Don’t resort to putting money in jars to see your savings. Instead of constantly borrowing money from credit card companies and paying tons of money in interest, you can start profiting from credit card companies.
Here are three quick easy steps to get you on the savings journey for 2020!
1. Take Advantage Of Sign-Up Bonuses
Credit card companies are paying you to apply for their rewards-based cards and to use them as your go-to payment option. If you surf the web, you’ll find that many top companies are paying you hundreds of dollars or equivalent points when you spend a certain amount of money on your card in a certain time frame.
Before taking advantage of sign-up bonuses, make sure the additional card will not negatively impact your credit score. You should also have the necessary money on hand to pay your cards in full every month to avoid interest charges. Be smart about the cards you choose to add to your wallet. However, don’t spend money that you don’t need to spend just to get a sign-up bonus.
2. Invest In Credit Card Company Stocks
A great way to multiply the money you have is by investing it. Investing allows your money to work hard for you without you intervening in the process.
American Express, Visa, and Mastercard are examples of credit card companies that are listed on the New York Stock Exchange. You can own a piece of the company and profit from the growth of the credit card companies. You don’t need thousands of dollars to get started but the more shares you own, the more money you can make. You can also receive a recurring stream of income from credit card companies that pay dividends.
Before investing in any stock, do your due diligence. Research the company, review the financial statements, and follow market updates to determine if the stock makes sense for your portfolio right now.
3. Get Rewarded For Buying Things You Purchase Every Day
Many cards reward you with points for using your card to pay for gas, groceries, flights, hotels, and restaurant splurges. Those points can be redeemed for gift cards, travel, or cashback in your bank account.
For this to work, you have to pay your bill on time and avoid interest charges. You wouldn’t want to pay a credit card company more in fees than you’re getting in rewards.
It’s easy to make money from credit card companies but you have to be equipped with the right information and mindset to make it happen. Talk to a knowledgeable financial coach to discuss your options and develop a strategy that aligns with your goals.