Going cashless when shopping is one of the most convenient things technology brings to us. Finally, we can skip passing through our wallets looking for money and coins. It can be very comfortable and easy, so most people prefer it.
It may be easy to go cashless, but there are many pitfalls. One of them is a complete violation of our finances and budget. We tend to be extreme, especially when we see “SALE” signs on us. Before taking out a credit card, read this article first to find out what we don’t have to pay to use our cards.
Most of us have a laid back attitude when it comes to painting a picture about our credit card business. There may be times when we consider using our valuable cards to pay off a mortgage. This is a bad idea for two main reasons. First, not all mortgage companies allow people to pay by credit card. If they do, they will most likely charge users a convenience fee. Now comes the second reason. The convenience fee, the monthly mortgage interest rate and the loan interest rate combine to form a large piece of debt. This can affect our credit scores in the long run.
It often takes several years to start a business and eventually become independent and profitable. Although we are hopeful, it is not a guarantee that all work will prosper. If that doesn’t work, it’s just that we’re paying off the profits of a failed business and we can’t repay all the debt until interest rates fall. There are many alternatives to financing a small business start-up, and relying on credit cards is certainly not one of them.
We all know that college is very expensive, but it will still depend on the university itself. Students who send themselves to college will definitely know how expensive tuition is, along with support costs. If we have a stable salary that we can trust, it may be better to pay for college education with our credit cards. If none, it is better to reconsider the other options. Like mortgage companies, universities can charge a 2-3 percent tuition fee from students.
What a wonderful way to start the day with a perfect cup latte and freshly heated pretzels. What’s even more interesting is that we can get rid of it completely only by using our credit cards. What’s a $ 2 coffee, isn’t it? But it can save us $ 2 a day and give us more credit than we can think of. It doesn’t end with coffee, it covers things like shopping, eating out and going to the movies. What’s worse is that when we use our cards to meet our needs, we are actually sacrificing what we have to pay for. We can break our budget plan and regret these purchases when the monthly bank report arrives.
When we don’t have cash, getting a cash advance seems like a good idea to fix everything. Cash advance is the moment when the owner takes money from the credit card account. This can lead us to pay higher fees and possibly higher interest rates.
There are times when a cash advance is really needed, but these should only be released for urgent purposes. We probably don’t want to pay more interest than we pay now.
Like everything else in the world, credit cards can be a good financial supplement when used properly. Before applying for a card, we need to do some serious research to choose the one that best suits our needs. It is better to decide for ourselves whether we can take on such a financial obligation that we have to spend and pay on a monthly basis.