Credit cards are a valuable financial tool. They allow you to build credit, they’re a convenient payment method, and they offer protections that cash and checks just don’t, like purchase and fraud alerts. However, without a proper strategy in place, you can end up misusing credit cards and racking up debt. To help you use credit cards wisely, here are a few strategies you’ll want to consider:
1. Designate a primary credit card.
By picking one card to be your go-to, you can easily track and moderate your spending, because all of your charges will be on the same statement. By regularly checking your statement and ensuring that your spending is in line with your budget, you can use your credit card to your advantage!
This will also make it easy to have a backup “emergencies only” card, where you’ve got access to the entire credit limit, as you rarely use it.
2. Assign a purpose to your card.
If you already have more than one card, consider assigning a purpose to each one! That travel rewards card you picked up for the sign-up bonus might come with good rewards when used for travel-related purchases, but chances are you’ve got another card that will get you better bang for your buck on everyday spending.
Take a look at the rewards and perks tied to each card you have (or that you’re considering), along with the interest rate, and annual, balance transfer, and cash advance fees. Use that information to consider which card is best for gas and groceries, dining, travel, and emergencies.
Hint: the Xceed Platinum Visa® Rewards Credit Card is great for all of the above, and you skip the annual fee!
3. Look out for special offers.
Xceed offers 5x rewards for our Platinum Visa Rewards Credit Card on a regular basis, and all Xceed Platinum Visa® Credit Card holders are eligible for Visa Special Offers on your favorite goods and services. By scoring extra rewards points and taking advantage of discounts, you’ll stretch your money even further, leaving more left over each month for you to use on what you love!