Most of us aren’t born knowing how to use credit cards. Still, it’s important to learn the rules of the credit card game – preferably before you start playing.Credit cards are so much more convenient and safer than carrying cash.As the credit card industry has evolved, new products and features make using credit cards even more appealing — if you know how to play the game.
These do’s and don’ts of credit card usage encourage healthy spending habits for new and experienced credit card users alike.
Do’s
*Remember your real money is involved. You have to pay this back and it will be with interest.
*Review your monthly statements. Sometimes credit card companies make mistakes on charges.
*Make wise decisions about purchasing items you need versus those you simply want. We’ve all used the word “need” to describe something we really just wanted badly.
*Let your creditor know in advance if you won’t be able to make your monthly payment on time. The worst thing you can do is simply forgo your credit card payment, no matter the reason.
Dont’s
*Use your credit card to make everyday purchases. Items like food, clothing, and gas shouldn’t be purchased with a credit card. Using your credit card as a substitute for cash is a habit that can quickly lead to debt.
*Get into the habit of making minimum-only payments. Making only the minimum payment each month increases the amount of time it will take to pay off your debt.
Tags: Credit cards