Withdrawing cash from a credit card is a common mistake done while travelling. I used to have a credit card. I was so used to using it that I even did the cardinal sin of withdrawing money from it. I never knew the high daily interest rates on cash withdrawn from a credit card. My debt really became huge in matter of months. I kept paying minimum amount. This was another sin I committed.
I want to share this so that nobody else, at least those who will read this post will ever withdraw using credit card. Now let me come to the positive part of the story. If you have actually unknowingly withdrawn cash and cannot pay it back, you should call the bank and get it changed into a Loan. Yes it is possible and you will not be paying the hefty interest too. Just a bit of paper work and you are done.
Loans can be had even through a credit card. It is not known really. Banks are ready to pay loans to their regular customers and the credit that you have on your card can be used to do that. It is simple and quick way of getting a loan. You will really like the speed of payment. As in other loans you will get a monthly installment. It is a great way to pay off debts, when you cannot have all the money at once. Is it not? But you should use this option only in emergency as the interest rates are a bit higher than regular loans.
Crisp currency in your wallet feels good right.We tend to spent all cash we have in our pockets. This is true for all age groups. So how to develop a passion for saving cash.
Following some simple tricks can help you save amount of cash you would have never imagined.
- Keep a separate account for savings – We generally operate more than one bank account. Reserve one account for all savings that you do. It will help in a big way to save cash.
- Save the savings – When you are shopping for clothes and have $100 budget, but get the stuff for $80 due to discount, then make it a habit to deposit the extra into a different bank account. This is the one you opened for saving purpose only.
- Inculcate the piggy bank habit – My father always gave his change to me for my piggy bank. You can also imbibe this habit in order to save the change.
- Make saving a competition – Make saving a fun habit. Keep a competition of who can save more and reward the person who saves more. This will make saving a fun thing to do and not a pain in the neck.
- Invest the saved amount periodically – The savings that you have in your account should not be left there. It will depreciate. Take out 50 percent of that money and invest. Rest 50 percent will take care of emergency.
- Be clear about preferences – Always spend on necessities first and buy luxury items only when you have enough investments.
Want to save some quick cash? These simple actions taken at the right time will go a long way to save cash. You will never be out of cash.