How to Monitor Credit Cards

There are several reasons why consumers should regularly monitor their credit cards: interest rates, identity theft and financial responsibility. Many consumers sign up for credit cards at an introductory rate. However, after your zero percent rate expires, you could unknowingly be subject to a rate hike of 20 percent or more. Regular monitoring may allow you to cancel the card before a rate hike occurs and pay off the balance at the introductory rate. Monitoring credit card activity also allows you to keep track of what you are spending to stay in line with your personal budget and allows you to spot unauthorized charges and rectify your account with your card company in a timely manner.

Instructions

1

Keep all receipts from all credit card purchases. Set up a paper or electronic ledger for each account. Enter the date, amount and location of each purchase in your ledger at least once a week. This will allow you to keep an independent record of all authorized credit card transactions. Keep your receipts in a file folder or other segregated location. You may choose to scan them into your computer using a scanner system.

2

Check your credit card account online each week. All major credit card companies allow card users to sign up for an online account that they can use to monitor purchases and pay bills online if they choose. By doing this, you can keep track of your current interest rate, credit limit and all transactions that have been credited to your account to date. If you find any differences between your records and the credit card company's, notify the company immediately to get the charge removed or to have your account number changed or frozen.

3

Read all statements and documents you receive through the mail and/or email. Not all correspondences from your credit card company are promotional in nature or "junk mail." Cardholders often receive updates pertaining to the terms and conditions of their account. If you are unsatisfied with any of the proposed changes, such as interest rate increases, you may contact your credit card company in writing to reject the changes and close your account.

4

Compare your monthly statement with both your personal ledger and your online account each month. This will allow you to catch any unauthorized charges or statement discrepancies. If your ledger does not match your online and paper billing statement exactly, contact your credit card company in an effort to reconcile the differences or discover more information about a mysterious charge to your account.