Posted by Linda Schultz | Comments Off on How to Make the Most of Your Commonwealth Credit Card
Having a credit card can make your life easier in many ways. You have a way to pay for things in case of an emergency, and you can finance large purchases and pay for them in smaller monthly payments. Credit cards can also be a trap if you don’t use them correctly. They can catch you up into a never-ending cycle of debt that can damage your financial future.
Read on to learn how to use your Commonwealth credit card responsibly.
The Benefits of Having a Credit Card
Credit cards can be an essential part of your financial portfolio. They help give you peace of mind because you know you have a money source if you ever need it. They also allow you to pay for things in instalment basis.
Credit cards also allow you to increase your credit score. A high credit score can help you qualify for the lowest interest rates on home loans, get you lower rates on your insurance and ensure that you don’t have to pay deposits for your utilities and cable TV.
How to Use it Responsibly
To use a credit card responsibly, you sure want to keep your balances fairly low. Don’t run up your card past 30 percent. When you utilise over 30 percent of your available credit, your credit score will go down and your lender may even reduce your credit line causing your score to drop even more.
Aim to use only about $300 of each $1000 of credit if you want to keep your utilisation low. A low utilisation will probably net in regular credit line increases. Another very important thing is to always pay more than the minimum payment. If you are financing a large item, you can’t pay off the whole balance of course, but try to pay at least double the minimum payment. This will look good to the lender and help you avoid paying too much money in finance charges.
The key is to keep your balance as low as you can and pay off as much as you can. Credit is a tool and you have to know how to use that tool properly. Credit can be a huge gift or it can turn your life into a disaster. Your Commonwealth credit card can help you get the things that you need, but you have to make sure that you don’t become a slave to your card.Read More
Posted by Linda Schultz | Comments Off on Finding the Best Credit Card Deals
Credit cards tend to earn themselves a bad reputation, but mostly because of the temptation that accompanies them. The most important thing that you can do when using a credit card is to use it responsibly, but before that, you need to make sure that you choose the right card for your needs.
A credit card is more than just a gateway for purchasing the items you need, there are also many side benefits that you might consider with certain companies, which include:
- Purchase Rewards
- Cash Back
- Travel Insurance
- Identity Theft Protection
- Airline Miles
These, of course, are just the minor advantages, and you will find that many companies offer considerably more or less depending upon their policies. So how do you choose a credit card?
Take a Look at Yourself
First of all, you need to take a look at yourself. Your own situation can help you to determine just what it is you are looking for in credit card deals. For example, are you having difficulty paying your bills on time? If so, then you will certainly want to find a credit card with a lower interest rate. Remember, the interest rate is literally the amount of money you will pay for the privilege of being able to borrow money from the credit card company. This will be applied to your purchases, and in layman’s terms, you will pay a bit more for each purchase than you would have if you pay in cash. There are times when it is hard for you to come up with the money needed and there are some purchases that you need to make immediately.
It is true that your choices are a bit limited if you are simply looking for a low interest rate, but there are many other choices you might consider as well. Before you begin, take a look at your credit report. This report can be requested for free once every year, and it will give you a good idea of how eligible you are for terms with a lower interest rate. Your credit report will literally show you just how lenders are going to see you, and you can go from there.
In addition to finding your credit score, you should look for any special deals that might save you money on the initial acquisition of your credit card. Those that have zero percent introductory rates are always great, but you should investigate the future fees. For example, how much will the rate increase later on, and what are the balance transfer fees? Saving yourself money up front is not going to help you if you have to pay more in the future.
Rate of Use
How often do you plan to use your credit card? If you are a heavy user, then it might pay off considerably in the long run to choose a card that charges annual fee instead of monthly fees. In addition to that, you might want to find one that offers better rewards such as the ones we listed earlier in this article. Each company will have its own reward system, so make sure you review this before you make a decision.
Getting a credit card is easy, but getting the right credit card to meet your personal needs? Now that’s a bit of a trick. Do the research and ask the right questions; your patience will certainly pay off.Read More
Posted by Linda Schultz | Comments Off on How to earn credit card rewards?
Prepare yourself, because we are going to show you how to get better credit card rewards by utilizing some of these programs. They let you pick up points whenever you use your cards, and then later you can either exchange them in for some hard earned cash, or you can use them to get a reward – some kind of a travel, get something on retail, or various other rewards. Most people choose cash, but some pick the rewards too. And this is precisely why we are now going to show you how to get more reward points, so you can get better financially, or enjoy a nice vacation. Just follow these advices, and your points should start racking up pretty fast.
One option that offers more credit card rewards is the cash-back one. And what’s also good about them is the fact that they offer them rather frequently. You just have to keep in mind that these kinds of rewards are pretty complex. So, to get more rewards, you will need to focus on their core earn rates. That way, you could get something for every time you spend some money. These types of cards give you lower rates as rewards.
Next, you should understand that gift cards are better, and are becoming the best way to get some rewards. They are easy to use, and they could earn you some type of a discount, if you use them frequent enough. A lot of bankers have started recommending these, and a great thing about them is the fact that they could easily stretch your reward points really high.
These rewards are great because you can use them to even pay taxes nowadays! This is especially the case with American Express, that lets you pay all sorts of taxes: federal, state and local ones. However, by doing this, you will lose a lot of points in a very fast rate, and you will have to pay for the service of paying taxes with these reward points. But the good thing about this is that there are some credit cards that offer you additional points, if you use these to pay your taxes.
You could also use these points to start saving some money for your future. Some credit card companies offer the use of paying your mortgages with their reward points. However, in order for you to do this, you must spend a lot of money with your credit card – around 2,500 US Dollars. So, if you are a big spender, this is the right option for you.
So, as we have seen, there are numerous ways for you to start making more and more credit card reward points, and there are also numerous ways for you to use those points. Some may just want to take exchange those points for cash, and others might just want to trade them in for a nice vacation, while others might want to do something with them that really matters, and help themselves up a little bit.Read More