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10 Reasons Why You Should Be Using Your Credit Card For Everything

10 Reasons Why You Should Be Using Your Credit Card For Everything

Credit cards aren’t just used to pay off major purchases anymore. You might feel silly using a credit card for a small purchase, but there are benefits to this transaction! Why else are companies putting credit card slots on drink machines? You should be using your credit card for everything—and here are ten reasons why.

1. It builds a great credit rating.

Buying things with your credit card and then paying them off each month will help you build credit. It will either help you establish a good credit score from the start, or rebuild a good credit score if you’ve had problems in the past. Make sure you’re still spending within your limit, and can afford to pay the bill off in full each month so the interest doesn’t add up and make your bill exponentially larger.

2. It’s quick and easy.

No more hunting for exact change! Credit cards make checkout easy. Just swipe your card, sign your name, and you’re done! Now with smartphone apps, you can pay with a pass on your phone. There are also cards that allow you to just “tap” the checkout machine, and the money is automatically paid!

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3. It’s great for accounting records.

It’s hard to keep up with receipts, but if you’re sticking to a budget, doing your own taxes, or just making sure you don’t get overcharged for anything, then you need to keep track of those slips of paper. If you use your credit card, however, you have a built-in list of everything you’ve purchased. You can sign on to your bank account online and see what you’ve spent over the past month to make sure you’re still on budget. You can double-check your bank balance and make sure there was no unauthorized spending. You can do all of that—and you don’t have to keep track of anything!

4. There’s no need for cash.

Forget trying to find an ATM, or paying ridiculous fees to access your own money! With a credit card, there’s no need to carry cash. Most companies have put credit card slots on drink and other vending machines, so you won’t even have to scrounge for change! This is also a security issue, because if you get robbed, you won’t be losing cash that will be unaccountable when you make a police report.

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    5. It has automated billing.

    When you get your credit card, sign up for automated billing! This means your utility bill, cell phone bill, and anything else you pay monthly can be paid automatically by your credit card. It’s a load off your mind, because you don’t have to remember countless due dates, or try to think back if you paid a certain bill or not. Then you’ll just have one date to remember—the due date for your credit card!

    6. You’re establishing good payment habits.

    Paying off your credit card balance every month will help you establish good payment habits. You’ll be paying bills on time with automated billing, and paying your balance each month, whether it’s paying it in full or paying enough to keep the interest down.

    7. You earn frequent flyer miles.

    Using your credit card will earn you all sorts of perks. Make sure you look into your specific card and see what benefits you can get. If you travel a lot, each credit card purchase will earn you frequent flyer miles, or free stays in hotels. You can also get cash back or discounts on major payments.

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    8. You can get purchase protection.

    Buying with a credit card means there’s a potential for purchase protection. Your credit card company will handle disputes for you, so if a store won’t take back a defective product, there’s a good chance your credit card company will either fight for you, or reimburse you. There’s also a built-in protection against card theft—most credit card companies will call you when they see suspicious activity. Some even block the card so the purchase won’t go through without your authorization, or reimburse you for purchases that went through with a stolen card.

    9. You get low-cost loans.

    You don’t have enough cash for groceries and bills this week, but you need them both. Use your credit card! Credit cards are like low-cost loans, because you can buy something now that you don’t have cash for, and pay it back at the end of the month when your credit card bill is due. Just make sure you know your budget and don’t go overboard by buying things you’re unable to pay back.

    10. You have a buffer for emergencies.

    Just like using your credit card as a loan system, it’s great as a buffer for emergencies. Things will happen that demand your financial attention, like your heater going out in winter, or your fridge breaking down. Can you afford to buy either of those major appliances in cash? What about hospital bills you didn’t expect? Most people don’t have that kind of cash on hand, but again, with a credit card, you can take out a type of loan. Buy what you need and start to pay it off over time on your credit card.

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    Featured photo credit: mueritz via flickr.com

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    Published on July 4, 2018

    Top 10 Recommendations on Money Management Apps

    Top 10 Recommendations on Money Management Apps

    Don’t want to overspend your budget, swipe your credit card too many times, and feel like a financial mess? Instead of beating yourself up for the bad financial decisions you’ve ever made, create a new plan!

    The solution is simple, save more and spend less. But, we all know it’s easier said than done.

    One problem is finding quality apps that save you time and money, and aren’t just hype.

    Luckily, there’re many great money management apps available at your fingertips. Here are 10 reliable money management apps that can help you save money, and crush debt.

    1. Personal Capital

      When was the last time you’ve tracked your net worth? Probably months ago or maybe never. Personal Capital allows you to easily track your net worth and plan for retirement.

      Here are some of its main features:

      • Sync many investment accounts, and expenses (mortgage, credit cards, etc.) in one place
      • Discover hidden fees and how much they’re affecting your retirement plan
      • Wealth management for investors requiring a long-term strategy

      With Personal you’re free to track your expenses and net worth.

