I have a couple of cash back credit cards, and used sensibly, they are a great idea. We buy just about all of our monthly purchases on them, and then ensure we pay the bill off at the end of the month in full. This, coupled with keeping our cash in the bank longer means we make over £200 a year just for spending money on groceries etc. and is well worth it. Of course it’s not easy to find the best credit cards, so its very useful to find a credit card comparison site such as creditcardstore.co.uk.
It is important to be disciplined with credit cards, and to establish AND stick to a monthly budget, irrespective of whatever huge credit limit the card company gives you. Remember, your true credit limit is what you can afford, not what they tell you! It also pays not to be loyal to one company, look out for 0% balance transfers, and take advantage of them when you see them, making sure you can pay the balance off in full when the term is up. Use them sensibly, and credit cards can make you money.
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