Credit Cards for Bargain-Hunters—It Only Looks Like an Oxymoron

Posted by Guest Shopper on February 22, 2012

The phrases “credit cards” and “bargain hunters” typically do not belong in the same sentence except as an oxymoron or with some sort of caution—“don’t, won’t, shouldn’t, or never-ever” seem appropriate. For example, sound, sage financial advice almost always includes the caution, “Bargain hunters never-ever use credit cards,” because buying items with credit cards and then making nothing but minimum payments increases the costs of those items at least ten-fold, often far more. The Great Recession’s great message has registered loud and clear: Do not spend money you do not have, an expression which has inspired visionary families to shift their domestic economies to cash only. In that spirit, start your credit card bargain hunt by paying-off retail stores’ revolving credit balances and cutting-up those cards. No good can come from their continued use. Then, begin your quest for the admittedly contradictory “bargain credit card.”

All that sage advice about “cash only” comes with a caveat. In order to maintain an exemplary credit score, you must keep and sometimes use at least one credit card, the proof to would-be lenders that you are, in fact, creditworthy. Hence, the oxymoron. Although you must acknowledge you take a calculated risk when you inquire too often, nevertheless you should search for and secure a bargain hunter’s credit card. Note that bargains come in two classes—lower interest rates, or premium rewards.
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