If you plan to swipe your way through the gifting season, we have some tips for making sure you don’t start the new year with a massive debt hangover.
Using a credit card is convenient and can come with added perks like cash back or other rewards. But when not used carefully, the lure of buying now and paying later can lead to massive debt.
Swipe (your card) right
Be punctual with payment. Strive to pay your credit card bills on time. Credit cards often have late-payment fees and high interest rates, which means that you will pay more over time. Automating payments and setting up reminders can help streamline the process.
Pay more than the minimum. Creditors usually don’t require you to pay your credit card bill in full each month, but only making minimum payments will keep you in debt longer and increase how much you pay in interest.
Carefully check your statements. It can be hard to see all your spending listed out. But it’s important to review each credit card statement carefully to make sure there are no fraudulent charges. Setting up email or text alerts on your credit card can also help catch fake charges.
This smart spending guide is full of tips and tricks to help you, no matter what your holiday shopping style is.
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