Credit card tips

  1. Only use your credit card when you know you have that same amount in cash and can afford to pay that back.
  2. Carry only 1 credit card in your wallet for emergencies. And no, a sale at Miu Miu or Prada is not an emergency.
  3. A cash advance service is extremely enticing because, if you have that available limit in your credit card, it’s easy, cold and hard cash. But be sure that you really do need that cash advance. Examples of emergencies when a cash advance is warranted: when you’re held at knife-point by a robber; when you need urgent medical care and your health insurance has lapsed; when you absolutely have to buy that new pair of boots at Miu Miu (ok I’m kidding), or if you just feel like you need a whole ton of money in your wallet (ok I’m kidding)
  4. Pay your credit card bills in full every month. Or if you’ve overspent and can’t afford, pay more than the minimum 5% required. Every little bit of interest saved goes a long way.
  5. Do not sign up for more than 2-3 credit banks from different banks. I once had 10 credit cards, each from a different bank. I ran myself aground with accumulated credit card debts but I was fortunate because I finally realized how silly I had been and although I was servicing my payments regularly, I couldn’t afford to pay more than 20% to 30% of each credit card bill, and my Daddy helped pay them all off for me. I now have 3 credit cards, and I use them very sparingly. OK, I admit, having that absolutely-divine Clarins body care product set was an emergency.
  6. If you get product or meal discounts simply by swiping with your credit card, do it, but see Item (1) above again.
  7. This is a thing I do now- when I swipe with my credit card, I pay off that particular purchase within a week’s time. That way, I know where my money is going (especially money I have with me, cash) and I don’t owe credit card companies for anything longer than a month. Not unless there’s a sale at Miu Miu or Prada….