Before you actually get one, the thought of having a credit card in your wallet can sometimes be quite daunting and scary. It feels like one of the most adult and mature things to do, but you so many horror stories about debt and misuse that you worry if it is the thing for you! I’m here to calm your nerves slightly. Here are the three golden rules of credit cards.
1. Pay Balance in Full
If you want to keep your head above the water in the world of credit cards, you absolutely need to make sure that you pay your balance in full every single month. Doing this is the only way that you are going to maintain a good credit rating, and you stay out of the dreaded zone where you end up just paying interest on debts that you are racking up rather than digging in to the actual balance that needs to be cleared.
2. Find the Right Card
Don’t just go with the first card company that you see, because they aren’t all the same and some will suit you better than others. Make sure that you do your research in relation to which cards give you the most rewards, most benefits, best interest rates, and sometimes even travel perks etc. Different cards will give different combinations of these things, so it is up to you to find yourself the most appropriate deal for your circumstances.
3. Avoid Fees
Sometimes credit card companies will try to trip you up at every possible corner with extra fees for things like using your card when abroad or paying for certain goods using it, charging exorbitant fees for withdrawing cash from it, so make sure that you double check before you go ahead and buy what you want to buy. Sometimes you will be better off using other forms of payment than your credit card. Just because you have a credit card, it doesn’t mean that absolutely everything needs to be put on it.