The right knowledge coupled with good credit card habits will go a long way in helping you win the rewards credit card game, if milking the most rewards out of your credit cards happens to be your goal.
Besides gunning for credit cards that let you earn unlimited rewards that do not expire, having the right mindset and practising good credit card habits form the other half of the seemingly complicated equation. Here are the 3 best credit card habits we at GET.com endorse and practise:
1. Spend within your means
As boring as it sounds, it is incredibly important that you know where you stand financially and make it a point to only spend within your means. While you are at it, try to stay well below your credit limit as this will help keep your credit score in a healthy place. Setting and sticking to a well-thought-out budget will help.
2. Track your spending conscientiously
While nobody is asking you to check your credit card accounts daily, it is a good habit to check your credit card statements diligently when they do appear. This is the only way to be sure you do not miss out on fraudulent charges and billing errors etc should they sneakily pop up.
3. Pay your credit card balances in full punctually
If you don't already know, the money you spend using credit cards is essentially money ‘borrowed' from your card issuers. By having the good sense to pay your credit card bills in full every single month before their due date, the banks do not have any reason to slap you with nasty charges and fees that can easily erode the value of your hard earned credit card rewards.
Simply put, by not carrying any balance, you avoid getting tangled up with late fees, hefty interest charges that snowball quickly, penalty APRs and more altogether.