Avoid unnecessary fees.
Credit card companies not only charge late payment and over-the-limit fees, but also fees for cash advances, transferring balances, and having a payment returned. Some companies charge a fee when you pay your bill by phone. Pay attention to the transactions that trigger these fees. If you need a cash advance, withdraw enough so that you don’t have to take a second cash advance—and incur a second fee—later in the month. Read your credit card agreement to learn more about the fees that your credit card company charges
3.
Pay more than the minimum payment.
If you can’t pay your balance in full each month, try to pay as much of the total as you can. Over time, you’ll pay less in interest charges—money that you will be
able to spend on other things, and you’ll pay off your balance sooner.
4.
Watch for changes in the terms of your Account
Credit card companies can change the terms and conditions of your account. They will send you advance notices about changes in fees, interest rates, billing, and other features. By reading these “change in terms” notices, you can decide whether you want to change the way you use the card. For example, if cash advance fees increase, you may decide to use a different card for cash advances. If you have a card with a variable rate or if you have an introductory rate that is ending, be aware that credit card companies are not required to send you a notice about raising your interest rate.
Interest rates are listed on your
monthly bill. Read your
bill carefully and
take note of any
changes.
5.
For more information, please visit the Board of Governors of the Federal Reserve System online here