Many consumers rely on credit cards as an efficient way to undertake transactions or to have recurring charges paid. Often times, the decision as to which credit card to use is made with not a lot of research or foresight.
U.S. News & World Report, a nationally recognized publisher of consumer advice and information, recently completed a nationwide financial literacy survey to obtain a comprehensive understanding of consumers' experiences with credit cards.
The results of their study reveal that many consumers don’t understand the basics of credit card ownership, such as credit scores, interest rates, and the consequences of carrying a balance. This causes consumers to sign up for credit cards that do not fit their needs, incorrectly use their card, overspend, and worse, fall into a never-ending debt cycle.
In an effort to help consumers get a better understanding of credit cards, U.S. News created a guide that shows consumers the basics of credit card ownership. The resource covers topics including how credit cards work, the best and worst credit cards, and how to choose the best one for every type of consumer.
U.S. News & World Report’s 2020 credit card guide can be viewed here. Specific sections of the report can be accessed by clicking on the links below.
- What is My Credit Score?
- Do I Have an Existing Credit Card Balance?
- Are Rewards Right for Me?
- Am I Willing to Pay an Annual Fee?
- Will I Use the Cardholder Benefits?
- Do I Need a Credit Card for My Business?
- How Many Credit Cards Should I Own?
Credit, when used with discipline, can make one's financial life easier and more efficient. We recommend you take the time to research what needs you have and which card or cards best meet your requirements.
Disclaimer: The information provided here is general and intended as educational in nature. It is not intended nor should it be considered as tax, accounting, or legal advice. Investec Wealth Strategies and its advisors do not provide tax, accounting, or legal advice. We recommend you seek the counsel of your attorney, accountant or other qualified tax advisor concerning your situation.