‘Fresh Graduate Employees’ Also Need to Have a Credit Card, Why?

After graduating from college and getting a job right away, you are referred to as a ‘ fresh graduate employee’. When you start working and get a salary, a sense of excitement is sure to come because you don’t need to stand by your parents.

After receiving a salary, that means it’s time you are able to become a financially independent person. You must be able to manage your own finances. Because managing your own finances is a must.

To start learning to manage finances, it doesn’t hurt if you use a credit card. You can use a credit card because it will easily control your finances, even with a credit card, expenses will be recorded clearly and well.

Easier to Monitor and Manage Expenditures

Easier to Monitor and Manage Expenditures

Understandably, when it comes to managing financial matters, it is still an awkward thing for a fresh graduate employee, because it is not a normal activity.

Generally, these fresh graduate employees are still more focused on a lifestyle that is quite wasteful when moving to the workforce. Always want to treat friends or just hang out in a cafe.

But financial independence is a must when you already have your own income. Now, with a credit card, actually, you can monitor expenses that sometimes become out of control because the spending history just goes away.

With a credit card, every transaction that has been done will be recorded or printed on the billing statement every month. So if there is excessive use, it will definitely be discovered. This is what will make you think twice about acting the same as the previous month at a later date. Because you will easily make expenditure items in the future.

Easily Set aside Money to Add Savings

Easily Set aside Money to Add Savings

This credit card transaction is non-cash (cashless). Because credit cards are only used for a certain number of transactions without additional costs. Of course, if you pay the full amount of the alias does not pay the minimum and there are no arrears, so you are not charged transaction fees and fines.

Thus, monthly needs transactions can use the credit card and you can add savings. Because with a credit card, you will usually find a cashback promo (cashback), and you can collect it to become a personal saving. Favorable, right?

Many Enjoy Promotions Including Getting Cheap Prices

It’s no stranger to many credit card issuers offering various promos through collaboration with merchants. Not a few, products and services offered at prices that are much cheaper than purchases without a credit card alias cash only.

So do not be surprised if the credit card is actually a place to get attractive promos. Unmitigated, promos that are often offered from transactions using credit cards are almost there throughout the month and every month, even.

Promos offered from transactions using credit cards vary, ranging from discounts or discounts to tens of percent, as well as cashback promos for certain transactions.

Simplify and Save Traveling Costs

bank

The fresh graduates of the millennial era certainly can not be separated from the habit whose name is to adventure somewhere. Traveling as if it can not be separated from the mandatory agenda carried out, whether it’s once a month or once a few months.

Unmitigated, the tour carried out was not only limited to domestic but also abroad. Well, if you already have a credit card, then you can get a lot of conveniences.

The convenience offered from credit cards for hobbies traveling starts from buying plane tickets online, booking hotels at the destination, and conducting financial transactions in the destination country. If credit card promos are often quite interesting, so they can save on travel costs.

Mortgage loan: which loan to choose?

With the large number of financial institutions and the different types of loans available, you may not know which mortgage to choose. Above all, the ideal is to know your needs. This is given that there are loans that are not suitable for you, whether on terms and benefits. To help you, here are the four main mortgage loans.

 

Home savings

home loan

It is the first choice of most investors because it has given them an opportunity to build savings for years. Thus, it is more precisely a savings account with a relatively low interest. Depending on the underwriting in the placement, the rate may be even lower. Also called PEL or home savings loan, it represents a group apart compared to the establishments which grant credit.

 

Fixed rate credits

credit loans

This is the offer that most attracts French people. The strengths of a fixed rate loan is that it is simple, the different parameters of the credit are fixed in advance. So whatever happens in the financial or real estate market, the rate, the repayment period and the amount will not be changed. On the other hand, transparency is guaranteed: the applicant knows very well where he is setting foot. For comparison, interest is higher than that of the variable rate for a mortgage.

Suppose you decide to buy a house and get a mortgage. To call a mortgage broker recommended by your broker, a family member or a friend. Perhaps this is a reputable mortgage bank that you have done business with in the past. You fill out a loan application and receive a letter from preapproval.

 

Variable rate loans

Variable rate loans

As the name suggests, it is a credit where the rate can go up or down at any time. The variation is a function of several trends: financial market, the euro zone, supply and demand on the market, etc.

The amortization policy applies to this category of loan. With monthly repayments, the monthly payment is fixed at the same time as you have the possibility of creating capital. The monthly repayment is reduced as the years go on. At the end, the saver will have settled all his loan. Loans in fine are more suitable for those interested in investing in rental property.

Credit: it’s time to borrow cheaper than inflation

For borrowers, all indicators have rarely been so positive: prices per square meter are low and stable, and inflation is low. A situation that might not last: it’s time to invest!

 

Take advantage of low rates

credit loans

At the start of 2016, prices per square meter of real estate remained stable and low with a national average of $ 1,460 per m 2. In parallel, the rates posted by banking organizations, or specialized, are at the lowest for months, at 2.15 % in February 2016. So many parameters that should encourage you to get started in real estate investment, that be it your main residence or for the creation of a heritage.

The advantage of these lowest rates, even if the criteria of the banks change little, is that it is even more interesting to buy with a minimum contribution. So much so that the cost of borrowing has become almost negligible. For example, a loan of $ 150,000 over 15 years in 2001, at the rate of 5.62%, cost you over its term $ 72,336 in interest, or a monthly repayment of $ 1,235.20. Today over the same period, this loan will cost you only $ 25,618 for a monthly payment of $ 975.66, while inflation over the same period was almost 23%!

 

Playing with inflation

credit loan

For the second consecutive year, inflation was almost zero in France in 2015. But if it were to restart, your money not invested (or that you could have borrowed) would lose its value. The risk is very real, because all the parameters of a restart are met:

  • Oil is at its lowest, it can only go up.
  • The dollar is at its highest, it can only fall.
  • Energy prices always rise with a delayed effect in times of conflict.
  • Increasing spending on armaments because of wars that are getting bogged down.
  • Low unemployment in the United States is expected to drive up wages.

By borrowing now at a fixed rate, you are likely to soon find yourself in a situation where inflation will exceed your rate. You just have to find the property of your choice!