A credit card is one way to handle money. While some people frown upon the idea of having one or more credit cards since there’s a big possibility of having too many debts, there are others who successfully manage their credit cards, avoiding debts and other charges. Of course, having a credit card comes with many pros and cons. You can use it to your advantage or be a victim of huge debts
Avoid any form of scam associated with credit cards by setting up alerts that will inform you of your credit card activities.
If you’re planning to get a credit card, keep in mind that not all cards are created equal. Compare credit cards and their features. Once you know their offerings, you’ll be able to choose the best credit card deals based on your needs and preferences.
How can credit cards help you manage your finances? The key is proper management. It will not only keep your money secure but also help you get significant savings. Here some simple tips for managing your credit cards:
Pay on time and in full
This is one of the crucial things to do to avoid having huge debts. If you miss paying on time and/or even just the minimum monthly payment, you will be charged a late payment fee or interest on your purchases. As much as possible, make sure to pay the full amount on or before the due date.
Be aware of the interest-free period
Paying in full and on time comes with another benefit. Most credit card providers offer an interest-free period on purchases, but it will only apply if you’ve paid on or before the due date and that you have no balance from the previous month.
Watch out for discounts and freebies
Credit card providers usually have a rewards system for those who always use their card. It depends per card and provider, but you may get extended warranties on products, discounts on restaurants and other establishments, travel insurance and freebies on hotels and tour packages.
Avoid any form of scam associated with credit cards by setting up alerts that will inform you of your credit card activities. Your provider can either send you an email or text message if they detect anything suspicious. Also, you can use alerts to notify you of the due dates so you can pay in full and on time.
Got other ideas on how to manage your credit cards and get the best credit card deals? Share your tips in the comments section.