Store Cards

Should I get Lots of Store Cards?

Store cards are available in many of the big chains of stores. These are not just like a loyalty card, but they are more like a credit card. You are able to use them in store to pay for things, just like you would a credit card and then you will get a bill at the end of the month where you can pay off the whole card or just pay back a minimum amount and pay interest. Stores will do a credit check before they issue them and the credit limit they give you will be determined by your credit score.

As many stores offer the cards, it can be tempting to get cards from lots of them. If you shop regularly in the stores then you could benefit from doing this. This is because card holders often get benefits that other customers do not. It might be that you can get some discounts, invitations to preview sale events or other benefits. This could mean that you get a better chance of getting some better deals from the shop and therefore the card could be really helpful. Having a lot of store cards for different stores could mean that you will be able to take advantage of deals from lots of different places and this could really help you to save money. However, you do need to be careful that you are not tempted to buy things that you do not really need just because it is on special offer. It can be so tempting to think that because something is reduced that it is a great bargain, but if you were not intending to buy it before, then perhaps you should not buy it now.

A risk with having a lot of different store cards is managing what you owe on them. When you get your monthly bill for the card, you will need to decide whether to pay the amount in full, to only pay a minimum amount or something in between. If you do not pay the full amount then you will be charged interest and that means that you will be paying extra. You will need to decide whether you think that it is worth paying this extra money for the items that you purchased. If you are keeping track, you may find that you cannot afford to pay off the full balance and therefore have to pay interest on the card. You may end up paying more in interest than you saved and you could be annoyed with yourself about this.

When you have a lot of cards it can be more difficult to keep track of what you are spending. You can check the statements, but with so many it is harder work than if you keep everything on the one card. You could get the store cards but just use one credit card to buy everything so that it is easier to keep track or even not use credit when you are buying things at all. Being a card holder will still give you access to the special offers but you will not risk getting out of control with your spending if you do not actually use them.

Another option is to use the card and then pay off what you have spent right away. You might want to use the card because there is a special offer if you use your card. Often stores will give new card holders a certain percentage discount, for example and if you are making an expensive purchase it can be worth taking advantage of this. However, if you are concerned about making sure there is enough money to pay it, you can just pay it straight off and then you will know that it is done.

Therefore getting lots of store cards can be risky but it can be worth doing if you are going to get special offers as a result of having it. You do need to be careful though and make sure that you manage your money carefully and therefore find ways to make sure that you will not be in a situation where you cannot pay off the cards when you need to.

Investments

Is Investing in Stocks and Shares too much of a Gamble?

Many people successfully invest in stocks and shares but there are others that have lost a lot of money doing this. This is why there are so many people that feel that it is too risky and would rather not. However, there are some circumstances where you can increase your chances of doing well on the stock market.

Although there is no magic formula for choosing the right stocks and shares to invest in, there are some things that you can do to improve your chances of getting a good return on your investment. The first are general things with regards to all investments. It is important to realise that investments are very different to savings in that you are buying something with your money, in this case shares. The value of that item changes all of the time depending on demand for it and therefore there are upward and downward fluctuations in price. This means that if you sell it quickly after purchasing it, there is a chance that the value will have gone down and you could end up getting back less money that you paid in. This is why it is always advisable to invest in something for a long time period, usually at least five years, in order to protect yourself against these price fluctuations and give yourself a better chance of getting a decent return on your money. However, there is always a chance that you could lose some money; if not all of it and therefore it is wise to make sure that you only invest money that you can afford to lose.

Whether you think that stocks and shares are worth the risk will very much depend on your attitude to risk. You might have some spare money that you do not think that you will need for a while and feel that it will be better for you to invest it, rather than save it to give yourself a better chance of making a significant return from it. There are some investments which will be riskier than other. It t ends to be the case that the riskier the investment; the better the chance that you will make a bigger return from it. This means that if you do not like high risk, you could invest in a lower risk investment and still make some money back, but if you do not mind taking a risk then you could invest in something riskier and give yourself a bigger chance of making a good return. There is no guarantee of course, they may not behave as expected.

There are lots of different ways to invest in the stock market as well. You may want to just buy shares in one specific company, which is a risk as if that company value falls then you could lose money. To reduce the risk, some people would rather invest in a group of companies. This could be a particular industry sector or a spread across many sectors. This reduces the risk because if one company does badly then the others may be able to offset that reduction in value. If you are just in one industry, it does not reduce the risk so much as there could be something happen that affects the value of the whole industry.

Like everything, it is worth finding out as much as you can before you invest in the stock market. Research trends and look at how certain sectors and specific companies tend to perform over time. Talk to people who have stocks and share and ask them for tips on making money from them. There are also websites with information that you might find useful as well. If you do not have the time to do all of this research then it could be wise to talk to a financial advisor. They will be able to help you to make a decision based on the amount of risk that you want to take and explain all of your options to you. They will also have all of the necessary information at their fingertips so you can get going quickly rather than having to wait until you have done the necessary research.