The Dos and Don’ts When Managing Unsecured Credit Cards
Here are some guidelines that will help you manage your unsecured credit cards in the most responsible way you can:
Do pay your credit card charges, in full. Bear in mind that carrying balance from one month to the next can cause your interest charges to get way out of hand. So to keep the payments you make on interest, minimal; you should do your best to settle your bills completely. One way to succeed in this matter entails setting aside enough funds for covering your credit card transactions, as soon as you receive your mid-month or month-end salary. After all, by prioritizing your dues; you can be sure of submitting not just on-time, but also complete payments to your card issuer.
Don’t attempt to spend beyond your credit limit or else you’ll surely incur penalties and fines, in the form of overdraft charges and declined transaction fees. And that’s not all. Such irresponsible credit habit can also inflict damage to your credit history and compromise your financial prospects. Hence, you should always remind yourself to spend within your limit or cap. And never indulge in lavish shopping sprees as they can get you into serious financial trouble.
Do take out and review the fine print of your credit card program, once in a while. This way, you can be reminded of the important provisions and restrictions that apply to your unsecured credit card account. Moreover, it can help you come up with appropriate courses of action that will help you avoid, not just committing serious violations against your contract, but also getting penalized for simple missteps.
Don’t manage more than two unsecured credit cards, at the same time. Keep in mind that handling several lines of credit, especially those which carry excessive rates of interest, fees, and charges, will only make it harder for you to stick to your due dates. In fact, it can even push you down into debt traps and damage your good credit standing. So, as much as possible, you should be contented with what you currently have. And be firm in turning down offers for additional high-interest credit cards.