If you asked me what the best invention is after sliced bread, then you know that for me it’s the credit card. When managed carefully and as required, it is one thing that can make life very much easier. But if misused, a credit card can be a highway towards you drowning into depths which can at times be a challenge for one to recover from. All we are always supposed to remember is that are meant to assist us to spend then pay later.
Ensure prompt payment
Even though this may seem like a cliche, you can never overemphasize its importance. Even though you may think that most people already know this, you will be surprised at the number of individuals who miss making payments for their bills on the required dates. One is always encouraged to make sure that all the bills are paid promptly every month without missing. If you do forget, it is necessary to set the alarm, which will ensure that you have made your credit card payments before its due date.
Have fewer cards
It is always advisable that you are conscious of the cards that you own at any one given time. But if you are the type of person who can afford to pay for many cards, then go on and get as many of them as you can. But if you are a man of fewer means, owning a large number of cards is one way that you can get yourself into some serious debts. It is important to operate as few credit cards as possible as they are easy to manage.
Maintain a purchases record
Always ensure that you know the exact amount of money that you have spent each time you use your card. This will ensure that you are in control every time. The very dire mistake that you can ever commit is failing to keep track of your card expenditure as you are driving yourself into debts. To avoid this, always ensure that your spending is on track.
Do not overspend
One of the major challenges that have been brought about by credit cards is that they are easy to use. And their policy of use, that of spending now and paying later is a very dangerous one. Thus even if you are paying via card, it is always advisable to always not to overspend Ensure that you can be able to pay whatever you spend earlier. Ensure that you budget your expenditure in a way that you can save something for future use.
Never lend your card
It is unacceptable to give out your card. Be it your spouse, children or parents. If it is inevitable, ensure that the person you are giving is a responsible person.
Some other tips include: not making high-value payments using it, not using credit cards unnecessarily, and ensuring that you use cash even though you have a credit card.
