Credit cards are generally regarded as a convenient and safe method of payment that is accepted worldwide. All credit cards have some form of reward (be it points, cash back or other incentives) attached to them. However, credit card fraud is on the rise, that can affect your money in many ways.
Here are some tips to find the best rewards credit cards and Avoid Credit Card Fraud.
Tips to Find Best Rewards Credit Cards
Know yourself
All the rewards points in the world will be for nothing if you’re getting yourself into financial trouble to earn them.
Putting everything possible through your credit card is the best way to rack up points as fast as possible. That only works, if you’re paying that balance off every month.
If you’re carrying a balance, it’s likely that whatever you’re paying in interests completely writes off any free flights or other perks you may be scoring off that debt.
Know what you want
Know what you want is the key thing about selecting a rewards card. If you’re not into travel, there’s no point in a card that mainly gives you rewards to put towards flights and hotels.
As you consider a card, make sure the math makes sense: If you’re paying $150 as an annual fee, but only getting $50 worth of value out of the card, that shiny piece of plastic is costing you money, not saving it.
Save more money! Read our article on Simple Tips to Save Your Money
Know what you do
It is important to find a card that rewards you for the way you already live. If you’re not someone who dines out a lot, there’s no point in having a card that offers 4x the points on restaurant purchases.
But if you’re someone who likes to pre-authorize their bills, a card that offers a 2% cashback for those transactions is perfect.
Know when it’s over
Most rewards credit cards come with an attractive signup bonus. Such as be it a nice chunk of points up front, having the annual fee waived for the first year or getting accelerated earnings rates in certain categories.
These bonuses tend to expire within the first 12 months. So always know when it is over.
Tips to Avoid Credit Card Fraud
Ask for receipts for all your purchases. Check them against your transactions online regularly. If you notice charges that you didn’t make, report them to your card issuer right away.
Always Keep your card in sight. It’s always better if you can swipe or insert your credit card yourself when your shopping. But if you have to hand it over to a merchant, keep it in sight at all times to prevent scanning.
Protect your credit cards when traveling. Always Carry your cards with you, or make sure they are in a secure location. Ensure that your signature is on the back of all your cards.
Always be careful online. Make sure you enter personal information only on secure and reputable websites. Clear your logins and passwords and be on alert for phishing scams.
You can also read the our article about the KOHO card to enjoy the advantage of KOHO and make your life better meeting your financial goals.
