by William Bond

Created on: March 15, 2010   Last Updated: March 16, 2010

 The most important rule for  handling your  credit cards is managing  the debt from your credit card use so that each month, you pay the monthly bill in full, and the balance becomes zero. This is the key to  skillfully managing your credit cards, to  avoid the cards,controlling you and your finances. Now, if you have credit cards that have balances right now,  a strategy  is needed, to get them paid off, so the balnce  down to zero. You  can pay them off each month,  and not have any  credit card debt.  Here are some tips to help you manage your credit cards successfully.

Do a review of what  you owe on your credit cards?

Take out the most  recent statements for your 3 credit cards, let's say Credit Card A, has a balance of $ 600, Credit  Card B is $l,200 and the total is $l,800.  Send a payment to  each card $l00 each month to each card,  until fully paid,  and Credit Card A will be paid in 6 months (6XL00=$600, and Credit Card B with be paid in l2months ( l2X$l00=$1,200). Once each card is paid,manage your credit card use, so you can pay all expenses for each month in full, so you will start the next month with zero balance. Be careful of the extra fees,  that the credit card companies want to  charge today.

Extra fees by card companies can cost you extra money.

Beware of extra fees that are being issued since the new  Federal Credit Card Regulations and Laws, such as:  Payments Crediting: generally, payments above the minimum payent due will be applied to highest  interest  rate balance, and then to lower interestrate balances.   This will help you payoff  your balances earlier, because the higher interest  rate balance will be paid quicker, and reduce your interest charges.

Also, there is change in the overlimit fee, under the new federal Credit Card Regulations and Laws:  You will not be charged for a over your limit fee unless you allow us to do so.  You can simply say, " I don't  want to make the purchase now."  There will be not fee charged to you. 

Keep you credit card balance less the 30% of your balance.

If you run a balance on a credit card, try to keep the balance less than 30% of your balance, for example, the limit of your card is $l0,000, keep it below $3,000 to get the highest  possible credit card score.  A good credit score can help you get the  best possible APR(Annual Percentage Rates) to help you save even more money. You can get a copy of your credit score on line at: FICO.com. Let's sum up.

Summary. Use one to three credit cards, this makes it easier to keep track of balances, and due dates,and makes it easier to pay the balances in full monthly. If you  need to carry a balance, and pay interest, try to get it paid off, as soon as possible, to save money on the interest, and make it easier to pay monthly. You are the manager of your credit cards. Never give a friend your card to use, with the promise he will pay you back. Also, when you have a problem paying a credit car payment, never be afraid to call you credit card company, and tell them t about it, they will try and work with you, to find a way to make it easier to pay it. Best of luck to you. Go for it!

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