Play your cards right
Ease of use, convenience and a high degree of flexibility have won
access cards massive and growing popularity in Australia. Payments
can be made easily ñ in shops, over the phone or on the Internet and,
when you have a card, thereís no need to carry around large amounts
of cash. Using a card is a convenient way to do all your Christmas
shopping and even to pay for your holidays.
Which card should you choose?
With literally hundreds of cards on the market, consumers have never
had more choice. Itís important to get the right card. Using the wrong
type of card can be expensive, and cost you more in fees, charges
and interest.
For example, why worry about a high interest rate credit card if
you know you will be paying off the entire balance on time each month,
thus avoiding interest payment altogether?
Likewise, if you know debt is likely to be regularly carried on the
card for more than one month, a card with a lower interest rate and
a lower or no annual fee could be best. Some people prefer not to
use credit cards at all and therefore choose a debit card, which only
provides access to the funds available in their savings account or
a linked credit facility.
PCU VISA debit card
A PCU VISA card is a debit card, which provides access to the funds
you have in your savings account. However, if you have a pre-arranged
credit limit linked to that account, you can access that credit limit
for unexpected purchases. VISA provides worldwide access to your nominated
on-call savings account. It has the convenience of EFTPOS and ATM
access and the ability to pay for goods and services wherever the
VISA logo is displayed. By choosing the ìcreditî option when shopping,
you also save on transaction fees.
Tips for budgeting with your card
- Think about whether you will be able to pay for something before
you buy it, not after.
- Parting with cash is visible but the impact of using credit is
not as obvious until the statement arrives.
- Lower the cost of credit by paying as much as you can off the
balance each month.
- Reduce the number of credit cards you have. This will save on
annual fees and allow you to get maximum benefit from your rewards
programme. It also removes the temptation to use one credit card
to pay off the balance of another.
- Choosing the 'credit' option where possible when shopping with
your card, instead of the ATM or EFTPOS, can save on transaction
fees.
For more information about a PCU Visa debit card, drop into any branch
of Police Credit Union or call our Response Centre on 131 844.
