Look for a Low Fixed-rate Card
Cards with a changing interest rate can go up any time and charge you more interest. Look for a card with a low introductory rate that will last at least six months. If you have a high interest card, try to transfer your balance to a lower one.
Watch Out for Penalties
Some cards charge high late fees, and other penalties. For example, if you miss a payment or go over your limit, you may be charged a penalty, or your interest rate may go up. If you know you’re likely to be late a few times with your payment, a card with lower penalties and a slightly higher interest rate may be a better deal.
Pay on Time
Even if you have a card with a great interest rate, you may find the rate goes up the first time you’re late with a payment. Even if you only pay the minimum, make sure you pay on time. You’ll also keep a better credit rating.
Avoid Annual Fees
You may get a lower interest rate, or cash back but ask yourself if it’s worth what you pay each year. If you are going to pay your balance off in full each month, you may want to choose a different card.
Look for Special Rewards
Some cards offer travel miles and other benefits, but they may charge a higher interest rate. Choose these cards only if you know you’ll pay your balance off on time each month. Don’t accept special offers that you can’t use and be honest with yourself about your spending habits.
To help you break free of the debt associated with credit cards or other loans check out this useful calculator, and learn more about managing debt.
Remember: Credit cards don’t all work the same.Be sure to get the best deal you can and always try to repay what you borrow quickly.