Credit Card Tips for Newbies

If you’re like most people, your introduction to money most likely came about in the form of a gift from your parents, grandparents, or someone close to you.  Most likely it was a piggy bank, pouch, a small canister, or something else where you were encouraged to put a part of your allowance, or babysitting money, or any other money that you earned.  This was meant to educate you about the importance of saving money.   Hopefully, this started a lifelong habit of setting aside a certain amount of your earnings so that you would have the financial resources for any sort of emergency that may arise in your life.

The same principle applies to maintaining adequate credit availability.   It’s another means to have funds available to you in the event of an emergency.  Building your available credit is just as important as saving, but there are some important factors to consider when looking at your credit cards and the terms associated with said credit:

Annual Fees:   Many credit card companies charge an annual fee for the use of their card.  However, very few people know that they can easily get rid of such fee, especially if they have a good credit score. For this case, all you need to do is to pick up the phone, call your credit card company and request for the fee to be removed. Tell them that you are going to cancel the card otherwise.  This works most of the time.

Universal Rules:  In the event that you are late in making the repayment of one of your cards, you will almost certainly be charged a much higher rate of interest on your other cards almost immediately. This is considered to be part of the universal default rules that you’ll find in the fine print of all your credit card agreements. Therefore, one of the most important credit card tips for you is to make the payment on or before the due date.

Try Waiving The Late Fees:  If you have never been late before paying your balance and fees, you can call the credit card company and request that they waive the late fees. Some representatives may refuse this request but it doesn’t hurt to try.

Remember, having available credit when you need it is just as important as saving, so do your best to protect your credit score by making your payments on time, keeping your credit usage within limits, and review your credit report regularly!