Use The Credit Card Only When Absolutely Essential

Use the credit card only when absolutely essential.

This will help you budget and not go overboard with credit card debt. Pay your regular expenses by cash or a debit card. Follow repayment schedules like religion. Don' t stick to the monthly minimum payment. Don' t miss out and invite late payment fees, increased APR rates and blocked reward programs. Pay the maximum you can afford and get that outstanding debt cleared as fast as possible. Get rid of multiple credit cards.

By just paying the monthly minimum the credit card companies reap the maximum rewards while, as a consumer you pay the maximum interest. Although this might sound difficult, but if you are struggling to repay on time and, juggling with the repayment dates is causing you to default- it's time to think. This will ensure that you don' t default unwillingly and face the negative consequences. If there is a genuine need to keep multiple credit cards, then try to automate their monthly payments. Never go out on a borrowing spree. Maxing out on your credit card doesn' t go well with credit card companies and invites negative remarks in credit reports. Always watch the credit limits and try to stay below 30% of your credit limit.

Keep track of these 5 things and a good credit score is ensured.