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Personal Finances / Credit Cards and Consumer Debt


Subject:  mile Date:  6/15/1997  12:01 PM
Author:  returnonequity Number:  41 of 312293

Don't change your rent on the card thinking that you will accumulate miles to fly. It's not the way to go. Unless you plan to pay off your card every month, you will likely pay the minimum amount and next thing you know, your balance will come back and bite you. It's easier said than done when someone says he or she will pay the balance off every month.
If you charge your card just to get the "free trip", you'll be better off buying the lowest price ticket. I am a flight attendant for Delta and have seen so many people spend thousands of dollars and they showed me their "free" tickets! They are not free, do you have any idea how much money you have to spend to get a free trip? A lowest price ticket may cost you only $300 - $400. But if you charge $20,000 (or more!) to get that free ticket, you will likely be paying thousands in interest. Someone will tell you that if you "have to" spend that amount anyway, why not get a free ticket out of it. I say that nobody has to "spend" any kind of money at all. Don't charge your rent on the cards and hope to get a free ticket, just save $300 and pay for the lowest price ticket to go to see your folks. For those who will tell you to charge your card, are they going to be there helping you pay for it?

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