Credit cards are part and parcel when it comes to personal finance… Yet, there are many people who have not had one, for one reason or another. There are a lot of credit card types that you can get. To ensure that you make a good choice and also keep your personal finance on track, here is some useful information.
The most basic type of card gives you the chance to have a line of credit. It’s that simple. You purchase things without cash and then pay it off at a determined period of time with interest. Then there is the cash back card. This card is advantageous in that you get a certain amount of cash back for purchases you make. Of course, you have to spend a minimum amount each period and you have to be at a certain salary level as well. You also have to pay your bill in full, otherwise, you won’t get the cash back rewards. Which brings me to a very intrinsic personal finance concept – never carry a balance on your credit card.
There are also cards which give you points each time you use them. Some of the most popular are the Air Miles program and Nectar points. Other cards give you points that you can redeem from a catalogue. Again, these cards are worth it if you pay off your credit in full every month. Read more