0% Credit Cards UK | Strategies for using credit cards

Once you have decided to get a credit card you need to make sure you follow some basic guidelines to keep your credit good. Financial planners advise to charge only what you have money in the bank to cover. The mistake many people make is that they see they have a high credit limit on their card and decide to make purchases for items they ordinarily could not afford. Before they know it, they have a large balance and are paying hefty finance charges each month.

To keep this from happening, a financial advisor suggests that as soon as you make a purchase on your credit card you go home and write a check for that amount to the credit card company. Hold the check until the bill comes later that month.

Don’t get too many credit cards. Most people have too many cards, say some financial experts. Most people have between 6 and 15 cards. They should have between two and no more than six credit cards. Having too many credit cards can actually hurt your credit. Credit scores look at how much credit you have available and how much is used. If you have too many cards, it throws the numbers off. You should keep your balance low on all your cards. The rule of thumb is that you should have no more than half your available credit used up. For example, if you have a credit card with a credit limit of £5000, you should have a balance owed of no more than £2500. Anything more than that and you will have points deducted from your credit score.

If you are in high debt or have trouble controlling your spending you should leave your credit card at home. Work with cash only, unless absolutely needed. Even then, with the wide use of debit cards, you can use your debit card as you would your credit card. If you can’t control your use of credit cards, keep your card on ice. Actually put your credit card into a small tub or baggie of water and freeze it in the freezer. The next time you want to buy something on your credit card you will need to come home and think about it first. If you want the item, you will need to thaw out the card. This will help avoid impulse spending, the type of spending experts agree will ruin your credit.

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BOA Vs Discover Amex Vs MasterCard Amex Vs Discover BOA Vs Discover Visa Cards Good Best Which To Avoid Other	Once you have decided to get a credit card you need to make sure you follow some basic guidelines to keep your credit good. Financial planners advise to charge only what you have money in the bank to cover. The mistake many people make is that they see they have a high credit limit on their card and decide to make purchases for items they ordinarily could not afford. Before they know it, they have a large balance and are paying hefty finance charges each month. To keep this from happening, a financial advisor suggests that as soon as you make a purchase on your credit card you go home and write a check for that amount to the credit card company. Hold the check until the bill comes later that month. Don’t get too many credit cards. Most people have too many cards, say some financial experts. Most people have between 6 and 15 cards. They should have between two and no more than six credit cards. Having too many credit cards can actually hurt your credit. Credit scores look at how much credit you have available and how much is used. If you have too many cards, it throws the numbers off. You should keep your balance low on all your cards. The rule of thumb is that you should have no more than half your available credit used up. For example, if you have a credit card with a credit limit of £5000, you should have a balance owed of no more than £2500. Anything more than that and you will have points deducted from your credit score. If you are in high debt or have trouble controlling your spending you should leave your credit card at home. Work with cash only, unless absolutely needed. Even then, with the wide use of debit cards, you can use your debit card as you would your credit card. If you can’t control your use of credit cards, keep your card on ice. Actually put your credit card into a small tub or baggie of water and freeze it in the freezer. The next time you want to buy something on your credit card you will need to come home and think about it first. If you want the item, you will need to thaw out the card. This will help avoid impulse spending, the type of spending experts agree will ruin your credit.
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Copyright 2008 0% Credit Cards UK Guide Articles By Kate Spencer. All rights reserved Bloxham Mill Business Centre, Barford Road, Bloxham, Banbury, Oxfordshire, OX15 4FF Contact Articles