Earn money with your credit cards

Credit cards can help you earn money every day if you know how to use them properly.

Have you wondered why many people use credit cards for their purchases? They have the cash with them but yet people choose to use credit cards to pay for all purchases. This is because most credit cards have rebates or cash-back when you use them.

There are discounts when you use certain bank's credit cards at restaurants or promotional items.

Personally, I use only two credit cards for my purchases. I use another credit card for all online purchases and also Pay-pal. This is to minimise any fraud transactions for online purchases.

I use one credit card to get dividend cash-back of about SGD50 to SGD100 per quarter. Average monthly spending is about SGD700. I charge my petrol bills, phone bills, meals, etc all to this credit cards. I enjoy discounts at petrol stations as well as meals at restaurants.

Check out this website that ranks the best Petrol Credit Cards for 2015. Citibank Dividend card is the best in this category. I have been using this card since it was introduced. Image the amount that I have already saved and earned.

• 18.3% discount at Esso Stations - 5% Esso site discount + 5% Smiles card discount + 4% Citicard discount + 5% Citi DIVIDEND Cash rebate on nett purchase
• 18.1% discount at Shell stations - 5% Shell site discount + 5% Shell Escape discount + 4% Citi Rebate (applies after Shell discount) + 5% Citi DIVIDEND Cash rebate (applies after Shell discount)

Below is a screenshot of my dividends redeemed this month. It is SGD53.58. Just image that you pay via cash, you will not have discounts and dividend cashback. It is a good way to save and earn money. The banks are giving you money and you just need to be disciplined.



Dividend cashback

Another thing about the annual fee for credit cards, so far only UOB does not allow fee waiver. Most banks will waive the annual fee if you request them. Remember to request for annual fee waiver and you will save a lot on this. Just pick up the phone and dial the bank's number. Punch in a few keys and you will save at least SGD100. Don't be lazy. I can help you do it if you pay me the annual fee.. Just kidding.

Banks earn money by:

• Late Fees and Finance charges
• Interest rate charge on revolving balance (which is not paid before due date)
• Fees for cash withdrawal
• Annual membership fees (this is ridiculously high)

So, let's try not to give away our hard-earn money.

Some people are sceptical about credit cards, one person is my brother. He is afraid of using it because he had been burned by the bills. He had overspent his limits and was unable to pay. In the end, he had to cut all his credit cards and vowed not to use them again. So, credit cards can help you save and earn money but you must know the right way.