Ways to Master Your Credit Cards. Without Credit cards we cannot build credit score and credit history. We cannot have credit card problems before we learn how to master our cards. This article gives a detailed information about how best to manage our credit cards.
What do you need to do?
Ways to Master Your Credit Cards ; Take note of the Fees
Credit card fees include annual fee, balance transfer fees, foreign transaction fee and the rest. When you fully understand the fees, you will minimize the cost of having credit. If you manage your credit card wisely, you can use your credit card for free. If the annual fee is outrageous, you can leave it.
Review the Terms and Conditions: carefully read the credit card terms and conditions. Understand every bit of the terms including the pricing, fees and APRs. If you do not clearly understand the terms, do not apply at all.
Check the Interest Rates: Credit cards come with different interest rates for different balances. If the rates are not affordable, simply avoid the card.
Don’t Depend only on Credit Cards: Completely depending on a credit card is cancerous. It leads to serious debt crisis.
Choose a card that suits your needs: Determine what you want from a credit card such as a low-interest rate, travel rewards, a 0% balance transfer rate — and apply to credit cards that fits your needs.
Ways to Master Your Credit Cards ; Review Your Credit Card Statement
Your credit card statement has a detailed information about your billing cycle. Certain information on your credit card statement may not be true. If you find anything wrong, quickly report this to the credit card issuer.
Pay your dues promptly: Avoid late payments, it attracts a late payment fee. When you pay your credit card fees on time each month, you will maintain a good credit score.
Pay in Full It Is very Ideal: Pay your credit card balance in full each month. This will save you from debt. Knowing that you’re paying your balance in full requires you to keep your credit card spending in check.
Do not Overspend: Do not buy on impulse. Purchase only what you need, it is the key to keeping your credit card balance at a level that you can afford to pay in full each month. If your credit card spending exceeds your budget, you are in for debt.
Check Your Balance and Available Credit Before Spending : This will enable you not to spend beyond your credit limit. Before making new purchases, check your credit card balance by calling the customer care line.
Close a credit card you do not need
Closing a credit card can negatively affect your credit score. When you have a good credit history or score, it will improve in a short while. If your credit card has a high annual fee, low credit limit, or high-interest rate, you can close the card.
Contact Customer Service: When you are not certain of any issue, quickly contact your credit card issuer. Contact the customer service, report your problem and get it resolved.
Have a few Credit Cards: Do not apply for many credit cards at a time. This make you look like a spendthrift. Taking care of these cards are not also easy. The payment due dates are hard to master. There are too many payments to make each month. You may end up having too much debt.