      Available for: iOS and Android

      2. Mint

        If your smartphone could only install a few apps, Mint would be one of them. Why? Because Mint tracks all your balances and bills in one place.

        Here are some of its main features:

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        • Effortlessly track all your bills and balances in one dashboard
        • Categorized expenses to understand where you spend your money
        • Uncover hidden fees, and determine your investment style with sophisticated retirement tools.

        Feel at ease with managing your money by a reputable company that isn’t going anywhere.

        Available for: iOS and Android

        3. YNAB

          Everyone needs a budget, there’s no way around it. YNAB (You Need A Budget) is an easy to use app that will change the way you think about money. Their motto is to “give every dollar a job”, and you’ll quickly discover why.

          Here are some of its main features:

          • Easily sync all bank accounts in one place
          • Visually see your debt paying progress with eye-catching charts and notifications
          • Customized categories setting saving goals

          The best part about YNAB is the community that comes along with it. You can hop on the YNAB forum to receive support, listen to the YNAB Podcast or stay tuned for their weekly videos.

          Available for: iOS and Android

          4. Wealthfront

            Albert Einstein once said “compound interest is the eight wonder in the world”, and for a very good reason. The problem is, most people are scared or unwilling to learn the basics of investing. This is why Wealthfront is the perfect solution for the hands-off investors.

            Here are some of its main features:

            • Variety of investment account options including IRA, Roth IRA, and more
            • Your portfolio composed of 7 different asset classes
            • Automatically rebalanced portfolio
            • Daily tax loss harvesting

            Wealthfront is perfect for people requiring investment guidance, or prefer a hands-off solution.

            Available for: iOS and Android

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            5. Clarity Money

              If you’re staying on top of your budget but want to take your finances to the next level, Clarity Money can help you. Clarity Money helps you stay under budget and build a personalized savings plan.

              Here are some of its main features:

              • Easily cancel subscriptions with one click
              • Synchronize bank accounts fast
              • Transfer money effortlessly between different accounts

              Clarity Money isn’t an app that does it all. But, it does make transferring money and canceling subscriptions fast and efficient.

              Available for: iOS and Android

              6. Acorns

                What if there was a way to quickly gain confidence in investing your money, without too much risk? There is, and Acorns is your solution. With Acorns’s technology, you’re able to make investments as small as $5.

                Here are some of its main features:

                • Automatic contribution option
                • Customized portfolio tailored to your needs
                • Low management fees ranging from $1-$2 per month

                Stop wasting dollars on expensive coffee. Instead, invest them towards a brighter financial future.

                Available for: iOS and Android

                7. Albert

                  Do you budget by only subtracting your expenses from your income? If so, how would you discover any overpayments or extra money you could save? This is where Albert shines, and it does it all free.

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                  Here are some of its main features:

                  • Receive notifications for overpayments, hidden fees, and low balances
                  • An Automatic budget that’s built around your spending and income
                  • Easily track debt and set new financial goals

                  While Albert does offer a paid option, most of its core features are FREE. So, what better option to save?

                  Available for: iOS

                  8. Prism

                    Have you recently forgot to pay a bill because life got in the way? Prism automatically tracks your bills and syncs your bank accounts in one place.

                    Here are some of its main features:

                    • View all your account balances in one glance
                    • Bill due dates are automatically pulled and tracked
                    • Receive early reminders for upcoming bills

                    If your budget is on “fleek” but can’t seem to stay on top of your bills, Prism is your go-to app.

                    Available for: iOS, Android, Windows, Amazon

                    9. Mvelopes

                      Remember hearing about people using envelopes to budget their money? Well, Mvelopes is the new envelope system for this generation. Easily create monthly budgets and track your saving goals.

                      Here are some of its main features:

                      • Connect unlimited bank accounts
                      • Real-time budgeting with auto transaction syncing
                      • Low monthly $4 fee or $40 annual

                      Mvelopes can help you crush debt, save more, and help you stop overspending. With its low monthly fee, it’s worth a try.

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                      Available for: iOS and Android

                      10. Wallaby

                        Most people don’t have time to track their credit card’s changing rewards and interest rates. Because of this, you need help reaping the most of your credit card’s rewards. Wallaby is the app that will help you do just that.

                        Here are some of its main features:

                        • Automatic recommendations for the best credit card to use for each transaction
                        • A friendly user interface, displaying credit cards with their corresponding images
                        • Free to use

                        If you’re using the same credit card to make your purchases, you may be leaving money on the table. Give Wallaby a try if you’re ready to maximize your credit card’s rewards.

                        Available for: iOS and Android

                        Take control of your finances and experience financial freedom

                        Picture yourself staying on budget and saving more money than you’d ever imagined.

                        It took hard work and dedication but you’d finally learned how to manage your money. You have to start taking control of your spending and saving habits.

                        You now have a list of reliable apps that can help you build better money habits, what are you waiting for?

                        Featured photo credit: Pexels via pexels.com

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