Owning a credit card can grant you a superb deal of convenience. But it can hurt twice as much if you fail to pay on time and have those charged late fees.
In a recent survey, 28% of credit card users said their bills have soared sky high because of late fees.
For you to avoid this extra money trouble, listed below are 7 helpful tips:
Set an automatic payment
If you have trouble remembering your due date, then set up an automatic payment using your bank account. This is the most convenient way to avoid the hassles of late payments. Just make sure you have enough balance in your bank account all the time.
Wise bread offers some knowledge of setting up automatic payments.
Technology has given us modern wonders like checking your account status online and even shopping online. Take advantage of technology and pay your card dues online.
Set up a reminder in your phone or desktop so you can remember it.
Keep a low balance
Part of being a responsible card holder is to know your limits. Another cause of enormous payments is going overboard with your shopping spree.
Keep a low balance for your card, and remember your credit limit.
Contact your provider, ASAP
Never underestimate the power of negotiation. If you think you can’t make it to your due date, then call your credit card company and ask for an extension.
You’ll be surprised how accommodating they could be to you.
Manage your time and money wisely
It all boils down to personal discipline and responsibility. Manage your money wisely so you’ll have enough money to pay off your credit cards.
Manage your time so you’ll remember to pay on time. Reader’s Digest has an excellent article online that speaks of how to manage your money wisely.
Remember your due date
Annoy yourself with crazy reminders. Place it on the fridge, on the door, and even on your car. Remind yourself of your due date.
Otherwise, change it
If you honestly can’t remember your due date, then change it. You can always call your company and change the date to something you can easily remember, just like pay day.
Get rid of it, for good
Best way to avoid late fees? Stop using your card once and for all. If you think you can’t manage your money and time enough to handle your card, and then sign out of it. Just keep a debit card or save up your money.
It also pays to recognize the signs to check if it’s time to close your credit card account.
Owning a credit card grants you easy access to the world of convenient shopping and bill payments. But with this immense power comes considerable responsibility. Paying your dues on time doesn’t only get rid of late payment fees. It also keeps you in good light with the company. This way, if you need to get a loan or a perk, they’ll gladly grant it to you due to your excellent record.