Easy Guide to Managing Your Credit Card!

 Easy Guide to Managing Your Credit Card!

Research says that the use of credit cards was at an all-time high and this led to a plunge into debts.

A lot of advantages that come with credit cards lead us into its overuse. However, the fact that credit cards make our finances easier doesn’t mean we shouldn’t tread carefully. The effective management of credit cards can sometimes be overwhelming and complicated. “Proper budgeting, spending responsibly and sticking to a strategy can make the use of credit cards easier,” Shamir Kumar Nandy, a renowned business coach says. Moreover, paying bills on time can reduce accumulated interest.

One of the things we are best at as humans are spending the money we haven’t earned. The wake of covid 19 brings about an economic meltdown. Research says that the use of credit cards was at an all-time high and this led to a plunge into debts. Hence, as a credit card is a lifesaver it also can be the death penalty. Here, Shamir Kumar Nandy provides tips for managing your credit cards.

On–time payment of credit bills

Trying to meet up with the due date on your credit card statement every month needs a lot of discipline. Therefore, launching a plan to cut down your credit card debt should be your primary goal. There is a date that shows up on your statement every month, it is called the due date. At that date, you are required to pay your outstanding credit card bills, which is every month. “While you might be tempted to pay a minimum amount because it is allowed, paying in full is the best bet. This way, you can avoid paying higher interest,” Shamir Kumar Nandy advises.

Missing a single payment can also affect your credit score, therefore, it is advised not to miss a single payment. One way to go about meeting up your credit card payment is to set up a plan. This can either be adding a due date to your calendar or set a reminder on your mobile calendar for your due date payment on credit card debt.

Spend responsibly

Avoid impulse or extravagant spending when your card limit is low. Learn to live within your means and try as much as possible to reduce your expenses. This can only be achieved by evaluating your earnings and making adjustments where they seem possible. To spend responsibly, Shamir Nandy suggests:

  • Create a budget that can be followed and live by it
  • Avoid impulse spending as much as possible
  • Reduce your extravagances
  • Always check your bills
  • Be wise in the usage of credit card

Create savings for emergency funds

If there is anything, the covid 19 crisis has taught a lot of great lessons concerning finances. The fact that a booming economy can fall at any time which can lead to dependable workers finding themselves with no reliable income to fall back on. With determination and discipline, Shamir Kumar Nandy believes that a six months emergency fund can be built. With this, you won’t have to suffer panic with credit card debt, when you experience job loss or salary cut during this pandemic.

Avoid getting trapped by reward points and cashback

A lot of people get trapped when they see “don’t forget to earn cashback and reward points using your credit card.” You then find yourself swiping your credit card, shopping for more in order to earn back your points. This marketing strategy can be tempting, and they are all bait to drain your fiance. Shop only when there is a need, not to earn points.

Consider using other credit options

A low-interest personal loan from banks or credit unions can be of great benefit to you. For this, having a single lower overall payment with good responsible spending is required. At the same time, subjecting yourself to discipline can get you out of debt in no time.

Lower your interest rate by working with creditors

A good rapport with your credit card issuer can help reduce your interest rate. This comes with a condition that you pay at least the minimum on time with no breach of your credit limit. You can as well ask your card issuer to help reduce your interest rate.


These tips can prevent interest from getting accumulated and thus can save a lot of money. As great as credit cards can help make your financial purchase easy, it is advisable to make use of them responsibly.

Originally Published At https://newsknol.com/