A credit card is something that can bring great joy if you use it wisely. A solid credit card gives you the freedom to spend money when you need it, even if you don’t have it. However, credit cards can also lead you into massive amounts of debt if you’re not careful.
Many people forget that credit is not free money. Your credit card expenses quickly turn into payments and high-interest rates can really mow you down. So, does that mean you shouldn’t use a credit card? Well, if you’re someone who can be a little disciplined and show restraint when required; a credit card can be extremely useful.
So here are Cube Wealth’s top tips to help you use credit cards more wisely:
1. Know Your Annual Fees
The first thing to ask a bank before taking a credit card is what the annual fee is. While there are many credit cards that have low to no fee, other premium cards can have a hefty annual fee. One that you may not be able to afford in the long run. So, be careful about the card you get, behind all the gold, platinum and black cards is a fee you ought to know about.
2. Check Your Billing Cycle
3. Pay Bills Before the Due Date
4. Don't Be Reward Hungry
5. Only Use Your Card At Shops You Trust
Credit card fraud is a legitimate concern world over. You don’t know who is sitting to steal your details in just a swipe. Although modern-day chip cards have changed things a lot, it is still best to only use your credit card at a merchant you trust. If you’re at a place you don’t trust completely use cash or a debit card with the limited account balance.
6. Maintain & Use That Credit Score
7. Keep A Low Dependency
8. Avoid Getting Multiple Credit Cards
9. Protect Your Credit Card Information
10. Automate Your Credit Card Payments
Those are our top 10 tips to use a credit card wisely. Do you have more tips? Do you disagree with something we’ve said? Tell us in the comments section and don’t forget to share this blog with your friends.