When we find our credit card balance too high, that’s where we panic, especially when our job pay isn’t enough to cover it all. We desperately seek help, often from credit counselors. But we end up having an additional bill to pay for though we a higher chance to get the bills paid.

Credit management is a course we have to learn before getting involved in credit cards. We don’t have to go to a financial course in a school to learn this. We have enough resources to get our knowledge from. Books, one-day seminars, internet and magazines all of them offering enough topics for the syllabus.

I could summarize some points in this article by telling you the greatest mistakes of handling a credit card and what to do about these mistakes.

Minimum Balance is not enough, always. Okay, you are required to pay a minimum amount and you pay the minimum amount. That’s fine but do you know that paying minimum amounts extends the credit duration and that you may be charged with higher interests for the coming months? Most credit card companies heighten up the interest rates even without a warning and the new financial reform is not placing a cap on these interest. But if you pay a large amount, which is enough to handle and allot for the card, you will be saving more interests and will get you closer to being freed from your debt.

Use Credit Cards Whenever You like. Credit cards are like money, we know that for a fact, but using them to buy your everyday gasoline or below-ten-pieces groceries can get you to a double amount based on what you paid. Charge to your cards only those which are incidental and involves a large amount. Utility bills and hotel room expenses are a couple of instances.

Availing of Cash-Back Credit Card Offers is it too much. Too much is too many. Your credit card has a 5% rebate on every $1,500 charge you make. If you are not a shopaholic, this card is not for you. Coming up with as large charge like that can be harmful especially when you just have to buy something else just to reach that amount. Get a regular credit card and you will stay on the safe zone.

Not obtaining insurance. Okay this is not out of the topic. When you get into accidents, usually the medical expenses are large. So what do you do? Give them your plastic card. Later on, when you receive the bill, you will regret that you should have bought insurance. So before that happens, get insurance for your health, car or home.

Debt plays a big role in our lives. But if we get too tempted and we lose to them, they will have another role in our lives. This time, it’s vicious and dangerous.

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