Tips for using gas credit cards wisely Part 2

A gas card's savings may be nullified if interest payments are required. Interest rates on gas credit cards are typically between 20% and 30% APR. The interest you pay on a balance will typically outweigh any rewards you earn, including cash back.

 So, only use a gas card if you can afford to pay off your statement balance in full every month and thus avoid interest charges. Do not neglect to use your gas card when prices are low.

Consider your typical gas purchases before applying for a gas rewards card. When and where do you typically refuel your vehicle? Do you use a lot of gas when you travel, especially when driving? Do you have to have a gas rewards card, or could you just go to a different gas station?

Unfortunately, many motorists don't realize that they can save money by passing up the gas station with the lowest price and instead going to the station where they have a gas card.

Think about the distinctions between retail cards (also known as private label cards) and co-branded cards. If your credit card offers bonus points, miles, or cash back for gas purchases, you can compare prices to find the best deal while still accruing rewards.

Keep in mind that most cards' bonuses won't apply to gas purchased at warehouse fuel centers like Costco and Sam's Club.

Don't take unnecessary detours just to rack up points. Credit cards for gas stations offer minimal but meaningful discounts. However, the gas you waste can more than cancel out the savings you make by driving a little further to refuel.

The value of your time and any other costs associated with keeping your card in good standing must also be factored in. Make sure there are convenient gas stations on your route before purchasing a gas card from a particular store.

Previous Post Next Post

نموذج الاتصال