Owning a credit card in the Philippines has a number of advantages, such as providing you with a line of credit when you need it. But are you maximizing the benefits of your credit cards?
Here’s how you can maximize your credit card's advantages.
How to maximize credit cards
Choose the right credit card for your needs
Not all credit cards are created equal. Credit card issuers tailor their credit cards to the needs of their customers.
For example, do you travel often? You may be interested in a travel credit card that offers travel miles as rewards. Or maybe you use a certain make of car? Metrobank has a Toyota credit card that gives you discounts at dealerships.
So, which credit card offers the best rewards? That depends on what you are looking for. Scout the market and compare which rewards complement your lifestyle. Each one offers specific benefits and features, so see which one you would use the most.
Take advantage of sign-up bonuses
Credit card issuers offer a sign-up bonus to those who sign up for their credit card. Sign-up bonuses vary. Some credit card issuers offer cash or credit back, while others offer e-gift certificates.
Check out the promos
Credit card providers often go above and beyond to incentivize their customers with a variety of promotions and discounts. These offers can provide significant savings on a wide range of expenses, from dining and shopping to travel. Whether you're looking to treat yourself to a meal at a fancy restaurant, update your wardrobe, or plan a vacation, there's likely a promotion that can help you save money with your credit card.
Use your lounge privileges
Many credit card issuers have tie-ups with airport lounges all over the world. This means you can get into a premium airport lounge without flying business class or paying for the entrance fee. VIP lounges give you access to complimentary snacks and drinks, beds, and in some cases, a shower, useful for long layovers.
Get travel insurance
If your experience any issues while traveling, call your credit card issuer right away. Many issuers offer travel insurance in the form of protection against missed flights, delayed or canceled flights, delayed or lost luggage, or even accident coverage.
Make use of your points
Credit cards often reward cardholders with points for every purchase made. These points can be redeemed for various benefits, from airline miles and hotel stays to gift cards and merchandise. Maximizing your credit card points involves strategic usage and understanding the redemption options available.
Monitor your spending and activity
A less common tip on maximizing your credit card is to regularly review your monthly credit card statements for accuracy and authorization. Be mindful of where you use your credit card and how much each swipe was for. When your statement comes, carefully examine each transaction for any discrepancies, such as incorrect amounts, unauthorized charges, or merchant names that don't match your purchases. If you notice anything suspicious, immediately contact your credit card issuer to report the fraudulent activity and take steps to protect your account.
Beyond fraud detection, tracking your spending regularly can help you stay within your budget and identify potential areas of overspending. Use your bank’s online app to monitor your credit card activity and set up spending alerts to receive notifications of significant transactions or when your balance exceeds a certain threshold. This proactive approach can help you prevent unexpected surprises and maintain control of your finances.
Pay in full to avoid incurring fees
No matter which credit card you go for, you want to pay in full whenever you use it. Try to use your credit card for things you are capable of paying for in cash. This is to ensure you have enough money to pay in full when your credit card bill comes in.
Paying for your credit card bills in full helps you avoid paying for unnecessary interests and late fees. Remember that these fees accumulate and compound each month, so the longer you put off paying for your bills, the more debt you owe.
If you can’t pay for an item in full, don’t worry. You can check to see if your credit card issuer offers 0% installment options. It lets you buy in bulk or take home that big-ticket item without incurring any interest.
Getting the most out of your credit card
Credit cards can be a valuable when dealing with your finances but only if used responsibly. Learning how to maximize its use by choosing the right credit card, staying on top of promos, and utilizing its features effectively, you can maximize your rewards, perks, and overall financial well-being. Remember to pay your balance in full each month, avoid carrying a balance, and monitor your credit card activity regularly.
Metrobank offers multiple credit card options to suit every need and lifestyle. Apply for a Metrobank credit card today!
