How to Use Your Credit Card to Save Money

The holidays are here in full force, which means millions of people are racking up the credit card debt. This means that a month from now, millions of people will begin to dread the arrival of their mail because they know what they’re going to find when they open their credit card bill. Using your credit card does not have to equal financial ruin. If you use these simple tricks, you can actually use your credit card to save you money…not put you into debt.

Outsmart Bonus Offers

Be honest; when you apply for a new card it’s likely because there was some sort of great prize that came with it. For example, you can have that shiny new credit card and a free airline ticket anywhere in the domestic U.S. as long as you spend $1,000 in the first month. Of course, if you don’t pay that $1,000 off you will be paying a lot of money in interest over the life of your card. Use this trick to save money; instead of buying stuff with your card, buy gift cards to stores you frequent to spend that $1,000. Now save the cash you would have used at the grocery store in place of those gift cards and pay off the balance. You didn’t buy anything you didn’t need, you don’t have an outstanding balance, and you now have a free airline ticket.

Maximize Your Statement

What many cardholders know is that you can avoid interest charges if your pay your balance in full each month. Additionally, you know that if you buy something the day before your statement closes, it will be due 20 to 25 days later, when the bill is due. However, if you wait until the day after the statement closes to purchase an item, you actually have the equivalent of two months to pay it off!


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