| A lot of us know that credit card use may lead you to | | | | you redeem your points! |
| bankruptcy, but how to turn this wealth destroyer into | | | | 4. Free Money Management Tool |
| a wealth tool is something worth investing time and | | | | At the end of each month, the credit card company |
| effort to learn and practice. So you can leverage on | | | | will send you a total amount you swipe for the month, |
| this plastic card and turn it into a wealth tool. | | | | that make you easy to track you total expenditure, |
| Here are some powerful tips to turn this little plastic a | | | | and it becomes a free money management tool for |
| powerful wealth tool for you: | | | | you. |
| 1. Choose Your Best Credit Card | | | | 5. Pay Off Your Full Outstanding Balances |
| Not all credit cards are created equal. There is a | | | | Monthly |
| particular credit card that will suit your needs. So when | | | | This is a very important rule, if you fail to obey, your |
| you apply for credit card(s), make sure you ask for | | | | failure may lead you to bankruptcy. Never let your |
| their features such as the interest rate (APR), annual | | | | balances stay on your credit card bill statements for |
| fee and reward system. So you can fully make good | | | | long and it may create a snowball effect on your debt. |
| use of their benefits and avoid the penalty. | | | | This means that if you have accrued balances for the |
| Getting a credit card will provide you the particular | | | | month, pay them immediately. |
| features with rewards, services, redeemed points and | | | | Before you swipe your card, the first question you |
| interest rates that will suit your needs. For instance, if | | | | need to ask is "can I pay this off when the next bill |
| you want convenient shopping but can't afford to go | | | | come? " If your answer is yes, go ahead and swipe it, |
| the extra mile in shopping expenses, it is best to get a | | | | ask if you can enjoy any interest free automatic |
| credit card that can offer you with reasonable credit | | | | installment plan from any credit card(s) you have. If |
| limits. | | | | yes, you may go ahead and use the card, if not, |
| In this way, you will not be tempted to max out your | | | | perhaps you can call the bank and ask for it, so you |
| card and accumulate debts you simply can't afford to | | | | can enjoy a 12 month or even 24 month interest free |
| pay. | | | | installment plan, without paying any extra money! |
| Some credits cards offer you automatic installment | | | | If your credit card(s) do not offer such plan, negotiate |
| plan, so whenever you make a purchase over a | | | | with the merchant for an easy payment scheme |
| certain amount, then the credit card institution will bill | | | | through credit card. |
| you by installment, with 0% interest. Hence, you do not | | | | 6. Be Wary On Cash Advances |
| have to pay it in lump sum, so you can use this type of | | | | If it isn't an emergency, never take cash advances on |
| credit card when you need an interest free installment | | | | your credit card. Financial experts say that cash |
| plan for some purchase. | | | | advances reap higher interest rates immediately and |
| 2. Go For The Lowest Interest Rate | | | | have no grace period at all compared to the ones that |
| If you think you can't pay your credit card bills on time | | | | you have on your credit card purchases, which is, by |
| but are willing to pay your balances in another period, it | | | | nature, soaring as well. In fact, a financial expert told |
| is best to get a credit card with lower interest rates. | | | | me every time she receive the checks for cash |
| Consumers may not be aware of this, but one of the | | | | advances, she just tear them off immediately, so she |
| reasons why debts are getting higher is based on the | | | | would not even think of using the cash advances |
| interest rates. The actual balances are made worse | | | | facilities. |
| through interest rate charges. | | | | 7. Ask for a lower rate |
| 3. Choose The Reward Credit Cards That Suits Your | | | | If you have been an obedient customer and pay your |
| Lifestyle | | | | bill on time, it wouldn't hurt you to call your bank or your |
| Each purchase you make on your credit card(s) will | | | | credit card issuer and ask for a lower rate. |
| earn you bonus point, which you can use to redeem | | | | Surveys show that nearly 55% of those who |
| free product and services like extra-miles, retails and | | | | participated in the survey were reported to have |
| dining vouchers, saving you even more money. | | | | trimmed down their interest rates simply by requesting |
| Don't get a credit card just because it can provide you | | | | their bank or their credit card companies to act |
| with several rewards. Not all rewards are worth your | | | | accordingly. |
| time and money. For instance, a flyer's rewards credit | | | | With lower interest rates, you can definitely save more |
| card may not be functional if you aren't a frequent | | | | especially if you are the type of credit card holder who |
| traveler. But if you are, getting a flyer's reward credit | | | | doesn't get to pay the balances on time. |
| card can give you discounts as well as points that can | | | | All of these things are catered to help you cut back |
| be converted into tickets. This will be savings | | | | your expenses and save more on your credit cards. |
| considering the prices of airline tickets nowadays. | | | | These things have been proven effective. It is now up |
| Recently I found that the credit card institutions have | | | | to you if you will heed this advice or not. |
| raised their required redeemed points for gift. In other | | | | Just remember, your actions will always tell you the |
| words, credit card users are expected to spend more | | | | kind of life you want to live, so better make good |
| before they can get the gifts. So decide wisely before | | | | choices and start saving now. |