Credit Card management

Lessons from the credit card

1. Don’t spend if you don’t have cash to pay for your purchases or expecting cash to pay for it.

2. Credit card is just a tool for purchasing convenience. Credit card is not cash. It must represent how much cash you got or reasonably expected to get.

3. You must pay your bills in full and pay on time to avoid penalties and interests.

4. If you get to the point when you overuse your card, there is an option of deferred payment. Instead of not paying in full and paying the 3.5% interest, avail of deferred payment scheme which offers lower interest rates.

5. Objective is to maintain a good credit standing so you can get more cards and increase credit limit.

6. Think of your card as a pre-approved loan from the bank with low interest rate so keep a good credit standing.

7. Be informed and maximize the advantages and convenience of having a card. Avail promos and freebies.

8. It’s a practical tip to put a sticker with your name and number on the card to make it easier for good finders to give the card back to you in case you lose it.

9. Always check if your card is with you because other people can easily use it. In terms of safekeeping, treat it as a cash, which can easily be appropriated.

10. Immediately inform the credit card company in case of changes in your mailing address or contact number. Not receiving your bills is not a valid excuse in not paying your bills. This tip applies to all kinds of bill. Ignorance of due dates is not an excuse.