Credit Card Tips

If you know a certain amount about credit cards and how they can relate to your finances, you might just be looking to further expand your knowledge. You picked the right article, because this information has some useful tips that can help make credit cards work for you.

Don’t be afraid to contact your creditor. You should contact your creditor, if you know that you will not be able to pay your monthly bill on time. Many people do not let their credit card company know and end up paying very large fees. Some creditors will work with you, if you let them know the situation ahead of time and they may even end up waiving any late fees.

Consider applying for a secured card. If your credit history is bad, or you have no credit history, consider applying for a secured credit card account. These accounts have limits, and are often linked to the person’s bank account to guarantee card payments. Prompt payments on your balance look excellent on your credit record and will improve or establish credit.

Keep a close eye on your credit cards. Always make sure to keep tabs on your credit cards. Know exactly where they are, how much your owe on them, when your payments are due, and exactly how to find them if you need them. Credit cards are as valuable as money and if you don’t keep a close eye on yours, you could be putting yourself at risk for falling victim to financial problems.

Check your receipts. When you are making a purchase with your credit card you, make sure that you check the receipt amount. Refuse to sign it if it is incorrect. Many people sign things too quickly, and then they realize that the charges are incorrect. It causes a lot of hassle.

Know your limit. When it comes to using a credit card, be sure that you keep an eye on your balance, so that you do not exceed your limit. This is important because not only may you be charged a fee, but the company might also increase your APR. Your peak balance will also show on your credit report, and having a balance higher than your limit does not reflect well upon your report.

Dodge the annual fee. Always try to find a credit card that does not charge an annual fee. Some credit cards that charge annual fees try to entice users with bonus offers or cash back incentives. While these types of rewards might be tempting, really think about whether or not they are worth the annual fee you will be forced to pay. In many cases, they are not.

Don’t go wild applying for credit cards. Be sure that you only apply for credit cards that you know that you will need now, as well as, in the future. This is important because having too many credit cards may lead to irresponsible spending and living outside your means. Doing so may very well cause you to become buried in debt and have a hard time paying it off.

Sometimes less is more. Limit the number of active credit cards you have, in order to avoid getting into debt. It’s much easier to manage your finances with fewer cards and to limit excessive spending. Ignore all the offers you might be receiving, tempting you into getting more cards and letting your spending get far out of control.

Now that you’ve read the above article, you should have a better understanding of how to use credit cards wisely. So you need not continue to avoid applying for or using credit cards, especially when they can really come in handy at times. By embracing and utilizing these tips, responsible credit use and the benefits that come along with it can be easily achieved.

43 Replies to “Credit Card Tips”

  1. Many people treat credit card as free money. This is definitely not true and I want to thank you for writing this article. This will help credit card owners (specially beginners) to understand how the credit card really works and ways on how to use their credit card wisely.

  2. You have to be very careful with a credit card. Beacause, if you use the card to complete you money, it’s very bad. Everyone knows, that ypu have to spend less than you receive. I try to use mine just for travels o special situations.

  3. Having a credit card is very convenient, however, it comes with pros and cons. I guess we can’t emphasize enough that once you have one, you have to exercise a lot of discipline, control, and to be responsible enough to pay when the bill comes. I used to overspend and now I always have to remind myself of the first word, CREDIT. I have always been afraid to contact my creditor but after reading this article, I think I will do so the next time I’m short on cash. Also, thank you for mentioning the annual fee. I’ve always thought that it’s okay to be charged because I’m offered a lot of perks. I’ll check if they’re worth the fees this time.

  4. There are still a lot of people that treats credit cards as free money. That is definitely not true. Thank you for making these tips, as it will help a lot of credit card owners (specially first timers) to be aware how the credit card works and what to do in order for it to be used wisely, saving up money by dodging the annual fee and not ending up with debts on other factors.

  5. I definitely learned some valuable tips here. I had no idea talking to your creditor about missing a payment was a possibility. It’s good to know there is an option available when a payment is in jeopardy.

  6. It helps a lot. Sometimes if we are too busy we don’t notice that there are charges that we don’t know, we end up just paying it over and over again. I love the part that we need to secure our account to avoid fraud and we need to read our statement thoroughly, well then in fact, we are the one who’s responsible for our bill each and every month. It’s a big help and I will tell my friends and recommend these tips

  7. It helps a lot. Sometimes if we are too busy we don’t notice that there are charges that we don’t know, we end up just paying it over and over again. I love the part that we need to secure our account to avoid fraud and we need to read our statement thoroughly, well then in fact, we are the one who’s responsible for our bill each and every month. It’s a big help and I will tell my friends and recommend these tips.

  8. I thought that all credit cards charged an annual fee. I´ve had a credit card for over three years and I´ve been paying an annual fee for it. Reading this article has made me consider about getting a credit card that does not charge this fee.

    1. Definitely contact them about ditching the annual fee. Especially assuming that you have been a good paying card user for three years, they will not want to lose you.

  9. On a second thought, I think having a credit card is really a big deal to everyone nowadays. It seems that if you acquire one, it causes a big fuss. But as for me, I’d rather not to have one since I am not stable with my job these days.

  10. Thank you so much for this. I didn’t know before reading this that I can talk to my creditor when I wouldn’t be able to pay on time. I thought dodging the creditor is the best way. Also, I’m always a victim of the annual fees! It’s really good to know that I have to evaluate the annual fees before jumping into promos.

  11. Being on the “younger” side of adulthood, stores and banks always try to get me to open up credit cards just cause there’s a high chance that I’ll be approved. It’s true what you point out – they try to hide their high interests by highlighting the discounts and rewards you can get with the card. I’m happy with the amount of credit cards I have though cause there’s less stress on what I needs to pay. Less cards, less stress.

