To use your credit card limit to save money, you should select a credit card that offers special offers, benefits and the reward points with which you can get discounts, free products or cash back on online shopping.
Be aware of when your credit period ends and make sure you pay before the due date, otherwise you may incur interest charges.
The interest rate is one of the most important factors in choosing a credit card. It varies from 6% to 25% depending on the bank and type of credit card. Less the better.
Don’t ignore the limit – By ignoring the credit card limit, you are likely overspending and risking going into debt.
Few credit cards offer discount programs which means that you can get discounts for things like groceries or online purchases just by having the card. Make sure to take advantage of those offers.
It’s worth checking the rewards scheme in detail, some providers give customers the ability to enjoy access to airport lounges, often with discounts. Food is usually free with this access.
Find out if your card offers free movie tickets or discounts to cinema, which could be an excellent way to have a night out without spending anything.
Don’t withdraw cash from an ATM using your credit card as the interest and charges are imposed immediately.
Using credit cards will help build up your credit score over time and let you build up a larger credit history. However, don’t misuse the cards.