4.3.9 Tips for credit card use

Here are some ways to save money with your credit card use.

• Pay the balance in full each month. If you can't, don't use the card until you can, or have the limit reduced to a level that you are able to pay off monthly. 
• Don't make only the minimum payment. If you can't make the full payment, pay a fixed amount each month. At the very least, pay the minimum amount plus an additional amount.
• If you always carry a balance, get a low-rate card. Or transfer the balance to a line of credit with a lower rate.
• Pay your bill on time to avoid interest. To be sure, pay a few days before the due date, or arrange to have your credit card bill paid automatically from your bank account. (But remember to keep track of these transfers so your account always has enough money to cover them.)
• Avoid taking cash advances on your credit card. Use them for short-term or emergency situations only. If you must take a cash advance, make a payment to your credit card issuer as soon as possible.
• Limit the number of credit cards you hold, and keep your credit limit low to avoid overspending and getting into trouble with debt.
• Take advantage of the benefits that your credit card offers, such as extended warranty, travel insurance and car rental insurance.
• If you have a dispute with a merchant, or if a company from which you purchased a good or service goes bankrupt before you receive the good or service, call your credit card issuer and ask that the payment made to the company be reversed.