So, it’s finally time, right? You are up and ready for a brand new crispy credit card? Your own, personal piece of plastic with money on it can be an amazing experience that amplifies credit history and helps in future life if you put your mind to it.
Or it can be a sabotaging disaster for the future in which not a single bank will be generous enough to lend you a dime. Which path do you wish to proceed? F you are choosing option number one – the next 6 tips are for you.
Did you know?
6 tips for fresh credit card owners
Check out the tips below and make sure you are making all the right choices while handling your very first credit card. Do note that these tips can be applied to later cards as well.
- Choose wisely. Cards don’t only differ in color and the background image. They also serve different purposes. It is, in fact, better to have a few: one for travel, the other for shopping and the third for cashing in. This is the minimal set. But how can you choose the best deal in your case? Go online and look for credit card reviews. Effectify.com service can be of great help as well.
- Pair a credit card with a debit card. This is your first shot and some payments will get slippery/ Emergencies do happen in life. Much more than we would witch for them to. A debit will keep your balance healthy on time thus preventing poor credit history.
- Pay more than the minimum necessary amount. Always! If you choose to pay the smallest sum possible – consider that cash gone forever. You have only covered the expanses of the bank and you will still have that same amount to pay next month. But your actual debt remains intact. Paying the minimum will place you into an endless loop.
- You can use cards to spread costs of purchases if they are too large to handle. This is a nice and handy trick.
- Watch out for fees while travelling. Simply grabbing a few bucks in an ATM can cost you a small fortune so pay attention to whatever the screen shows or you risk losing up to 30% of whatever’s on your account right now.
- Use apps. They are just too good and handy today to miss out on. They are, after all, with you all the time and they have clear, precise visualization of whatever is happening on your account right now.
These tips are not the limit to what you should or should not do with a credit card but these six bad boys are still the basics. Pay attention to them and enjoy the perfect credit score!