Unless it’s an emergency, a true, life jeopardizing emergency, never-ever take out cash advances on your credit card. Never take your credit card to the bank and ask for cash and never put your credit card into an ATM machine.
Financial experts say that these cash advances reap even higher interest rates compared to the ones your already hold on your purchases, which are already soaring. Combining both of those will send you spiraling into debt. Cash advance also don’t go by cycle, or time periods, instead the charges are placed instantly. If you are not in a position to pay the balance off immediately, do not get a cash advance on your credit card. You can see interest rates accumulate every day that balance remains.
If you have been a responsible consumer and have been paying your credit card bills on time, it won’t hurt to call your lender and ask for a lower interest rate.
Surveys shows that nearly 55% of people who participated in the survey were reported to have trimmed their interest rates just by asking their bank, credit union or credit card company. With lower interest rates, you can save more money, especially if you are the type of consumer who may not be able to pay the balances on time or immediately.
All of these tips are proven cost-effective ways to reduce credit card spending and increase your savings. Credit cards are a reoccurring expense that many Americans face, according to statistics, it’s nearly inevitable, everyone will face it at some point. By following these tricks you will be able to save more money, now and in the long run.