It has become a necessity these days to own a credit card. Many people can’t imagine life without their credit cards. Even if you could pay for everything you purchased with cash, would you feel comfortable carrying all that money with you? This is why you can depend on your credit cards.Credit cards make it very simple to keep track of what you spend and you are also sent a statement showing what you have spent. The other great thing is that your credit cards come with a few rewards.
Face the facts and live a stress free life. It is very easy to spend too much on your credit cards. Especially around the festive season, this is the time when many people overindulge. If you want to learn to manage your credit cards wisely, then keep reading. This way you will not find yourself in trouble when overspending. You will need to follow a few basic tips;
The first trick to managing your credit card is to get them over with immediately. As soon as you receive bills for your credit cards, make sure you pay them. Interest increases very quickly on credit cards, so the sooner you make payments on these cards, the better. By paying on time and earlier you avoid a situation where you will have to pay more in interest payments.
There is another option also, that you can take if you are going to manage your credit card well. The other thing you can do is to pay more than the minimum balance on your credit cards. The more you are able to pay on the card at the end of every month, the lower your minimum required of you to pay will be. Make sure that no matter how the minimum drops on your card; always pay a little extra to keep the interest down.
This way you will not stress about extra charges and fees. even if you may be struggling financially, it is important to make sure that your credit cards are well paid and taken care of.
Do a little Math when you manage your credit cards. What you can also do is transfer all higher-rates to your credits cards that have lower rates, and then stop using the cards with the higher rates. This will also make it much easier to manage the debt. As long as you remember to pay a little extra each month on the card, there will be no problem bringing down what is owed. It becomes very easy to overspend on a credit card, even if you are money wise. Always pay attention to how much you spend and set yourself a target. Do not exceed that target, no matter what. Managing credit cards requires a lot of discipline, make sure you do not overspend. The most important rule with credit cards is to pay on time. It takes you and you only to live a stress free life if you own a credit card.
Sources and Citations
www.anz.com/aus/.../creditcard/managing/ManagingPopup... - Australia