Earth Day is meant to bring awareness to the ways we can preserve our planet and resources. As a homeowner, you can help the environment and your wallet, whether you are selling your home, buying a new home or simply taking advantage of low mortgage rates. Since Earth Day is April 22 this year, here are 22 ways you can cut back on waste and energy consumption.
Correct me if I’m wrong, but almost everyone could use a little more cash, right? Whether you’re looking to buy a new car, take a vacation, or remodel your home, every little bit counts. As a person that likes to spend more than save, I’m always looking for ways to gain some extra mullah.
This got me to thinking about a cash-back credit card. What is a cash-back credit card, you ask? I’m glad you asked. A cash-back credit card is a card that rewards you for using it with cash-back incentives and rebate programs. Sounds intriguing, doesn’t it? Below I’ll explain some of the pros and cons associated with a cash-back credit card.
Here’s why you should consider a cash-back credit card:
If you’re looking for a way to earn some extra cash, a cash-back credit card can do just that. Most cards typically add a cash-back rate of 1%, although some cards offer an even higher percentage (up to 5%) for common purchases such as groceries and gas. The more you use your card, the more you’ll get in return.
If you don’t have your sights set on more cash, how do free airline miles sound? What about discounts on car rental insurance? There’s a list of different perks you may be eligible for. Different cards offer different incentives for customers. Be sure to do your research before selecting a card.
As you’ll find out below, it’s tough to get a card with bad credit. However, if you already have good credit, you’ll be able to build on your credit even more. To avoid high interest rates, it’s imperative you pay off your balance each month. By taking that step, you’ll help your credit in the end.
Here’s why a cash-back credit card may not be for you:
High interest rates
If you’re unable to pay off your monthly debt owed to the card issuer, a cash-back credit card isn’t for you. The interest rates on such cards are much higher due to the incentives you get in return. Be sure to read the fine print before signing up for a card that you’re unable to afford.
Is your credit not where you’d like it to be? If so, you’ll be hard-pressed to find a card issuer willing to give you a card. With such high interest rates, the card issuer is more likely to think you’ll have a hard time paying back the loans if you’ve had trouble in the past.
If money is tight, why add to your debt? Many people are scared to sign up for a cash-back card because of its annual fee. Some cards have an annual fee of $50, while others vary significantly. Be sure to read the fine print before you’re stuck paying a high annual fee.
I’ve said it before and I’ll say it again: read the fine print. Some cards advertise a 1% cash back rate, although that’s not necessarily true off the bat. In order to get that 1% cash back, you first have to spend a certain amount of money. For example, Walmart advertises a credit card with a 1% rate, however you only receive that rate after spending $3,000. If you don’t plan to spend $3,000 on the card, you’ll never be able to fully reap the benefits.
As you can see, cash-back credit cards offer great rewards for people that can pay off their debt at the end of every month. However, those with a poor history of paying off debts on time will suffer the consequences of paying high interest rates. Proceed with caution!
Who out there has a cash-back credit card? Are you happy with your decision to sign up for one? Let us know in the comments section below!