Keep a small amount of credit cards. It can be a challenge to have more than one card, since you need to monitor spending on every card. If you hold less cards, you will probably have less debt.
Don’t try to apply for a lot of credit cards. This can lead to your finances becoming much more difficult to manage. Also, you greatly increase the chances of getting yourself into debt. Students who have credit cards, should be particularly careful of what they use it for. Most students do not have a large monthly income, so it is important to spend their money carefully. Charge something on a credit card if, you are totally sure you will be able to pay your bill at the end of the month. Check your credit card statement every month, to monitor it for possible fraud or identity theft. Many times, fraud goes unnoticed until it really starts to add up or a huge expense is listed that you are not familiar with. Regular monitoring of your paperwork will keep you ahead of the game and able to stop illicit activity early on. Don’t mindlessly jump at any 0% interest offer that arrives in the mail. Although this may sound like a great deal, sometimes in the end you end up spending more because of making the mistake of signing up for this kind of offer. If you are going to utilize more than one credit card, always pay them according to the highest APR. The less interest a card racks up, the better it is for you. Your balance should be relatively low each month. At least be sure that the debt you do carry is on your cards with the lowest interest rates.
Look through your list of credit accounts. You may want to close accounts that you don’t use anymore. Closing old accounts will prevent those accounts from being used fraudulently. Even if your account still has a balance on it, it can be closed. You can keep paying the balance until it’s paid in full. Do not apply for any credit cards by mail if your mailbox is not lockable. Credit card theft often takes place by simply removing a new credit card from an unlocked mailbox. Always try to use your debit card before your credit card. A great way to help you remember to do this is to put your debit card in a very noticeable space in your wallet, while hiding your credit card further back. This way, you’re likely to spend your debit card funds on those impulsive purchases and you won’t need to pay interest on them. It is important that you understand all the new laws governing credit cards. For example, a credit card company cannot increase your interest rate retroactively. They are not allowed to operate on double-cycle billing schedules either. Research the relevant laws. Two major, recent legislative changes that affect credit card companies are the Fair Billing Act and the CARD ACT.