Guide on Credit Card Tips & Tricks for Holders Most Especially Beginners
CREDIT CARD TIPS – Here are some tips and tricks for creditcard holders to get away from the grave of debts this 2024.
More and more people like to acquire a credit card. Some individuals even already have at least one (1) credit card from a bank. Are you one of those people who are planning to get a credit card or did you just receive one?
Owning a credit card comes with a popular belief that it can actually lead you to a grave of debts. However, while it may be true if you don’t know how to manage the usage of a card, there are actually ways to get away from the grave of debts.
Most especially for beginners, it is best to check on the credit card tips and tricks to avoid the interests of banks and other credit card providers. Before it’s too late, never walk towards the path of the grave of debts and consider the tips below.
Here are five (5) of the most beneficial credit card tips and tricks that you can follow to make at least be assured that you are doing it well:
Pay off your Credit Card Balance every Month
The danger in having a credit card is the interest that your bill may incur. While you may be allowed to extend the payment for your due, it is a wise move to avoid leaving a balance as it may incure huge interest. It may be best to prefer credit cards with zero annual fees as well.
Clarify the Purpose in Using Your Card
It is best to really make it clear with yourself to only use your credit card for needs and affordable “wants”. However, the safest way is to only use your card for needs and not for wants. You can use your card as a temporary loan to yourself.
Make your Credit Card your Budgeting Tool
If you are confident that you are disciplined enough to use your card, you can actually use your credit card as a budgeting tool. Under this, make sure that you can really pay off your total spending for the month.
Or stay under 30% of your credit limit
Most especially for the beginners, one of the best credit card tips is to stay under 30% of your credit limit. It is a safe move to avoid overspending. For example, your credit card’s limit is Php 30,000, it is best not to use your card to purchases and fees that will accumulate to over Php 3,000.
Use a rewards card
It is best to use a rewards card as it gives you back a part of your spending — at least. It may earn you special privileges in restaurant dining, grocery sales, and other purchases using your card as well.