Borrowing Money

Just Got Your First Credit Card? Here Are 7 Tips To Avoid Credit Card Debt In Singapore

A credit card comes with the aura of having money galore at your fingertips. But if you don’t use your credit card responsibly, you’ll be tempted to make up to 100% more useless purchases than you would with cash. With the influence of social media and peer pressure, it is common for Singaporeans to splurge on luxury goods to keep up with the jones. That can bury you in debt and ruin your credit score. To avoid this, read the tips below. You’ll learn how to make the most of your credit card to enjoy the many perks that come with having one and to improve your credit score. 1. Work With A Budget A lot of people buy things they don’t actually afford when they have a credit card. Using cash is easy: it tells you the exact amount you can spare, so you have to stick to that sum, whether you’re paying for a dinner out or a new suit. Credit cards don’t give you a realistic idea of how much money you have because you can postpone paying for your balance and because there are no immediate penalties. To avoid falling in the trap of useless purchases, establish a budget. For instance, 60% of your budget can be allocated for necessary items you can’t live without, like paying your bills and food. 20% can go to things you don’t necessarily need, like new books or new clothes, and 20% for savings and paying your balance. Of course, many people confuse things they need with things they want but don’t need, which makes them more likely to incur additional payments on their credit card. 2. Keep Track of Everything After you’ve set up your budget, you can start spending your money. But that’s not the last step because you need to keep track of every purchase you make. Your credit card is likely to come with an app, so that will help you analyze your payments. The app will help you stay disciplined and accountable, provided you’re not going over the limit you’ve set. If not, you can

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8 Smart Tips For Borrowing Money – Get The Loan That Suits You Best (2020 Update)

The idea of borrowing money is usually frowned upon on and most of us would avoid borrowing if possible. That said, there may be unforeseen situations in life where we require an extra line of credit. You may be hit with a sudden emergency and require additional funds to see you through. You can’t make ends meet when you are broke. You need to maintain your lifestyle and at the same time, you need to invest for the future. All these require you to have money. What happens when you don’t? It is thus normal to look for financial assistance from other places. If you are a first time borrower and have your doubts about borrowing,  here are a few smart tips you need to evaluate before you start borrowing money: 1. Savings Have you ever thought of investing or even buying something? Sometimes, you might wish to purchase a home or a car. All this is possible if you work smart. The first step is to inquire how much you need, then come up with a plan of how to achieve that amount. The best way to get this amount is by saving. Sometimes, savings might take time. If you go to the bank with a certain amount of money and inquire for more, you will stand a better chance of receiving the money. In addition, your savings will have reduced the loan by a certain percentage. This will mean that you will spend less time paying up the borrowed money. In short, you will have used a smart method to borrow money that you didn’t have in the first place. 2. Penalties Life is full of surprises. No one plans for bad things to happen. However, that shouldn’t stop you from achieving your goals. If you are going to borrow money, it is prudent to think of the penalties just in case things go sideways. Some financial institutions issue harsh penalties which may leave you in a bad financial state. Get yourself a place that will work with you even on those rainy days where you might delay

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