A credit card is one of the better inventions that you could ever have. The people that come to your house often write or mail to tell of the great prizes or great goods – even if you don’t own a credit card. They also tell of the advantages, if any, having a credit card can provide you – just like a regular loan. But it is good to remember that many credit card companies are not only going to extend you the chance of obtaining a loan but will also try to entice you. A lot of these companies will, ‘if’ possible, offer you a couple of special bonuses, such as an extra high credit card limit, or special rates or rates of cash back and/or discount, for the introductory period. However, these special offers usually come only on a few of these special credit cards.
The big advantage that a credit card brings to the table is the convenience. You don’t have to worry about being late, or even getting into debt to pay off the bill. You are bound to be able to pay the bill in full, without any worry of filling out the monthly statements or getting into debt to pay it all. What’s even better, is that no extra charge will be brought against your credit card account to pay the extra fee that comes with your credit card. Most credit cards charge either an annual fee, or a set percentage rate of interest for the lifetime of the introductory period.
Saving Your Money
Of course there are times when you may want to use your credit card to purchase other things you don’t have the money for. But you’re not the only one doing this. There are also bills to be paid that you have to pay for. Are you tired of getting late with your bills? Then you’ll be the one to reap the benefits of an extended credit line.
5 Tips for Having Better Credit
A lot of people have asked me about 3 things that can be taught to manage their credit better. They do include a 3 step process and providing free, easy access to their credit report, but I will use those words here.
Step 1 – The Make a Budget.
One of the most important steps to keep your credit standing is to make a Budget. Not as a joke, but this is not something you just read about in the news. You can do it, but it takes the right kind of mindset and work. The same mindset that is controlling your expenses can lead you to the best credit results.
Step 2 – Your Budget.
This is the most important step. By making a Budget you will move past your high expectations and the worries that are still present in your life.
The best way to take this step is to make a list of all your purchases, subtract those items from your Budget, and keep track of what’s going to have the highest payoff. Once you’ve done this for about 30-60 minutes a day you’ll have the clear picture you’ve been looking for based on the types of expenses that are being reported to your credit report.
The next step is to separate the products for accounting purposes. It’s quite simple, but it takes the right mindset and goes a long way in helping you to avoid over spending. At the very least, this will teach you to be more economical and responsible with your money and make it easier to separate expenses and product purchases.
Step 3 – Take Care of your Credit.
It is in the name for you to teach you not to overspend. The key is to pay off any balance after 90 days of the month, if it tracks you okay. Timely, low interest payment can also give you added miles, extra points, and free entertainment.
Another step you have to take is to pay off the bill at least once every 12 months. Many people fall into this trap, but it usually doesn’t happen until they have paid off their outstanding debt. This will make it easier for them to make wise decisions when they find they are in trouble.
Step 4 – Give Yourself More Freedom.
One great tip you can take when you feel overwhelmed is to fill your life with easy to find products. Something to tide you over from all the trouble that’s around you. If you can get yourself a credit card now that has a nice interest rate, you’ll be too happy to pay that off as soon as you become eligible for one.
The next step is to make a budget and stick to it. When you make the right adjustments and make the right purchases, you will never be under the strain of trying to pay off your bill ever again.