    1. You’re a smart young lady Emily:) Don’t let them fool you with the shiny promotions upfront. Get in a habit of reading the small print and asking a lot of questions. And always make sure any terms that you agree on is in writing. Screw verbal promises!

  12. Indeed, credit cards are as valuable as money. This article is just perfect and very informative. This reminds me to weigh the importance of the things we buy using our credit card.

  13. Using credit card is very convenient nowadays but I am always hesitating when applying for it because of the (large) interest it charges if I overspend or not pay my bills on time. Also, some creditors may have keep hidden charges. Reading these tips gave me better understanding and guidelines if I am to use credit card . This article is well-informing. Thank you!

  14. A very informative Article. I am always having second thoughts about applying for credit cards because I am afraid to lose control of my finances. This article actually drives home the point on when to have and, what to have, and how to have credit cards. Thumbs up!

  15. Credit Cards can be a risk if you are not very responsible with your money. However, if you follow these tips, it can be a fantastic way to build good credit. It is imperative keep track of how much you can spend at a time and stick to that. If you can do that, having a credit card can be just as safe as having a bank card, but you build good credit while using it.

  16. I’m a fresh graduate and I haven’t tried using or having a credit card yet. I find this article to be helpful to first timers like me in order to have some knowledge on how to use your credit card wisely. I might avail one in the future so thank you for this useful tips, I really appreciate it.

  17. To avoid large credit card fees always know your credit limit and your account due date.Also always weigh your purchases if it is really something that you need,that way you can easily manage your credit card usage as well as your expenses.

  18. Im a full time college student with a good paying full time job but never had a credit card and I am looking forward to get one strictly for building my credit and I found this article very usefull.

  19. Definitely study the annual fees, if the cash back and bonuses aren’t worth more than the fee then stay away. I can see someone with a business that uses the card more getting something out of it. And some people don’t realize applying for too many cards can give a lot of hits on your credit score. Best advice is keep it minimal for emergencies.

  20. Very useful information indeed. I have been using credit card for several years now and i might say planning my monthly spending is much more easy. People should learn more about it and don’t simply say credit card will only add burden to their financial plan when they being ignorant on how to use it wisely.

  21. Using credit card is the easiest way to get all the things that we need. Because of that we have to use it respectfully, and keep it controlled. We have to know what is the right limit of credit card, compare it with your monthly salary, i suggest to take limits below your salary. It will help you at least not getting so much debt in the future.

  22. Owning a credit card has it’s advantages and disadvantages. Knowing the disadvantages doesn’t mean you should not consider having a credit card because it has a lot of good things with it as well. The only thing you need to keep in mind is just don’t spend too much and always pay on time. With that you’ll be able to avoid hassle and problems that others have encountered.

  23. Owning a credit card has it’s advantages and disadvantages. Knowing the disadvantages doesn’t mean you should not consider having a credit card because it has a lot of good things with it as well. The only thing you need to keep in mind is just don’t spend too much and always pay on time. With that you’ll be able to avoid hassle and problems that others have encountered.

    1. Definitely right Sherwin. Can’t stress enough to ALWAYS PAY ON TIME! Late payments hold the biggest impact on lowering one’s credit score.

  24. It is surprising to see the amount of people these days owing huge amounts to creditors. While it is good to have a credit card as an emergency back-up, many use it to splurge on things beyond their means. It would be wise to avoid using credit cards for non-essentials and luxuries. That would be another way to put a stop to overspending with a credit card.

  25. Yeah, I’ve always avoided credit cards, I’m almost 30 yrs old and today I wonder I if I should get one. I guess it’s a necessary thing nowadays, but personally I prefer to SAVE my money instead of getting debt. Plus, I don’t spend that much money.

    1. Hi Alan, as you get older you might find that you’ll need credit when trying to make big purchases like buying a house or other. Creditors and lenders view a person with no credit worse than a person with bad credit. You’re right, credit is a necessary thing nowadays (no becoming, it is), so it’s best to have some credit history established before you actually get to a point where you really need it – because credit just can’t be built overnight. It takes time, so the earlier you start the more credit history you’ll have. It’s not too late.

      P.S. Also, credit cards are not the only way to establish credit (although probably the most powerful). Perhaps you have some loan history or other established on your credit.

  26. To avoid credit card debts, it would be better to first assess if you really need one, and can afford to pay the bills once it comes. Discipline is very important when it comes to owning a credit card. If you can’t control yourself from buying within your limits, then, you might want to reconsider.

  27. A credit card should be used carefully. … Use the credit card as a temporary loan to yourself, and then pay back the amount as soon you can to avoid interest charges. Never skip a payment. Pay your bill every month, even if the minimum payment is all you can afford.
    Having a credit card is a responsibility, use the credit card for needs not wants. If your spending gets out of control your monthly payments can become a serious problem.

  28. Having too many credit cards is not a good idea. One will do just fine. It will stop you from spending too much. If you have too many, you might not be able to keep track of all the purchases you made with each card. This could cause problems such as forgetting to pay the bill for one of your cards.

    1. One is fine, but it won’t build up your credit much. It’s best to have two or a few credit lines reporting consistent positive payment on your credit report if you really want to build up your credit.

  29. Control and responsibility are two things you need in maintaining credit cards and a high credit rating. Creditors are sensitive to limits and quick to sanction lapses thus you need to control spending to avoid a bad credit rating, along with that you need to be responsible in checking disputes, suspicious activity and most of all, be sure to pay on time to safeguard the security of your account and your relationship with the bank.

  30. Preparing a budget allows you to plan to pay cash for the things you need. Using credit cards while you are trying to pay off your debts will delay your efforts of being free from credit card debt.

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