5 Credit Card Habits that Save You Money
Tuesday, February 12th, 2008We all want to save money. Even those of us who spend like crazy on our credit cards and rack up a bunch of debt would prefer to be saving money if we only knew how. Luckily, there are tips and tricks that each of us can employ to start saving more money on a regular basis. And they don’t have to be things that limit our spending, either. It’s possible to save money without significantly altering the way that you spend it.
Here are 5 credit card habits that you can pick up to start saving money:
• Don’t put a group’s tab on your credit card. Many friends just take turns picking up the tab for each other. Or a group will put the bill on one credit card and then give their cash to the person with the card. The problem is that this never balances out and never results in getting the amount paid off in a timely manner. Instead, get in the habit of having checks split so that you can pay only your amount with the credit card.
• Save your receipts. If you have a receipt and you want to return something, the money is easily credited back to your card. Get in the habit of saving receipts and then making sure that you return items that aren’t going to get used.
• Don’t pay double for insurance. Many people don’t know that their credit cards offer them some limited insurance on personal items purchased with the card as well as on rental cars that are paid for with the card. Because of this, they often purchase additional insurance which is unnecessary. Know what’s covered on your card to save yourself some costs.
• Use your rewards. The sad thing about credit card rewards programs is that a lot of people have them and few people use them. If you’ve been forgetting to check the balance on your rewards account, head there now and see if you’ve got some cash back coming your way.
• Tear up those free checks. You don’t need to use the free checks that they send to you in the mail. And you should know that they aren’t really free. You get charged fees for using them and have to pay interest on the amount you spend. Make it a habit to only use the card for the things you normally buy and not to get suckered into using making spontaneous purchases.
It’s a good idea to start saving money in other ways (such as budgeting and creating a savings account). However, that’s not easy for everyone. These habits can start saving you money without changing the way that you spend.
