2024-08-02 16:57:46
Nearly $6 out of every $10 spent on credit cards went to supermarkets, restaurants, health, vehicles and spare parts, education, and public services. These six spending destinations totaled $3,758.54 million during the first five months of 2024. More than 64% of public service payments with credit cards are deferred; as are more than 51% of payments on vehicles and spare parts.
According to data from the Superintendency of Bankss, Ecuadorians spent $6,479.74 million through their Credit cards between January and May 2024.
Almost $6 of $10 of that total spending went to supermarkets, restaurants, health, vehicles and spare parts, education and public services. In total, $3,758.54 million was spent in these six destinations. Almost 30% of this spending, or around $1,050 million, was deferred by Ecuadorian consumers.
1.- $1,502.73 million in supermarkets (More than 22% was paid deferred)
2.- $529.83 million in restaurants (Less than 1% was paid deferred)
3.- $689.24 million in Health and related (Around 25% was made with deferred payments)
4.- $350.87 in vehicles and spare parts (More than 51% was paid deferred)
5.- $345.77 in education (More than 42% was made with deferred payments)
6.- $340.1 in public services (More than 64% was made with deferred payments)
A credit card can be a useful financial tool for making large purchases, but it should not be overused for ongoing expenses such as groceries or utilities.
Other destinations for credit card spending
7.- $317.10 million in hardware stores and tools
8.- $271.28 million in clothing and footwear
9.- $247.70 million in professional services
10.- $224.44 million in gas stations
11.- $211.18 million in air transport
12.- $175.58 million in communications
13.- $163.9 million in technology and computing
14.- $118.75 million in household appliances
15.- $116.91 million furniture, fixtures and related items
16.- $110.79 million in hospitality and lodging
17.- $110.64 in fun
18.- $89.23 million in sporting goods and accessories
19.- $64.54 million in cosmetics and jewelry
20.- $64.28 million in bookstores, stationery stores and office supplies
21.- $61.1 million in tourism
22.- $44.37 million land transportation service
23.- $33.33 million in liquor stores
24.- $24.42 million in hair salons
25.- $20.34 million in toy stores.
How to properly manage your credit card?
1. Check your account statement frequently: Always check all the Account statements your credit card monthly, be aware of the cut-off dates to avoid late payments. Review all your transactions, because if you don’t, you could be an attractive profile for identity theft, so be careful.
2. Stay up to date with your statement payments: Always try to pay a higher amount than what is listed as “minimum payment”, this will prevent several outstanding payments from accumulating. debts and the interest grows. If possible, pay the balance in full every month.
The most common credit cards do not require full payment each month, but rather a minimum payment monthly, this value can change depending on each person’s solvency, the limit of the quota and the variable of their current total balance. If you always make your payments on time, you can build a good credit history.
3. Cultivate your purchasing limits: Your credit card limit is a limit, not a goal to reach. Always stay below this value.
Organize and plan how you make your purchases. It is important to take advantage of the different financing plan options (deferred without interest, months of grace) that the establishments offer you, this will allow you to make better monthly payments.
Always have a calculator handy, this is included in any electronic device and calculates the spending limit yourself, dividing the total balances by the limit of the card. If it exceeds 30%, it is a sign that you are using your credit limit too much.
4. Avoid extra charges or additional fees: All credit card issuers charge interest, don’t let them do the same with additional fees.
Some have annual fees, cash advance fees, foreign transaction fees and late payment charges.
All of these issues can be avoided if we make sure to review the terms of the agreement before opening a new card and choose the one that best suits our needs.
5. Take the initiative and periodically call your card issuer: Your goal should be to be permanently informed of the advantages offered by credit card services.
«People have to become familiar with the financial entities who they trust, knowing their contact numbers and information channels, this will allow them to stay up to date with any type of benefit or change,” Correa said.
6. Don’t become dependent on your credit card: Learn to live with the cash capacity you have each month and set aside money for timely payment of your cards or various needs. It is important that you always consider a savings budget. Use credit cards to cover your bills. usual needs can be risky.
7. Don’t use the card for daily purchases: If you don’t have much cash for daily expenses, it’s best to analyze alternatives to have some extra income, don’t spend more than you earn and try to avoid unnecessary purchases. (JS)
By: LA HORA Newspaper