(WTNH)– Today is an important day for anyone who likes to pull out the plastic. We are stretching your dollar with smart money moves on National Get Smart About Credit Day.
Whether it’s for sneakers, electronics, toys for the kids this holiday, or the grocery bill, we are getting into the season of swiping when credit cards typically get a workout.
But before you head down a slippery slope of overspending, experts are giving tips to keep spending under control for National Get Smart About Credit Day.
Here are The Motley Fool’s four credit card rules to live by:
One. Try to avoid paying credit card interest. That’s just adding to the cost of whatever it is you purchased on the card. If you do need to buy something big that will take a while to pay off, look for a 0% interest card.
Two. Always pay your card on time. A positive payment history will improve your credit score.
Three. Choose a rewards program to match your spending. Whether it’s cash back, miles for travel, or points to redeem merchandise.
Four. Don’t max out your credit card. Experts say you should never use more than 30% of your available credit.
Live by these guidelines and you’ll find the credit history helps you save money on big purchases you plan to make down the road. Whether that be cars, personal loans, and of course the big one, a house.
And if you’re already a credit holder, make it a habit to check your report more than once a year for errors. Give yourself time to correct them before you need that good score to make a big purchase.