Financial success does not come overnight. It is a testament to will, wit and clever use of available resources. That’s right, a credit card is nothing but a resource, a handy tool you can use for series of unrelenting goals.
Alas, as any other tool in the book, it can harm its wielder if used poorly. That’s why I have prepared a few tips and tricks from really successful people. Perhaps these pieces of advice will aspire and inspire your personal financial independence.
Choose a card wisely
All cards are different. Some are simply better than others. That’s how our world in general and the banking system in particular functions. Your best bet would be to have several credit cards for occasional, beneficial use. Embrace the so called “plastic per scenario” methodology.
Choosing the best fit is simple today thanks to effectify. With help from this service you will pick the best deal to:
- Use a “bonus Points” card for day-to-day use and gain loyalty bonuses.
- Use a cashback card for discounts in particular branded stores.
- Use travel bonus cards for booking flights and hotels.
Needless to say you will be saving a lot of money from additional bonuses if the best fitting card is used to pay for a certain activity. Don’t get overconfident though and never invest in unnecessary plastic. Those fancy looking pieces of financial art cost a lot In the long run with fees and maintenance costs.
Have a pre-set budget
Set a limit on every card, a so called border line you can never cross despite all of this world’s taunting temptations. This is more of a necessity than a handy practice for one simple reason – you do not feel the weight of money while paying your bills with a credit card. You don’t know how much is left there and for how long will you need the remains. You never know of unexpected occasions that may or may not happen in life.
Having a reserve, a pool of cash you can’t reach onto will provide efficient financial protection in case of a real emergency. And, as a bonus, you will be spending less and saving more overtime. How awesome is that?
There are more efficient financial practices in the world but these are the 3 really significant ones when it comes to credit cards in particular. Perhaps you have any other tips and tricks up your sleeve?
Feel fess to share them with the community and let us all enjoy a meaningful discussion in a friendly circle. Do note that you should only share the practices that worked well for you personally.