Money Management

Itching to get your hands on a new laptop or desktop computer? Keep reading to learn the benefits of using a credit card for the purchase. [[{“value”:”

A great credit card can be an excellent financial tool. Credit cards let you build credit, earn rewards, and pay for purchases easily and securely. It’s an especially smart idea to use one to buy big-ticket items, like furniture, major appliances, and computers.

Let’s take a closer look at why you should use a credit card to buy your next desktop or laptop computer.

1. No-interest financing

A great reason to use a credit card for your computer purchase is the chance to finance your new device over time with no interest charges. This can be helpful if you need the item sooner rather than later and don’t have the cash saved up.

If you’re opening a new card to get your computer, you may be able to enjoy one of the best intro 0% APR offers, lasting from 12 months to potentially as long as 21 months, depending on the card.

This is a great deal that can save you money, especially when you consider that credit cards normally charge very high interest rates — the average rate for accounts charged interest was 22.76% in May 2024.

Just don’t trust that the minimum required payment on your monthly statement will be enough to pay off the entire purchase in the 0% APR period. Instead, do that math yourself to arrive at your actual minimum payment to get out of interest charges. If you spend $1,200 on your new computer and have 18 months of 0% APR, pay at least $67 a month to pay off the charge in time.

Some store credit card options also offer deferred interest financing on large purchases. This can also be a useful tool, but you need to pay off your entire balance within the time allotted or you’ll be charged interest on the entire purchase.

So here, too, do the math yourself to find out how much to pay. If you get six months of deferred interest financing for your $1,200 computer, that’s $200 a month you’ll need to pay.

2. A boatload of points or cash back

Consider using a credit card for purchasing a computer to take advantage of cash back, rewards points, or miles. Depending on the rewards rate on your particular credit card, that $1,200 computer could mean earning beaucoup rewards.

Let’s say you have a flat-rate cash back card that pays you 2% back on purchases. For a $1,200 purchase, you’ll earn $24 back — not bad! If you use a card that earns travel rewards points or miles, they could be worth more if you transfer them to a travel partner. It’s worth picking the right card to buy your new machine to maximize those rewards.

If you’re trying to meet the minimum spend on a new credit card to reach a sign-up bonus, your new computer can help. Say your cash back card is offering $200 cash back for spending $500 in the first three months with the card. Your new computer could easily get you to the finish line.

3. Purchase protection and an extended warranty

A computer is an expensive purchase — you could be spending hundreds or thousands of dollars for one. As such, it’s worth using a credit card to buy a computer because of the included purchase protections and extensions to manufacturer warranties.

You could breathe a little easier knowing your new computer is protected against damage or theft for 90 or 120 days after purchase. Depending on how much the computer cost, however, you might be out of luck — some purchase protection caps out at a claim limit of $500 or $1,000. If you have a card with a high annual fee, you might get a higher limit, so choose accordingly depending on how much you intend to spend.

Some card issuers offer an additional extended warranty on top of the manufacturer’s warranty — say, for a year. So if your new computer dies on you right after the manufacturer’s warranty expires, you could still be covered. You can turn to your credit card issuer and file a claim (including information like the purchase receipt, manufacturer’s warranty, and a description of the computer), and your computer will either be repaired or replaced.

A caveat

Using a credit card to purchase your new computer can be a slam dunk — if you can afford to pay off the balance immediately or you’re using 0% APR or deferred interest financing. Otherwise, you’ll find yourself facing frighteningly high interest charges (remember that 22.76% figure we discussed above?).

In this case, it’s worth either waiting to save up for the purchase or considering another way to finance it, such as a personal loan, if you need a new computer sooner rather than later (say, for work or school). Make the choice that works best for you and your finances.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

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Refinancing doesn’t always make sense given the rates available. Read on to learn more about times when refinance your mortgage isn’t a good option. [[{“value”:”

There’s a phrase that has the ability to make almost any finance expert cringe, even as it brings a sense of comfort to those who are just about to buy a home: “I can always refinance.” And while it’s true that many homeowners can benefit from refinancing their mortgage, it isn’t necessarily always an option if you want to save money.

Here are three times when refinancing might not be right for you.

1. Current rates aren’t significantly lower than your current rate

As of writing, starting refinancing mortgage rates on 30-year loans for those with good credit range from 5.742% APR to 7.318% APR.

As a general rule, if the rates available to you aren’t at least 1% lower than your current rate, refinancing might not be worth it. Applying for a refinance means an inquiry to your credit history, which can lower your score. It also might not deliver on the savings you’re looking for given the costs associated with refinancing, such as origination and home appraisal fees.

If your current mortgage rate is at least 8.318%, refinancing might be a good idea. In that case, explore your options by checking out our list of top refinancing mortgage lenders.

2. It’s too soon to refinance

Depending on the type of mortgage you have, there may be time-based requirements that dictate when you’re eligible to refinance.

For example, conventional mortgages from Fannie Mae typically require you to own the title to your home for at least six months before you can use a cash-out refinance loan. And FHA loans bump that requirement up to a full year, plus you have to have 12 months of on-time payments to be eligible for a 95% cash-out refinance loan. So it pays to read the fine print here.

If you’re interested in refinancing but you bought your home within the last year, be sure to double-check the terms of your mortgage to make sure you’re eligible. If not, it’s a good time to focus on boosting your credit so you can qualify for the best rates once you can refinance.

