How to Avoid 10 Habits of Credit Card Debt
How to avoid 10 habits of credit card debt:
1. Read the fine print. Understand all the terms before opening a new credit card.
2. Stay on budget. Using your credit card must figure into your budget, not as an extra.
3. Check your accounts. By checking your accounts regularly, you can spot fraud or errors more easily.
4. Don’t miss payments. Set up reminder or automatic payments from your bank account.
5. Pay off the balance. Avoid interest altogether and build a positive credit history by paying off your balance each month.
6. Know your credit usage. Use less than 30% of your available credit but don’t let it sit idly so that you get the most out of your card.
7. Avoid cash advances. Cash advances mean lots of extra charges, interest and points to a larger financial issue.
8. Think before buying. Avoid impulse shopping and credit card debt by taking time to think through large purchases. Do I really need this? Does it fit in my budget?
9. Make a plan. Once you understand the rules, create a plan to best use the credit card. EMERGENCIES ONLY. GAS & GROCERIES. 1 PURCHASE A MONTH
10. Stay accountable. Reach out for help to avoid drowning in credit card debt.
For more information on how to better manage credit card debt, call 800-769-3571
ACCC - The Credit Counseling Professionals
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