Credit card use wisely

A credit card is a popular financial tool in Russia today. Many who use the card are interested in the question: “Is it possible to save money when using the card and how to do it?”.

Let's try to understand this issue and give some tips to cardholders.

1. Almost every credit card has a grace period. If during this period to return the borrowed funds to the bank, the interest will not be charged. Card holders need to actively use the provided opportunity and try to pay the money within the time limit set by the bank.
2. If suddenly you cannot repay borrowed funds during the grace period, and the bank rate is high, then you can try to refinance your debt, i.e. issue an additional loan to pay off your credit card debt. It should be noted that banks are willing to issue a similar loan in the event that you are an exemplary borrower and do not have a bad credit history. If the credit history is bad, then you can try to provide the bank with documents confirming a good reason why you could not repay the loan on time. The bank can make concessions in the presence of such documents.
3. Timely repayment of the loan will keep a positive credit history. Positive credit history is a pledge of bank loyalty. You will be able to get credit cards and consumer loans in the future on preferential terms (at a reduced interest rate).
4. Try not to withdraw cash from the card. As a rule, this entails a commission. The commission will be lower if you withdraw money through the “native” ATM. Recently, some banks do not charge a fee for cash withdrawals from the card. All the nuances on this issue should be clarified in a particular bank. It should also be remembered that most banks have a grace period for lending does not apply to cash withdrawals. Thus, a credit card is better to use for non-cash payments.
5. It is necessary to take very seriously the possession of such a payment instrument as a credit card, carefully plan your purchases, be able to count the money spent and not think that the stock of money on the card is inexhaustible. It is better to keep track of monthly expenses. Using cost analysis, you can optimize your spending.

Money can be made to work for you, you just need to remember that the money on the credit card is not your own, but borrowed money, therefore, you are responsible for spending this money, so you need to approach the use of a credit card wisely. Then it will be possible to make the necessary purchase, and it will be possible to save. Experience the full benefits of using a credit card by issuing a Citibank card.

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