Top tips for managing your credit card

Here are our three top tips for managing your credit card debt .

1. The best advice is to use your credit card only to the extent that you can afford to pay off each month. If you have a credit card that gives you loyalty points based on your expenditure, you may want to take advantage of this. However be careful and don’t spend that money you have put aside for your monthly credit card payment. 
   If you pay off your credit card spending each month you don’t pay any interest. And if youre really in a good place moneywise, you can have money to pay off your credit card in an interest bearing bank account.
2. If you are past that point and can’t pay off the credit card balance next month, then work out how much you can afford to pay, don’t be tempted to pay just the minimum amount set by the bank. Sometimes this amount is less than the interest each month so in fact you’re going backwards and increasing your balance not reducing it.
3. Make sure you make your payment on time each month. If not you could land yourself with a hefty penalty fee for non payment. And that only adds to the amount you owe – doesn’t help you to reduce or get rid of it.

How have you managed to cut your credit card debt?

Have you tried the trick to move your credit card debt to another bank to get a low interest rate for a bit?  Did that work?