Written by 
- The Savvy Promise
At Savvy, our mission is to empower you to make informed financial choices. While we maintain stringent editorial standards, this article may include mentions of products offered by our partners. Here’s how we generate income.
The start of the school year can be a stressful period as you equip your children with the right tools for the children. With the use of technology on the increase in the class rooms parents could expect to fork out an average of $269. Finding the right credit card to foot the bill can make your back to school shopping easier. Here are four ways a credit card can help you with the school bill.
Choose a card that gives back
According to a study released by the Commonwealth Bank, Aussie parents could expect to pay a total of $1.7 billion on top of school fees when it comes to back to school expenses. That will be the average $829 that will be added to Australian household. If you invest in a credit card that offers a great sign up bonus and travel rewards scheme, the expense can do you a huge favour in paying off a much-needed holiday.
Let your interest free period pay it forward
When shopping for a credit card the best thing that you can do is to compare it to other offers out there to see if you are getting the best deal. The features are also something you would want to analyse to see if it matches your lifestyle and spending habits.
Offers of an interest rate free period can help immensely in footing the bill as it will help you pay off your credit card at an affordable rate. However, be aware of the expiry date of the interest-free period. If the card shows that the interest rate will rise considerably after the period is over and you won’t be able to pay off the increased rate, then it’s best to steer clear.
Create a budget
If you want to tackle back to school expense properly you will need a budget. The study by Commonwealth Bank showed that 49% of parents did not have a budget or a plan in place. Using a credit card as a magic wand without having a plan can prove disastrous. Having a plan or a budget will guide where you spend your money. Work your credit card into your budget by taking into consideration of how you can gain rewards. Always keep the terms and conditions of the rewards in mind so that you don’t end up spending money on products that won’t give you rewards in return.
Don’t use the school bill as an excuse
A credit card can be convenient if used right, but if you are using your children’s school bill as an excuse to add to your collection of credit cards you will have to rethink your decision. You will have to consider whether you really need a credit card, or you could do with some healthy cutting down of your budget. If you conclude that you could be frugal with your budget you can save money by making your children’s lunch. You can reduce the cost in uniform by buying a set of two and stick to washing it. You can search the market for used books that will help save you a buck or two
Did you find this page helpful?
This guide provides general information and does not consider your individual needs, finances or objectives. We do not make any recommendation or suggestion about which product is best for you based on your specific situation and we do not compare all companies in the market, or all products offered by all companies. It’s always important to consider whether professional financial, legal or taxation advice is appropriate for you before choosing or purchasing a financial product.
The content on our website is produced by experts in the field of finance and reviewed as part of our editorial guidelines. We endeavour to keep all information across our site updated with accurate information.
