Isaias Lijauco
Having a credit card is an investment that can provide you with a lot of benefits. But did you know that you can maximize your credit card usage and save money at the same time? Yeas, you got that right! There are many ways to save money while using a credit card. And in case you don’t know any of them, they’re listed down below.
Consolidate Your Debt
By carefully consolidating what you owe on your credit card, you can trim down the payments you need to make. This strategy is a particular favorite of balance transfer credit card holder as this type of credit card generally offers little to no APR on balance. You need to make a cost-benefit analysis before adopting this strategy, though, because of the balance transfer fee that comes with the card.
Get an Annual Fee Waiver
Most credit card programs in the Philippines come with annual fees. And although it may not be too much considering that you only need to pay them once a year, it can still take its toll on your wallet. Luckily, many banks allow cardholders to waive this annual payment provided they meet certain conditions (e.g., good credit score, accumulated rewards points, etc.). Some of them even offer credit card packages that forgo the annual fee altogether.
Use Rewards Cards Accordingly
Who isn’t a fan of rewards cards these days? With so many perks it offers, it’s hard to resist having one or two of them. But what you might not know is that rewards cards come with high-interest rates to offset the benefits they dish out. Some rewards cards even have a steeper interest rates than regular credit cards! Thus, if you want to save money and enjoy rewards from your rewards or credit card, better make sure you can pay your balance in full first.
Get Flexible Payment Terms
By availing a credit card with an open-ended payment terms, you’ll be able to better organize yourself financially. This can be especially helpful if you’re running an ongoing business since it enables you to more efficiently allocate your budget. And it also allows you to set your own due dates instead of having the bank do it for you.
Learn These Credit Card Hacks
A credit card is a great arsenal to have while living in the Philippines (or any other country for that matter). But you need not waste your money needlessly just to enjoy its benefits. Use the tricks we listed above and save money with your credit card.