When it comes to saving money on your grocery budget, how you pay for your groceries is just as important as what you buy and how much you spend.
Why? Because you can reap benefits from paying for those groceries every month with a credit card.
The Advantage of Credit Cards (not an oxymoron…)
All credit cards are not created equal. To entice you to try their cards, many offer different incentives. Some offer discounts back for purchasing fuel, airline tickets, renting cars, and even buying groceries.
Check with your credit card company and see what they offer.
If you don’t see what you want, you may want to switch to another card with more advantages.
Some Credit cards offer a cash-back scheme anywhere from one percent to five percent for your purchases. For a monthly grocery trip worth $300 you could be earning $60 back. If you spend more, you earn more. Using a credit card in combination with other money saving offers could equal big savings for you.
Other credit cards may not offer cash back but rewards points. You may be able to earn anywhere from two to five points per a certain dollar amount of your purchase. Those points can be used towards money off on airline tickets, hotel stays, or even vacation trips. You always need to grocery shop so you will always be in a position to earn points towards more fun stuff.
However, be careful.
In order to make the most of your perks, be sure to pay your balance off each month. Since you were going grocery shopping anyway, you already have the money budgeted, right? Now use that money to pay your bill each month. Incurring interest and finance charges will make the bonus disappear.
Shop around for the best deals on your credit card and only ever use one if you trust yourself to do so…. If you know you can get into trouble – do yourself a favour and don’t get one!
Also remember that sometimes your rewards are reversed by shops that charge additional fees for you to pay with credit cards – so always ask first!