Properly used, credit cards may mean some benefits such as being able to have emergency money, or not having to carry large sums of cash with us when we pay lots of money.
However, due to their purchasing power, often credit cards are misused, making us spend more than they should, and making accumulate high debt and pay high interest.
And this does not happen see below some tips that will help us better control of our credit cards as well as some tips related to your safety:
Control costs
The first tip is to control the use of credit cards, knowing that the cards should not be used for everyday purchases, but to be used only in emergencies or to get us some trouble.
One way to control the use of credit cards do not save and take them with us when we go shopping, avoiding impulse purchases.
Another way to control credit card spending is a habit to keep all receipts for purchases you make, so that, in this way at all times we know we are using our cards.
Control Debt
The next tip is to control debts generated by credit cards, knowing that because of its ease of use and high interest rates they charge, is easy to get to accumulate high debts.
One way to control debt is to pay the cards in the month in which the use (and not have to pay interest) or, in any case, always pay more than the minimum required, a payment above the minimum decreases term debt and reduce it.
Another way is to cancel the debts before the due date (which is specified in the statement), and thus avoid being charged more interest and surcharges for not paying on time.
And not to mention always avoid spending more than we spend, to avoid ever reach the top of our line of credit, except in the case of an emergency.
Have the least possible number of cards
Another tip on using credit cards is to have as few cards as possible and cancel all those who do not use it.
Although we do not use credit cards, they always generate fees or commissions, such as payments for membership.
It is advisable to cancel all our credit cards and keep only one, that which we generate the lowest rate of interest or which has the convenient payment terms.
Consolidating debts
Should have high debts generated by the use of credit cards, one tip is to consolidate our balances on one card.
By consolidating our credit cards into one, not only agree to a lower interest rate, but they simplify the payment process, and we?ll just make one.
To consolidate our cards just have to approach the financial institution issuing the card that gives us the lowest interest rate, and request to consolidate all our credit card debts into one.
Always check your statement
Nobody is free from errors or illegal charges by financial institutions.
So it is advisable to acquire the habit of always thoroughly review the statements of our credit cards, ensuring that the beginning balance matches the closing balance of previous statement, and that the expenses reported are actually spending that we performed.
If there are any errors or improper collection must immediately notify the financial institution.
Security
Finally, we must always protect our personal information and prevent theft or cloned our card.
For this, we avoid providing information on our credit card by phone or, if shopping on the Internet, avoid making objectionable sites or that we do not generate sufficient confidence.
We must also always keep in a safe location card numbers and phone numbers where we can report the theft or loss, and, if that happens, immediately contact these numbers.
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Source: http://www.silverxcard.com/15-tips-on-credit-card-use.html
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