Financial crisis and economic recession are probably the most frequently seen and heard words these days. Just like “the Beatles” in the 1960s. Financial experts state that the country’s economy is on the edge of collapse, people feel a real threat hovered over them not just with their backbones, they see actual price rise and lose real jobs. But are there any ways to survive this crisis with minimal losses?
Well, as usual, I am gonna shed the light on this issue through the lenses of credit industry. Rewards credit cards, to be more exact.
What should you do with your credit cards? You’ve got good credit, and there are a number of reward credit cards living in the friendly neighborhood in your wallet. Rewards cards have pretty high interest rates, as a rule. Losing extra money is definitely a bad idea in the circumstances of economic slowdown. Does it mean you are to cancel all of your rewards deals? No.
You most probably own a plastic that you can actually benefit from. Gasoline credit cards can save you money if you use it right. The gas prices vibrate about the record highs. And using your gas card wisely you will get good benefit. So what is the right way to choose and use your gasoline deal?
â€¢ What you should look for when choosing a gas credit card is discounts on gasoline or cash backs.
â€¢ Make sure no set-up or annual fee applied with the offer.
â€¢ Search for a card with no minimum gas purchases requirements.
â€¢ Pay off your balance each month in full.
â€¢ Use your gas card only at the pump to pay for fuel.
I will enlarge on the last tip. Why should not you pay with your gasoline card for other purchases? It’s pretty simple. The offer gives you discounts or rebates only for gas purchases, auto rewards and maybe some bonuses for car maintenance and repair services. As for the other types of goods and services, the card’s issuer will offer you just a high APR, which will only accumulate interest to your balance. And this will not save you money.
When you buy gas, you buy it 1%, 2%, 3% or even 5% cheaper! You pay your bills on the due date in full and you do not collect debts that will accrue interest. If your gas card’s promotional interest-free period is still lasting, even better for you! You do not lose money on interest, even if you carry balances. But you should better keep your balances low. Otherwise, when your introductory period is over, your 0% APR will turn into an ongoing APR of some 10% or 16%. And if you do not pay own your balance on time, you will accrue interest that may cost you a pretty penny.
This is how you can save on gas in our uneasy times of financial crisis.