tips to make the most of your credit cards without incurring any penalties in the process.
- What kind of card do you need? By matching the type of credit card you apply for to your spending habits, you can be sure of getting the best possible deal for you and your circumstances.
For example, if you always clear your balance when the bill comes in, look for a card which rewards you for making purchases. This could be in the form of extra points on your food shopping, which can then be spent in store or converted into vouchers to use elsewhere. Some cards also offer cash back. Look for a deal which appeals to you, rather than the best one available.
- Keep things simple. This is one of the best credit card tips there is. You should only need one or two credit cards at the most. The more you have, the harder it is to stay on top of your finances. If you have several cards which have balances on them, try keeping just one as an active one to use, and work towards clearing the balances on the rest as fast as possible.
- Ask for a better rate. Hardly anyone does this, yet as credit card tips go, this one could be worth a small fortune to you. It makes sense that the credit card companies aren’t going to offer you a better rate on your credit card – after all, they make money off the interest you pay. But if you ask for a better rate you might just get it. Most companies would rather let you pay a little less in interest than watch you go elsewhere.
- Stay informed. While it’s not advisable to hop from card to card, opening up more and more as you go along, it can certainly pay to keep an eye out for better deals. This is particularly true if you have a large balance which you are trying to pay off. Most cards now charge you a fee for moving a balance though, so you will need to work out whether this fee is worth paying. If it isn’t, as most credit card tips would agree, you’re better off staying put.
It doesn’t matter whether you have an outstanding balance on your credit card or not; what is important is that you’re smart with it and follow helpful credit card tips. If you are, you should be able to manage your cards wisely – instead of them managing you.
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