3. Your credit doesn’t yet meet refinancing requirements

Refinancing is all about the timing — and that means your credit has to be in good shape when the rates make sense for you to refinance. For conventional loans, you’ll want a score of at least 620 to qualify. Credit score requirements vary by lender; while some lenders will accept scores as low as 580, others will have higher score requirements.

Regardless, the higher your score, the better your chances of securing a lower rate. So working to increase it is in your best interest. A few ways to do this include:

Paying down your revolving debt, such as that from credit cards.Signing up for auto-pay on bills to prevent late payments.Avoiding taking out new forms of credit, like loans, unless you really need them.Getting copies of your credit reports and ensuring they don’t have errors that could be dragging down your credit score.

Increasing your score can take time, so patience is key here.

Refinancing can make sense for many homeowners who are looking for ways to save money on their home purchase. But it isn’t right for everyone, nor is it an option for everyone.

By understanding these situations, you’ll be able to recognize when the timing is right. That way, you can take advantage of the benefits of refinancing.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

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Looking for a reason to renew your Costco membership this year? I’ve got 10 of them just for you. Read on to find out more. [[{“value”:”

Well, it’s that time of year again, time for me to renew my Costco membership. I’ve been a Gold Star member of Costco for years, and although the warehouse wonder has increased its annual membership fee to $65 this year, it’s still an easy decision to renew it once again.

Here are 10 reasons why.

1. Pharmacy discounts

I save hundreds of dollars every year using the Costco pharmacy for my over-the-counter meds. It’s stuff I always need, so buying in bulk is just making my life easier. My dogs’ medicines are also sometimes much cheaper at Costco.

2. Discounts on gift cards

Costco has some killer discounts on gift cards, if you’ve not heard. They can really help stretch your budget, especially when Costco is offering $100 Instacart gift cards for just $80. Check it out for this year’s Christmas list, or just to take advantage of a deal on your own grocery shopping.

3. Local grocery delivery

Speaking of Instacart, my Costco offers local grocery delivery through Instacart, saving me time and money. Sure, it’s a little cheaper to go into the warehouse, but the Instacart partnership is handy in a pinch.

4. Rental car discounts

I have great travel plans in my near future, and renting a car for a long trip makes a bit more sense than hoping AAA has my back in Nowheresville. Costco has all kinds of rental car deals for any kind of car you might want for a road trip.

5. Monthly Costco bargains

Not going to lie, I look forward to the flier that comes every month to announce the latest and greatest Costco bargains. You can find them on the website, too, but that little flier gives me something to mull over during my lunch break and serves to inspire my shopping lists.

6. Gift baskets

I have been known to send out gift baskets to businesses and people who have taken care of me in tough times. Costco has so many different gift baskets that it’s a nice option to have when I’m looking for that perfect thank you for my veterinarian or hard-to-buy-for friend. And better yet, shipping and handling are included in the price when purchasing online.

7. The bakery

I would be remiss if I didn’t mention the Costco bakery in this list of reasons to renew. From pumpkin pies the size of actual blackholes to the million muffin army, Costco bakery has saved my bacon for so many holiday seasons, I’m a little ashamed of myself.

8. Sports supplements

I may not be the endurance runner I once was, but I still rampage in the garden and go on long hikes with my dogs, so I still need to fuel my body. Costco has great prices on things like vegan protein powder and Liquid I.V. in giant packages.

As one example, you can currently buy a 30-pack of Liquid I.V. stick packs at Costco for $21.99. If you buy these directly from Liquid I.V., you’ll pay $24.99 (plus shipping!) for a pack of 16, while Target sells a 10-pack for $14.99.

9. Black Friday deals

Costco, like every other retailer on the planet, offers some killer Black Friday deals every year in November. Often, these are big-ticket items discounted beyond their already awesome Costco prices, to a point where I’m sorely tempted to buy items like small appliances, cookware, or electronics.

10. The adventure

I may sound like a complete nerd admitting this, but I don’t really care. Costco is a shopping adventure. If I want to go somewhere that the inventory is static, I will go to a retailer like Walmart or Target, but when I want to go into a store just to see what’s new (because there’s always something new being rotated in), I go to Costco. It’s kind of like window shopping in a warehouse.

I’m renewing my Costco membership again this year

Hey, price increase or not, I definitely get more than $65 worth of discounts, joy, convenience, and excitement from Costco, so why wouldn’t I renew? It might seem like just another warehouse store on the surface, but Costco goes out of its way to partner with companies that help its members find the services they need, and to provide products that they really, really want.

Next year, I plan to buy a new couch. Guess where I’ll be shopping first?

Top credit card to use at Costco (and everywhere else!)

We love versatile credit cards that offer huge rewards everywhere, including Costco! This card is a standout among America’s favorite credit cards because it offers perhaps the easiest $200 cash bonus you could ever earn and an unlimited 2% cash rewards on purchases, even when you shop at Costco.

Add on the competitive 0% interest period and it’s no wonder we awarded this card Best No Annual Fee Credit Card.

Click here to read our full review for free and apply before the $200 welcome bonus offer ends!

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Kristi Waterworth has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale, Target, and Walmart. The Motley Fool has a disclosure policy.

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