Credit cards are a breakthrough in the financial industry. Ask anyone who is involved in markets,money lender review singapore or any financial industry, they would agree. Credit cards have been used for decades and as time goes by, the service being provided by banks and credit card issuers have become more better and advantageous to the user. But there is always the risk of getting buried deep into debt that is why managing your credit card is very important. Here are four things you should keep in mind in using your credit card.
- Make sure that you avoid rolling over your credit unless it is necessary.
Rolling over your credit will only increase your principal amount to which interest rates are being charged from month after month. Always try to clear up your credit balance when you use your credit card to avoid any interest rates that can cause your total amount due to increase.
- Use your cards that offer rebates and promotional offers.
Credit card issuers and banks often offer promos and rebates when using it for purchase. These rebates and points being earned can actually accumulate to allow you to purchase other needs such as fuel or airfare at a discounted price or possibly for free. But of course, always make sure that charging your card should be paid off within the same period.
- Get and maintain one credit card. Two at most.
Getting a credit card sometimes becomes out of hand because of the different offers that each bank and credit card issuer attaches to the card. Some people often get a card for the promotional offer it contains rather than for how it should be used. Because of this, those who have more than two cards often end up accumulating debt for each card and ends up with a cumulative debt that is quite hard to manage. Get one card. Two with a different bank network to make sure you have a back-up in case the other one doesn’t work.
- Use the installment feature.
Most cards contain an installment feature for high value purchases. Use them instead of rolling over your credit as it will be a lot cheaper in the long run. Rolling over your credit is never good and having the option to put it in installment is the best course of action you can take for high value purchases.