March 27, 2023

The Advantages of Using Credit Cards for Your Everyday Expenses

Using credit cards for your everyday expenses can be a great way to make sure you’re getting the most out of your money. In this article, we’ll explore some of the benefits of using credit cards for your everyday expenses, and how having a credit card can help you in the long run.

How having a credit card helps you

The Visa® Platinum credit card offers a wide range of benefits to its cardholders.

These benefits include:

  • No Annual Fee, No Balance Transfer Fee, No Cash Advance Fee, and no Foreign Transaction Fees!
  • $250,000 travel accident insurance coverage
  • $5,000 identity theft protection from NortonLifeLock
  • Auto rental collision damage waiver
  • Roadside dispatch
  • Cardholder inquiry service

Cardholders can also earn cash back through the Member Rewards Program and take advantage of a 2.90% intro APR on transferred balances for 6 months and low credit card rates starting at 12.35% for Visa Platinum and 14.35% for Visa Platinum Rewards after the introductory period.

Online account management and contactless payment options are also available for added convenience and security.

How Using a Credit Card for Everyday Purchases and All Your Expenses Helps You

Interior Federal offers a Member Rewards Program that allows cardholders to earn points for everyday credit purchases. With the Platinum Rewards Card, cardholders earn rewards. They earn 1 point for every $1 spent.

Additionally, the ShopSPOT® program allows members who have a checking account to earn points when using their debit cards at participating merchants.

Points earned from both programs through the use of both a credit card and debit card can be combined for fuel discounts, cash back, travel, gift cards, merchandise, experiences, and live events.

One way to rack up the points is to charge everything to your credit card and then pay off the balance each month, so you don’t accrue interest.

Digital banking allows cardholders to manage their credit card account 24/7 and take advantage of card management features that protect against fraud and misuse in real-time.

And digital wallets give you multiple options for managing your finances.

How To Determine How Many Credit Cards To Have

It can be difficult to determine the right number of credit cards to have, as there are a variety of factors that should be considered when making this decision. Here are the top three.

Credit Utilization Ratio 

This ratio measures the amount of available credit you are using compared to the total amount of available credit across all your accounts. It’s recommended that you keep your credit utilization ratio below 30%. That means if you have $10,000 in available credit across all your accounts, then ideally, you would want to keep your balances below $3,000.

Having too high of a credit card balance could lead to a drop in your credit score, so monitoring this ratio is key.

The Age of Your Credit History 

Another factor to consider is the age of your credit history. If you’ve had a line of credit for a long time, then having multiple cards may not be necessary as you’ve already established your creditworthiness in the eyes of the card issuer. On the other hand, if you’re relatively new to having credit, then having multiple cards with low limits can help build credit faster.

If you’re considering closing any credit card accounts, make sure you keep the cards that have the longest history. It also might be better to keep all of your cards as closing any will also decrease your available credit and could lower your credit score.

Your Payment History

Your payment history has a high impact on your credit score. Lenders want to see a credit history that includes a good credit card history and on-time payments.

The advantage of having multiple cards is that you can spread out your credit utilization across several cards, allowing you to keep a lower balance on each card. This in turn will help maintain a good credit score.

Ultimately, the number of credit cards that is right for you depends on your financial situation and goals.

Credit Card Fine Print: What Every Customer Needs to Know 

With credit cards, there’s a lot of fine print that can get overlooked, and this fine print can have a major impact on your finances. That’s why it’s so important to read the fine print carefully before signing up for any credit card or loan. Here are a few key things you need to know about the fine print on credit cards.

Fees and Interest Rates 

Two of the most important aspects of the credit card contract are the fees and interest rates associated with it. It’s important to pay attention to these details so you understand how much you are paying for using your credit card. For example, some cards may have an introductory rate such as “0% APR for 12 months” that entices you to sign up, but it could eventually increase. Make sure you know the date it will increase and the interest rate.

It’s also important to pay attention to any balance transfer fees that may be associated with certain cards as well as late payment fees if you don’t make payments on time. Interior Federal does NOT charge a balance transfer fee!

Other fees to look out for are annual fees. Many times, the first year is free, but after that, there is a charge for having the card. Interior Federal does NOT charge an annual fee, cash advance fees, or foreign transaction fees!

