Credit Card Tips

Surely everyone knows the dangers of credit cards by now. You build up high balances, you can't pay them off, you go into eternal debt and have people calling you 24 hours a day. It's really easy to get trapped by the lure of easy money.

They key here is to PAY IT OFF EACH MONTH. Never buy anything that you cannot afford. If you can't afford it, then do not buy it. There is always another option. Sometimes the option is hard, but you can't look at a credit card as giving you "free money". It's not free. It is very dangerous.

Now, that all being said, I have 3 credit cards and I have them all set to auto pay out of my bank account. None of them have fees. So they are not "costing me anything". On the other hand, all of them give me rewards - so I run ALL of my expenses through them. It's just like writing checks - they get paid off at the end of the month with no interest. However all of those "charges" earn me free airline tickets, free bonusses, etc.

If you're going to pay bills anyway, make sure your money is working for you. Find a way that every dollar that you pay on a bill is earning you some sort of bonus in return.

Frugal Living Tips