Why I don’t have an automatic debit on my credit card
Hello, tell me I’m wrong … Is it really true that the financial magician whose column I have been reading for years has not set up an automatic debit for his credit cards? Surely not.
You are right. It is not uncommon for credit card statements to contain errors and unwarranted charges, therefore, I check my statement in detail before paying it.
Also, as one of my main reasons for using a credit card is to earn frequent flyer points, the monthly statement will contain both business and private expenses, which need to be allocated and paid from. separate bank accounts.
But there is more. Years ago I had a credit card with a major bank and had a direct debit facility, whereby the bank paid the amount every month on the due date from my designated account. .
One fateful day, due to an internal error, they tripled the amount owed – and took two weeks to pay me back.
I never authorized a direct debit from my credit card again.
I am almost 70 years old and I live alone without help. I am considering purchasing a two bedroom unit to move into while I prepare a three bedroom unit that I live in for sale. My concern is with Centrelink. I would like to know where I am with regard to my decision. I don’t want to lose my old age pension. I am tested on the strengths.
I’m assuming you’re using money in the bank to buy the new property, in which case you just change a taxable asset, the money in the bank, to another taxable asset, a rental property. Therefore, since you are subject to an asset test, there should be no change in your pension.
With your continued support and guidance over the years, I have encouraged my son (now 29) to sacrifice his salary in order to build up his retirement pension. His balance is currently at $ 230,506. He is single and may not be able to keep making sacrifices once he finds the right partner and starts a family. Plus, he saved more than the 20% deposit required to buy his first home. Its savings are in a similar position. I have always encouraged him to invest his super in the “aggressive” mix (because of his age) and I wonder if I am giving the right advice. Should he keep this option or adopt a more âbalancedâ investment approach?