How to use credit card responsibly.6 top tips to use credit card responsibly.
According to recent research , the average Americans have credit card debt almost $ 7200 each. Credit cards are useful things, if you use it properly. There are several benefits of credit cards for individual and businessman.
My friend use credit cards of three different banks. He buy things from hypermarket at bulk quantity . He use credit card to buy online mobile and laptop and other useful things. So, he received a discount of 10% 0r 15 % on his credit card. This facility is not given by cash delivery.
My friend also buy online different devices and pay online bills. He also make electricity bill and other bill with credit cards.
The most important things, he save cash and time. He make on time payments of bill in every 15th of month.
So, with good money habits credit card will give more security and facility to make payments online. If you make payments on time, then bank does not charge any annual charges , also your credit limit increase after six months. Especially , it will be helpful for businessman to make payment on time.
How Credit Card Work?
Credit card is Secure for online payment.
- Pay your bill on time each month.
- Never pay bill late.
- Safe your card from suspicious persons.
- Build your credit every month.
- Credit card is connected to your budget
Pay your Bill on time every month.
This is most important to avoid credit card debt to make payment on time. Credit cards allow to you some benefits, but it can be dangerous, if you haven’t paid bills on time.
Never pay your bill after date.
Safe your credit card from suspicious persons.
Build credit card History.
Credit card is attached to your cash budget.
Earn Reward of credit card usage wisely.
Earn 1 point for every single retail purchase. When you purchase extra, they can help you. You should use local business card, and exciting and travel reward. For new account, they give 5000 score point if you spend $ 1000 on purchase within three month or one month. It is different one bank to other bank. American bank give you digital wallets, if you pay bill with cell phone. Digital wallets are app of credit card of credit version stored in it.
They give you free of cost travel accident insurance. Where you children up to 19 years get insurance card in case of accident. This facility is given by travel with bus, air travel or ship or taxi. They cover your children all types of accident.
The Bottom Line.
It is better to use cash for purchase. Credit card has two aspect, one is strength and other is weakness. So, you spend it within limit.Some people use credit card above limit, nay suffer in difficulties.If you are not use properly credit card, thing other form of payment to avoid debt.
The best use of credit card is use credit card only for big purchase, and loan easily pay back every month. When you use credit card with good strategy , it will help a long way to your credit history and earn reward .If you are not follow good money habit to use credit card , then you pay high interest and also credit card debt and it is dangerous to your credit health.
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