Guide to credit cards
Useful information on credit cards
Icon expand 1. Try to avoid using your card to withdraw cash
The interest rate is likely to be higher than if you use it to purchase goods.
Icon expand 2. Check your representative Annual Percentage Rate (APR)
The higher the annual percentage rate, the more interest you will pay on any outstanding balance. Look for credit cards that offer the lowest possible annual percentage rate, remembering to check what penalties are likely to be added for late payments.
Icon expand 3. Don't build up a wallet or purse full of credit cards
Pick one that offers good value and stick with it. It's much easier to budget this way. Know the Annual Percentage Rate (APR) on all of your cards and pay off the most expensive first.
Icon expand 4. Pay more than the minimum payment every month
Otherwise your balance will take a long time to go down. Just because your credit limit is $5,000 doesn't mean that you have to maintain a balance at that level.
Icon expand 5. Set up a Direct Debit
To make regular monthly payments to your credit card. That way you will not be liable for late payment charges. You can still make extra payments whenever you want.
Icon expand 6. Don't miss a monthly payment
Even if you can only afford to pay the minimum payment, this is still much better for your credit score than missing a payment entirely.