Sign Up Bonuses

Another important aspect of credit card contracts is the signup bonus. This is an incentive offered by some cards to attract new customers. For example, “Get a $250 credit when you spend $3000 within the first 3 months.”

They are often advertised as a lump sum or points that can be redeemed for credit card rewards or cashback.

Terms and Conditions 

Finally, don’t forget about all the other terms and conditions that come along with your credit card agreement. These include:

  • When payments are due
  • When interest rates could change
  • How long a grace period applies
  • What happens if you miss a payment or go over your credit limit

All these details should be spelled out in the terms and conditions section of your agreement as well as any other documents related to your account, so take some time to familiarize yourself with them before signing anything!

Typical Requirements for a Credit Card

It’s no secret that having a credit card can be incredibly useful. Not only do credit cards offer convenience and flexibility, but they can also help you build your credit score. But getting a credit card isn’t as easy as walking into the bank and asking for one. In fact, certain requirements must be met to qualify for a credit card. Let’s take a look at what it takes to get a credit card.

Proof of Age and Identity

To apply for a credit card, you’ll need to provide some form of identification or proof of identity such as your driver’s license number or passport number. You’ll also need to prove that you’re at least 18 years old.

Proof of Address and Income 

In addition to proof of identity and age, some lenders will require proof of address and income before approving an application for a credit card. This is particularly important if you are applying for an unsecured (non-guaranteed) credit card. Lenders use this information not only to verify that the applicant is who they say they are but also as an indicator that the applicant can manage their finances responsibly.

Good Credit History 

A good credit history is essential when it comes to qualifying for a credit card. Lenders want applicants with good track records when it comes to managing their credit card debt to minimize their risk exposure. If you don’t have an established credit history, you may still be eligible for a secured credit card.

How Your Credit Score Affects Getting a Credit Card

A credit score is a number that lenders use to determine your creditworthiness and will also affect the credit amount and what kind of interest rate and terms you receive.

If you’re looking to get a new credit card, it’s important to check your credit score first so you know where you stand.

If you have a good credit score, it can be easier to get approved for a credit card since your credit score is one of the most important factors that the credit card company considers when deciding whether to approve your application. A good credit score shows that you are reliable and will use a credit card responsibly, which makes lenders more likely to give you access to a credit card.

However, if your credit score is lower than average, it can be more difficult to get approved for a credit card. You may need to look for lenders who specialize in providing credit cards to those with less-than-perfect credit scores. It’s important to check the terms and conditions of any card before applying, so you know what interest rates and fees are associated with it.

As a member of Interior Federal, you can check your credit score each time you log into digital banking! Credit Score is a free service offered by Interior Federal. With one click, you can check your credit score, view your credit report, and get up-to-date credit monitoring notifications. You can also find out what affects your score, how you can save money, and how to improve your score or rebuild your credit.

Four Tips for Boosting Your Credit Score Before Applying for a Credit Card 

Here are three tips to help you raise your credit score before applying for that all-important card.

  1. Pay All of Your Bills On Time 

Even if you can only pay the minimum each month, making sure payments are made in full and on time will help keep the debt-to-credit ratio low. Additionally, setting up autopay or reminders can help you remember due dates and avoid any late fees or penalties that could negatively affect your score. Interior Federal offers a free bill pay service for our members! Use it to make and track all your bill payments.

2. Keep Outstanding Debts Low 

Be mindful of how many times you use your cards each month and be aware of what kinds of purchases you’re making with them.

3. Check Your Credit Report Regularly 

Check your credit report regularly to identify any mistakes or inaccuracies right away and take steps towards correcting them as soon as possible.

4. Build or Rebuild Your Credit with a Shared Secured Loan

If you’re looking to build your credit history or improve your credit score, getting a share secured loan can be an easy and effective way to do that. You can save on interest, continue earning dividends, and easily build credit.

Visit us to learn more or apply here.


Credit cards can be a good way to manage your everyday purchases but be sure to understand the fine print and typical requirements for a card before signing up. Credit cards can also help you build your credit score over time. As long as you use them responsibly, pay off your balance in full every month, and keep an eye on your spending habits, they can be beneficial. Ultimately, the decision of whether to use a credit card for everyday expenses is up to the individual.

Do you have questions? We’re here to help. 

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