Five smart tips on how best to use credit cards
By iTrust Financial Advisors (www.itrust.in)
The history of consumer finance in different countries has shown that unless individuals use credit cards judiciously, it can lead to financial ruin. For instance, the South Korean economy suffered a severe crisis a few years ago because of the credit card problems of individuals.
In India, the mass use of credit cards is still new. As we develop our own habits on using cards, here are 5 tips on how best to use credit cards.
1) Don’t fall for aggressive marketing tactics: All credit cards are the same, only some features might be different. Don’t fall for some marketing ploy by yet another credit card company just because the annual fees are being waived. The truth is that you probably don’t need more than 1-2 credit cards. Don’t spend indiscriminately using your card just because you are getting loyalty points. Buy stuff that you really need.
2) Pay all your dues on time: Don’t delay payments and as far as possible, pay your entire outstanding amount on the due date. Otherwise, you will have to pay expensive fees.
3) Review your monthly statement: Don’t just assume that your statement is correct. Card companies have a bad habit of making mistakes. Ensure that there are no hidden charges, and verify that you have indeed used your card for the various items listed on your statement. This way you can also avoid being a victim of credit card fraud.
4) Don’t withdraw cash on your credit card: Use your card when you know that you can pay your dues back asap! Don’t treat your credit card as a mechanism to borrow money from the ATM. Only use your savings in your bank account to withdraw cash.
5) Use your debit card more frequently: Spend money that you have, rather than money that you might not be able to pay back. Debit cards usually come with no cost to you and its unlikely that you will need to pay any finance charges that you will have to pay on your credit card in case of delayed payments. Continued...
Dubai Debt Fears
Banks outside the Gulf played down their exposure to Dubai debt, after fears the emirate could default and even derail world economic recovery prompted a sell-off in global markets. Full Article | Slideshow
health is wealth
Buying health insurance
Health insurance is one of the financial products that every individual and family must have. Here are some tips on how to buy health insurance. Full Article
India Investment Summit 2009
Top executives and bankers discuss their own plans and the broader opportunities and challenges for India. Full Coverage




India
US
UK







