Credit cards are useful financial tools that can help you manage cash flow but can run you into debt if you are not careful. Before you swipe your first credit card consider the following do’s and don’ts, so you gain all the advantages without the headache of a tarnished credit rating.

Do’s
There are several actions you can take that will help you manage your credit card. Follow these rules:

• Try to repay the whole amount owing by the due date to avoid interest mounting up
• Switch up your payment methods with debit cards to keep your credit owing manageable
• Be selective about the credit card you apply for
• Arrange your money so you can reap credit card benefits like frequent flyer points by paying on your credit card and then transfer the money across to your credit account

Don’ts
Credit cards can accumulate debt with ramifications for your credit score and loan applications down the track. Avoid these standard blunders, so you do not end up regretting your credit card:

• Do not pay the minimum repayment amount as you will incur interest which can become unmanageable if it compounds weekly or even daily
• Do not have multiple credit cards if you are new to credit as managing accounts and deadline dates can be difficult
• Do not max out your card