4 Ways to Make Your Credit Card Work Harder for You

When building your credit, credit cards are a necessary piece of the puzzle. Having, using, and paying off credit cards leads to good credit. In turn, good credit allows you better interest rates and more financial opportunities when it comes to mortgages and other loans. 

Check out these four ways to help make sure your credit card is working as hard as it should for you:

#1 - Choose the right card.
Every credit card has its perks. Think cash back on your necessities, rewards points on your purchases, or a low rate on everything you buy. Choose the card with the incentives that benefit you the most. Check out BHFCU’s line-up of credit cards with something for everyone.

#2 - Plan for your payments.
Set a budget for your credit card usage. Plan to pay off your credit card in full each month to avoid additional charges. If full payment isn’t possible, try paying more than the minimum amount. Look for cards that offer a grace period on purchases; this ensures you will not accrue interest if you pay your card off on time each month.

#3 - Manage accounts online.
The advent of online banking allows you access to your accounts anywhere, anytime. Check in on your credit card balances regularly to track what you’re spending. Online portals also allow easy payments pulled directly from your other accounts. You may also make your payment before the due date when you have funds available. Online credit card tools and mobile apps provide a great deal of payment flexibility. 

#4 - Be aware of your interest rate.
It’s always important to know your credit card’s interest rate, especially if you’re not able to pay off your credit card in full each month.

No matter the credit card, make sure to do your homework and plan how to make it work best and hardest for you. Review how you use credit cards and find the card that maximizes those benefits that apply to you.

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