[USER]

After always being a cash/debit person being taught from young age not to buy things if I can’t pay in full right away… I finally learned how to make the money I spend work for me more than once through credit cards.

Just follow two simple rules. NEVER buy anything not planned or budgeted for just to get points and ALWAYS pay your balance in full.

This year’s vacation (flights and hotel for our family of four) is totally paid for by points on purchases I would make anyway (groceries, essentials, bills).

In addition by using sites as Rakuten (for the same purchases) I get some extra cash back to cover some meals and snacks.

Waiting with making some big purchases until Rakuten has great deals (10-15%) cash back can really pay off!

[Melinda]

It’s a trap for most people. Even with points and cash back for carry balances with high interest

[Liberato]

I feel so stressed about a friend, who is on a minimum income. She applied for a store card that charges like a credit card, and is now having to pay a third of her income as a minimum payment, while interest increases her balance every month. Sad.

[Virginia]

Once you’re solid in your habit of always paying off your card, churning cards can be quite lucrative.

If you don’t need miles, look for cards with a welcome bonus!

[Revering]

I agree! Credit cards can be beneficial when used correctly. I went to Ireland last year and my trip cost $0 thanks to credit card and bank account bonuses.

[Brian]

I get about $2k a year back in cash back rewards. I put almost every expense I have except my mortgage in my credit card and pay off monthly.

[McCoy]

I’ve had credit cards since I was 18 (just to get the freebies offered for signing up). Like you, I always charged things but paid it off monthly and by using CC, it got me points to get free things.

I try to budget for things but I fail as I can’t resist a sale so I always made sure I had a minimum balance of $30k in my bank account so it would cover any of life’s wants (nowadays between my husband & I we have six figure savings to cover impulse buys).

CCs aren’t bad as long as one has the funds to cover them.

[Lisa]

It’s amazing how much these add up, and I love the convenience. One does have to be careful though – I remember getting my bill in the early days and always being surprised at how fast all the purchases add up too!

[Norma]

But only if you’re disciplined enough to pay off the balance at the end of the month!

[Author]

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