Lifestyle
Here are seven tips to help you manage your credit cards effectively
Always aim to pay off your credit card balance in full each month to avoid interest charges. Carrying a balance can lead to accumulating debt and higher interest costs.
Try to use only a small portion of your available credit, ideally below 30%. High credit utilization can negatively impact your credit score and suggest financial strain.
Ensure you pay at least the minimum payment by the due date each month. Late payments can result in fees, higher interest rates, and damage to your credit score.
Cash advances usually have significant fees and interest rates from the day you withdraw the money. Avoid using credit cards for cash unless required.
Regularly review your credit card statements for any unauthorized or incorrect charges. Early detection of fraudulent activity can save you from potential financial loss.
Too many credit cards can make managing payments and tracking spending difficult. Stick to a few cards that offer benefits relevant to your lifestyle and financial goals.
Use your credit card for rewards, cashback, and other benefits without overspending. Use rewards intelligently for purchases you'd make.