Boost Credit Scores through These Simple Steps
Juggling multiple credit cards for different purposes can be difficult. It will be harder to keep track of spending in addition to the bill due dates and rewards attributed to these cards. Managing credit cards correctly can also help maintain a good credit score. Although it is ideal to put all expenses on one credit card, it is easy to become less diligent with finances and get mixed up with your finances. Here are some tips to keep track of multiple credit cards. Using one credit card for specific purposes is ideal as it will help individuals with very essential management steps.
It’s sounds easy, but why is it easy to go against this essential rule? Don’t just use the credit card and then and then put off crunching numbers. While spending too much on low interest credit cards will not necessarily break the bank, higher interest rates often make the budget a crucial part of correcting excessive spending habits. All expenditures should be recorded even if you haven’t yet paid your credit card bill. This will be crucial for managing multiple cards and staying organized.
- Record purchases
This may sound difficult, but it will eventuall become a habit. It’s a good idea to implement tracking methods that work. This is especially important if spending regularly. There are many progams to help one do this, however a simple way to do this is to jot down all purchases in a notebook. It is important to realize that the credit card company will not keep track of your purchases for you. For those starting out in boosting their credit score, a notebook is recommended unless spending patterns are complex. In which case, one should use an app or software program.
- Keep Up with Rewards
Once individual purchases are recorded, regular transfer to a spreadsheet should be in order. This is the part of the plan where an online program can assist in tracking many parts of the budget. Now, putting in your rewards, one can see what type of trade off is occuring between what has been spent, and potential purchase power. Many cards give things like cash rewards for certain expenditures. Adding up these rewards will enhance purchase power down the line when planning for bigger purchases. Low interest credit cards with lots of reward power is ideal here.
- Set up payment alerts.
This is another big tip if you’re juggling multiple cards. Not paying a credit bill can result in higher fees and even lower credit scores. Juggling a bevy of payment due dates is one of the most confusion aspects of owning several cards. Payment alerts, unlike automatic payment, ensure that you are able to plan ahead of time to pay a bill. These alerts can come through text or even by email, however, use a system or device on which you are sure to see them. For example, don set up a payment alert that will wire through to a cell phone rarely used. The motivation to pay off your cards means proactive management.