Cashback Credit Cards
Cashback Credit Cards - Earn while you spend
Money earned through cashback can range from 0.5 to 5%
Im going to start off my first Credit card post with one that will hopefully make your money work harder, and you will be rewarded for spending! If you require a credit card, or are a frequent user of your favourite plastic, then i would recommend a credit card with cashback functionality.
Normally, an average credit card will charge you interest based on your outstanding balance in return for you using the card - simple as that. However, in the battle win over new customers, some credit companies are offering you cash back for every time you spend on the card. The money is tax free, and can range anywhere from 0.5 to 5% of your spenditure. The secret to using such a card, is to use the card as much as possible on all of your purchases, but once your bill comes at the end of the month ensure it is paid off in full - and no exceptions!!!
Why pay it off in full each month?
If you don’t pay off your balance each month in full, you will be charged interest on that balance - effectively wiping away the main benefit of the card! Therefore, i would recommend that you set up a direct debit to pay off the balance, which will automatically debit your bank account the total amount spent each month.
These cash back cards also should rarely be used as a balance transfer card, as they usually come with high interest rates! The reason they offer cashback on yuor spending is because they WANT YOU TO GET INTO DEBT!! Don’t forget that. For that reason, avoid using the card for cash withdrawals, which are usually charged, and make sure you read the small print to find out any other charges or fees that may be applicable to your card.
Do a simple google search for “cash back credit cards” and the like and have a hunt around for a killer deal - if you love spending, and can make the full payments, you would be stupid to miss this. Remeber, gaining money here is so simple, you just go about your day to day business, and be paid for the pleasure.
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