8 Ways to Become Smart About Your Credit Cards
2. Maintain an Emergency Fund
In this highly competitive and unpredictable world you never know when a crisis situation may arise. Stopping a crisis is not in your hand but few cash in hand will definitely make it easier to handle the crisis wisely.
Many consider that credit cards certainly help in medical and sudden emergencies, but it is unwise to relay upon this idea. Hence, it is very important to have some savings equivalent to seven to eight months of expenses. Make sure you have an emergency fund ready whenever require.
3. Use Your Card According To Your Repayment Capacity
Try to use your credit cards only for purchases that you can afford and repay immediately. If you use your credit card for purchases that are too expensive, you can put yourself in some serious trouble.
If you are unsure how long it will take you to repay the entire amount, better not to buy it. Spending more than what you can repay is highly undesirable and could get you into credit card debt.
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