Financial consultant Jim Sarlone said, the need for cardholders to find ways on how they can best maximize their credit cannot be overemphasized enough. The main issues are prevalent addition of fees, and increases in rates.
Sarlone adds that today, even credit card companies capitalize on rewards credit cards to regain clientele and recoup investments that turned in low returns at the onset of the global economic recession. Sarlone then maintains that this is a manifestation that everyone and everything from a single person, to big companies has been affected, in one way or another, by the economic recession.
He adds that consumers now think of ways on how to maximize their credit in the same way that their companies want to take full advantage of their profit.
Sarlone says that many account owners prefer rewards credit cards for the benefits or advantages they present. Although he concedes that there are always customers opposed to rewards credit cards because of the very high fees charged with their use. However, there are still clients who go for them, just to be entitled to discounts in expensive purchases in the long run. For the same people, the returns are just worth the investments.
The argument against the rewards credit cards is that the high annual fees cancel out the rewards, benefits, or advantages presented. Sarlone states that credit cardholders have another thing to suggest for maximizing credit: 0% balance transfer. Sarlone says that this can be a priority for those who are just tired of paying off on their high interest rates.
Sarlone shares that the 0% balance transfer would mean combining all the balances in the account and paying them off for a period of three months up to one year – for the benefit of not incurring interest rates. This way, he adds, the account owner feels more obliged to pay on balances to enjoy their credits once dues are settled. He opines that this is a better set-up than spending credit while incurring debts altogether.
Finally, Sarlone says that for real credit to be maximized in either the 0% balance transfer or the rewards credit cards, once must always aim at a good credit score. This will secure significant amount of savings in case arguments against rewards credit cards (high annual interest rates cancel out rewards) and balance transfer (fees charged) arise.