How to Reduce Your Credit Card Costs

reduce your credit card costs

Instructions

1

If you're looking for a credit card, try to find one without an annual fee. If you already have a credit card with an annual fee, call the phone number on your monthly statement and ask if they'll waive it. Many credit card companies will do so if asked because the credit card
industry is very competitive and they want to keep you as a customer.

2

The worst thing about credit card debt is that you can end up paying interest on your interest. As your interest charges accumulate
and get rolled into your balance, your next month's interest is calculated on the amount you borrowed, plus the interest you've incurred, creating a snowball effect. That's why it's so important to pay as much as you can and not charge things you can't afford to pay off by the end of the month.

3

Big Brother is watching. A late payment on one credit card will raise your interest rates on all your other credit cards and may raise your car insurance premiums as well. Credit card companies keep a close eye on your credit history. A late payment makes you a higher risk, and people who are higher risks pay higher rates.