Does Inflation Affect Credit Cards? | Guiding You Forward
The effects of inflation can be felt every time we pay at the pump, get in the checkout line or submit our online cart purchases. There’s no escaping it! In response, many consumers have turned to their credit cards to extend their buying power.
We sat down in the podcast lounge with our resident credit card guru—Jade Beckman, vice president of consumer loans for Mountain America Credit Union—to get more insight into inflation and how it affects credit card debt.
Watch the video and learn:
How raising interest rates affects inflation.
If using a credit card wisely can lessen the burden of inflation on your budget.
Why the interest rate on your credit card may now be different than when you signed up.
We’ve all heard about the Federal Reserve raising interest rates to help with inflation. But do you know exactly how that works—and why it works? Jade explains the reasoning behind this strategy.
Can using a credit card actually slow the effects of inflation? If you’re looking to make your dollars go further, just using a credit card isn’t going to do it. However, paying more attention to using good credit card habits can definitely keep more of your money in your pocket. Watch this podcast episode to get specific tips from Jade.
Did you know your credit card interest rate is variable? That means that it goes up and down based on the prime rate. This may be a big surprise to many consumers who assumed that the interest rate they got when they were approved would be the same interest rate for the life of the card. Learn more about what prime rate is and how it affects your credit card interest rate.
Watch the full podcast video above for more credit card tips.
