General Tips on credit cards
Credit card or plastic money is omnipresent today. Today they
are treated as more of a necessity than just a commodity. Thus
it is essential that you not only use them properly but also
take proper care of them. The following list is a compilation of
some tips on credit card management:
1. Never chose a particular credit card because your friend or
someone else has chosen it. Instead base it on your needs.
2. Compare various credit cards before arriving at the right
one for you.
3. Always sign at the back of your credit card, as soon as you
receive it. This is an important credit card protection
mechanism.
4. Protect sensitive information/details about your credit card
e.g. PIN. Never reveal the details to anyone.
5. Destroy any mails containing such the details about your
credit cards. Fraudsters might be scanning your garbage for such
information.
6. Do not share your credit card with friends, family and
others. Apply for supplementary cards if you require one for
your family etc.
7. Never utilize more than 75% of your credit limit. This will
help in containing your credit card debt and also in maintaining
a good credit rating.
8. Be prompt in your payments. If you haven't received your
monthly bill, enquire with your credit card supplier.
Non-payments and late payments tarnish your credit rating.
9. Never let your credit card go out of your sight.
10. There is no magic wand for debt elimination. So take
measures for getting out of your credit card debt. This includes
things like controlling your credit card usage, using cash on
some occasions, debt consolidation etc.
11. In case your credit card gets lost or is stolen.
Immediately inform (call) your credit card supplier to get it
invalidated. Keep this phone number separate from your credit
card.
12. Be prompt in advising the change of address to your credit
card supplier.
13. Be aware of various offers / discounts that accompany your
credit card. You never know when one might prove useful to you.
14. Do not mistake credit card for free money or a lottery.
Remember that you will have to pay for it. So always stick to
your budget.
15. Check if one of the special credit cards e.g. student
credit card, small business credit card is better for you.
16. Always read all the instructions supplied with your credit
card especially the ones related to fee/commissions etc.
17. Redeem membership rewards in time. Don't let the points get
expired. Never leave them unutilized when closing your credit
card account.
18. Take professional advice if you are too deep into credit
card debt.
19. Never get lured by all the free offers on your credit card
and end up spending thousands of bucks just to realize later
that you can't actually pay it back in time.
20. Never apply for too many credit cards just for fashion
sake. Even you don't use them you might still be paying annual
fees and them and moreover why keep something you don't need.