You might not be saving shopping online with credit card and here’s why

You might not be saving as much as you think shopping online with a credit card.

According to a post by Donna Reynolds on the Alabama Cooperative Extension System, www.aces.edu/, it is easy to overspend when making those Christmas purchases.

The report says shoppers should do the math about a credit card purchase. You probably lose savings you think you are getting when you pay a higher interest charge. For instance, the item you want is is discounted 10 percent on the internet. If your credit card charges 29 percent interest you automatically lose 19 percent of the value of the item. If you have to pay shipping or sales tax for the purchase, it will add another cost that will reduce your savings.

According to Reynolds, the only way you save on an internet purchase is if you use your debit card and get free shipping. There are some sites like Walmart and Home Depot that ship to a local store for free.

A tip given is that the closer Christmas is, the lower the prices will be.

Reynold suggest sticking to a budget to make sure you do not overspend.

This story was originally published November 30, 2017 at 12:49 PM with the headline "You might not be saving shopping online with credit card and here’s why."