Saving Tips For Secured Credit Cards
If you’re interested to know how you can generate huge savings from your monthly credit card bills then, we suggest you keep the following tips in mind:
Pay your secured credit card bills in full. Submitting just the minimum amount due is a big NO-NO for credit card holders. That’s because such habit can cause your interest charges to balloon out. And in time, your interest payments might make it harder for you to settle your bills, completely.
So, to avoid making substantial payments on interest, you should resolve to pay your monthly bills, in full. One thing that can help you in this endeavor is to set aside enough funds that will cover your credit card charges, as soon as you receive your mid-month or month-end salary.
Submit on-time payments to your card issuer. Did you know that skipping or missing out on your credit card bills can cost you a great deal of cash? That’s because you will surely get penalized with late payment fees and other surcharges if you will constantly submit your dues late. Hence, to avoid paying such pesky ďŹ nes and penalties, you should resolve to submit, not just complete, but also on-time payments to your credit card issuer. To succeed in this matter, you may decide to sign up for automatic payment arrangements with your bank.
In this arrangement, you will authorize the employees of the ďŹ nancial institution to withdraw funds directly from your checking or savings account, which they can use for settling your ďŹ nancial obligations for the month. So, with the help of this special payment scheme, you won’t have to worry about skipping or missing out on your dues, ever again. If you want a more conventional approach, you may also set up personal reminders or alerts in your electronic devices or mark your calendar with your due dates. In so doing, you will not just remember when a bill is due. More importantly, you can have ample time to prepare the funds you need to settle your credit card charges, completely and prudently.
Spend within your credit limit. Maxing out your credit card will not just cause your debt-to-limit ratio to rise and your credit score to drop. It can also cost you funds, usually in the form of overdraft charges and declined transaction fees. This means that if you’re keen on keeping your credit payments low, you should always pay close attention to your credit card charges. As much as possible, use just 25% to 30% of the spending limit or cap imposed on your secured credit card. And before charging an expense or a bill on your account, find time to check first if there are funds you can still use on it.
Abide by the stipulations of your credit card program. Another thing that can get you penalized is committing serious violations against the terms and conditions of your line of credit. Hence, we encourage you to regularly review the stipulations of your credit agreement. Take out the document from time to time and familiarize yourself with the provisions and restrictions found in it. After all, this will help strengthen your decision to live up to the terms and conditions of your secured card program.