I’ve previously written about creating a real emergency fund with real cash before you use your credit card for emergencies. It so happens that I’ve had to plan for a personal trip towards the end of the year and which will require me to use my credit card (for accommodation, air tickets, etc.). The earlier strategy can be reused — create a real trip fund with real cash before using my credit card during the trip.

I think this strategy can be generalized for any credit card usage.

Create a real “purpose” fund with real cash before using the credit card for that “purpose.”

Peace of mind guaranteed. That’s what is missing in today’s world right? What do you think?