Credit Card Survival Tips

Bookmark Article

• The average person spends 112 per cent more on a credit card than they would if paying cash. If you can't pay cash, never go to a mall or store without taking a specific list of exactly what you need.

• Have only one credit card. If you can't bring yourself to get rid of the others, put them in a small bowl filled with water and freeze it. You'll think twice about using them while waiting for the ice to melt.

• Save as much as several hundred dollars each year in credit card interest charges by paying off your entire bill each month. Try to avoid late payment and over-your-limit credit fees.

• If you can't pay off your balance, pay as much as you can or switch to a card with a lower annual percentage rate.

• If you have high-interest cards, pay more than the minimum payment to save money and retire the loan more quickly.

• Before you whip out your credit card, ask yourself, "do I really need this?" Saving may not be as much fun as spending, but you'll thank yourself later.

• If you have more than one credit card debt, pay off the card with the smallest balance first. Then tackle your next smallest credit card balance. You will feel a sense of accomplishment by paying one credit card in full at a time.