Save Money Using A Credit Card
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While growing up, you have no doubt hear evil and scary things regarding credit cards and how they can put you in a lot of trouble, while that is true if you do not know how to use, it can actually save you money if used the correct way. So, how can one save money using credit cards?
Use the interest to your advantage
As we all know, credit card companies make a profit by charging their users interest. But, the interest that credit card companies charge is only charged if the credit card holder - you - doesn't pay their credit card bill in full each time; deciding, instead, to pay in installments. Nonetheless, pay your credit card bill in full each time and not only are you not charged interest for using the credit card, but you can also get up to 2 months credit free interest.
Credit cards companies will normally be required to provide you with a 28 days credit while you wait for your statement date to pay your bills. If you buy a product shortly after your statement date, you can usually get one month's interest free credit because the statement will only arrive 28 days later; as such you have time to work on your payment.
As such, if you are a discipline and good saver, you will no doubt want to set up a savings account to pay off for the credit card. Everytime you make a purchase, be sure to transfer the money over to the savings account so you can pay off the card whenever the statement arrives. Not only you will not pay them interest, you might also be able to generate some form of interest while you are waiting for your next credit card statement to arrive!
Advantages of loyalty bonus scheme
Another popular thing that most credit card companies will offer is bonus scheme, or a loyalty program, which means you, will accumulate points everytime you spend money with your credit card. With enough points, you can even use them to purchase a product or redeem a free product from your credit card company.
So, now that you don't have to pay good money for the product you just got from the loyalty bonus points, you can transfer the purchase price of the product to your savings account - and you've just saved yourself some more money!
Article Source: Articlelogy.com
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