If It's More Money You Seek Listen To The Tips Of The Rich

With the looming fear of a recession, caused by the Federal Reserve aggressively raising interest rates to combat inflation, money has been on everyone's minds. From the lowest rung on the ladder, fuel, to the highest rungs and the millionaires that control them, we’ve all seen the signs that there’s reason to worry. With so many different strategies, there’s one that makes good sense and benefits anyone using it.

Spending

Nobody needs to tell us how to spend our money. It’s ours, and it’s up to us how we manage it, right or wrong.

If you’re going to spend it, why not get the most out of it that you can? Sounds good, right? How can we make sure we are getting the most out of every dime we have to, want to, or are forced to spend?

Debit Cards

Debit cards in a world becoming less and less on cash are as common today as…well, Covid-19. Anyone with a checking and/or savings account can obtain a debit card. There is even a list of different prepaid debit cards out there that one can obtain if needed.

Debit card transactions are straightforward. You can spend as much as you make without worrying about interest rates, late fees, penalties, or handling and service fees. They’re not a bad thing to have access to if you need access to cash. Otherwise, the debit card is a convenience and a way to make spending your money easier.

Debit cards have downsides:

• Easy to use for impulsive spending
• Overly convenient
• Did away with the check registers
• No additional benefit
• How To Get More Out Of Your Money

Inflation is at a staggering 8.6%. The price of fuel, unfriendly energy policies, quasi-socialist policies, a bloated market from the Covid-19 stimulus, progressives pushing away from fossil fuels, the Ukraine War, and Vladimir Putin are some of the reasons the Whitehouse has blamed for the economic woes we’re all beginning to recognize.

How can we make more out of what we have? Without being a financial expert there’s a need to find solutions that can be acted on immediately and are easy to work with and understand. One of those is the idea of not using a debit card.

Why use a debit card? Unlike many credit cards, there are no rewards for using a debit card, other than you’re not going into debt. Fool.com reports that one thing that differs between the rich and the not-so-rich, is that many don’t use debit cards.

Most wealthy individuals got that way because of thought-out and well-organized financial management. Something as simple as using your credit cards for necessities as you build your financial strengths is considered a prudent strategy. Particularly, if your credit cards have cash back rewards on purchases.

When you use your credit card with a rewards program, and spend $100.00, your credit card provider rewards you with 3% cash back. This isn’t something that you will get from standard debit cards. Over a month, with gas prices being what they are and inflation so high, even on a meager budget this could equal a few hundred dollars a year.

Paying your balance in full every month before the interest cycle hits will not only save you money over the long run but this practice, if done with a disciplined and well-managed approach, will also build your credit score.

The Ascent Recommendations

It’s easy to find recommendations on how to use credit cards, build credit, and be financially successful. As a rule, those that have large amounts of capital tend to be more cautious and strategic about credit card use.

• Only holding a few credit cards.
• Getting paid by their credit card issuers through reward programs.
• Always paying them off on time, and in full whenever possible

Travel Benefits. Many cards will get additional travel access at airport lounges, credits for ticket purchases, primary car rental insurance, trip insurance, and no foreign transaction fees.

Credit cards can be a handy thing to have. Managing them is important, and when managed correctly, they can do much more for the user than a debit card. Why not make your money work more for you by working more with your money?