​Credit Cards sans Chaos

Valorie B. by Valorie B.
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One too many times I have found myself rationalizing an expense on a credit card before I had the hard cash to purchase it. The result - Debt. Lots of it. The only escape was a slow and painful one - find ways to earn more money to be able to pay off the balance at some date in the unforeseeable future and dump all extra cash (in other situations termed “fun money”) into the balance. Credit cards can be a nightmare - but through a painful learning process, I’ve come to learn that they don’t have to be. The benefits will outweigh the possible costs once you’ve learned how to manage them.

There are many ideas on how to manage credit cards. Some say the best assurance to avoid debt is not to own them at all - while I understand the real fear, I wouldn’t say I’m in agreeance. There are two main reasons almost everyone gets a credit card, and those are:

  1. A Credit Score: This will allow a loan officer, employer, or landlord to quickly and painlessly assess your financial integrity. Without a credit score, you’ll be printing pages of bank statements, paying more cash up front, and going through other annoying processes to determine your financial integrity.
  2. Rewards: Most credit cards offer some form of rewards program - whether it be flight miles or cash back. You are essentially being paid just to use your credit card. The great thing is that these rewards can be taken advantage of without a balance remaining on the card - you can swipe it and pay it off immediately while still accruing your rewards points.

That’s it. Those are the main reasons people want credit cards. Here’s the best ways to see get those benefits without going into debt:

Follow these easy tips for managing credit cards and enjoy the benefits while staying out of debt. As always, may every dollar you spend be a dollar WellSpent!

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