Here’s the Right Way to Optimize Credit Card Functions

Maybe you have often heard advice from people closest to you to avoid using credit cards as much as possible. In fact, this card is a payment tool that gives you convenience in making transactions, of course with proper use. Here are several ways to optimize credit card functions. Check out the reviews, OK!

1. Take advantage of a credit card to facilitate payment, not indulge

This is the most common mistake made by credit card users. Feeling complacent with the ease of transactions offered so that they are tempted to buy items that are impulsive and unplanned. This results in swelling bills at the end of the month.

To avoid things like this, use the card properly, namely to facilitate transactions. Especially when buying goods with a fairly high nominal, you don’t need to bother withdrawing and carrying cash. Don’t use this card as a means to buy an item when your budget doesn’t meet it.

2. Take advantage of the various promos available

Not only does it make transactions easier, using a credit card can also give you benefits through the various promos offered. Promos can be in the form of discounts at several merchants who are involved in cooperation, cashback, or rewards in the form of points which can later be used as a means of payment.

The thing to remember is not to buy things that are not so important as a result of being tempted by a promo. To keep your finances safe, take advantage of this promo to buy things that are really needed.

3. Take advantage of the card to pay routine bills

Everyone has bills that must be paid regularly every month, such as electricity bills, pay television, water bills, internet fees, telephone bills, and so on. To make it more practical and profitable, you can pay the bill using a credit card.

In this way, you will collect points faster which can be converted into means of payment. This can cut your financial expenses a little and be more economical.

4. Try to always pay off bills on time

In optimizing its use, bills that always come at the end of the month should also be paid close attention to you. Even though there is a minimum amount to pay credit card bills, it would be better if you pay it off. This is so that your financial condition remains stable and free from debt expenses.

So that you don’t mind paying bills every month, shop according to your needs and abilities.

5. Just use one card that suits your needs

Having multiple payment cards will increase a person’s chances of consumptive behavior. Just use one card that suits your current needs. Previously, do a little research to find out the promos offered by each bank because they have different ways to promote their various products.

Cards that offer lots of rewards for travel transactions won’t be useful if you’re not a traveler. On the other hand, if you travel a lot, this card is perfect for meeting your needs. So, don’t be lazy to find out in detail because using the right type of card will give you more benefits.

6. May use it as a substitute for an emergency fund

Not everyone keeps their emergency fund in easy-to-disbursed instruments. Sometimes, some save their emergency funds in investment instruments or deposits. To melt it, someone certainly needs time.

In very emergency situations, such as medical expenses, you may use a credit card first before disbursing a stored emergency fund. However, you still have to pay off the bill after the emergency fund is disbursed.

7. Take advantage of the cash withdrawal feature wisely

Even though it offers cash withdrawals, that doesn’t mean you can use it as you please. Do not use this offer to cover your daily needs. As with emergency funds, this offer should be used for urgent matters.

For example, for transactions that must be made with cash while you don’t carry it. Remember that the nominal you take does not come from your savings balance, but from the card limit that you have to pay each month.

These are some effective ways you can do to optimize credit card functions. When something is used as it should, you will get the benefits. Conversely, if you use it excessively, you will only get a loss.