Using a credit card effectively is an art.
You can spend money well if you know how to get the maximum out of your credit
card. Thus, you can save more if you know how to avoid misusing your credit
card. Here are some techniques on how to get the maximum out of your creditcard.
Don't Max Out you Credit Limit
Make sure you use about 30% of your credit
limit or less. Ensure that you are able to spend less so that you can avoid
debt and spending. Spending a lesser amount than the credit limit also gets you
a good credit score which is a hugely advantageous thing.
Clear the Balance in Full Each Month
See to it that you do not carry a balance
over to the next month. Carrying a balance means that your liabilities are not
well settled. Avoid carrying over a balance as this can lead to debt at a later
stage.
Know Your T's and C's
Ensure that you do not have ignorance in
matters of credit card terms and agreement. This can greatly benefit you as
sometimes things such as fees are a grey area where credit cards may charge you
for their services.
Limit the Number of Cards You Apply For
Make sure you do not apply for more credit
cards than you can manage. This is because the more cards you have, the more
likely you will be to spend more.
... and SPEND WISELY!
You have to see to it that you spend your money wisely and you do not go in for tempting deals that actually cost
more. Keep track of your purchases as
this can make all the difference to your budget.
