• catloaf@lemm.ee
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    1 day ago

    Credit cards also don’t charge interest if you pay off the balance every month.

    • JuxtaposedJaguar@lemmy.ml
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      22 hours ago

      There’s also something called a “line of credit” which is basically a credit card with lower interest and no cash advance fee, but no rewards.

      Obviously you don’t want to keep a balance on that either, but if you can’t fully pay off your credit card, you can at least save money by transferring the debt there.

      • n3m37h@sh.itjust.works
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        20 hours ago

        The way credit should be. All rewards do is take money from others on the end by having higher intrest to pay for all those rewards.

    • brucethemoose@lemmy.world
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      24 hours ago

      My thinking is that it’s a way to avoid adding to existing credit card debt, and accumulate more net “interest free debt” so to speak, as it’s a separate pool from a credit card.

      Yes, I know. But if one is going to have the debt one way or the other, I kinda see the logic.