Tips for Using Your Credit Card

Capital One have recently started a new venture to get into financial education. As a result of the economic downturn in recent years, Capital One have decided that now is a great time to help and educate members of the general public on aspects of credit and finance.

The initiative is called Credit Made Clearer and it has been launched with the UK general public at the forefront of the project. The economic climate of recent years hasn’t been helped with the misuse of credit and in particular credit cards and the credit made clearer initiative has been designed to help people use their cards more responsibly.

Part of the project is to raise awareness in various schools and communities and as a result of this, 15 animated videos have been launched by Capital One, focusing on different aspects of credit that we all will face at one time or another. All 15 videos can be viewed on the Credit Made Clearer YouTube Channel.

The video that really caught my eye is entitled “Tips for Using Your Credit Card” and here are some great tips that we should all follow:

Get to know your credit card

You should always know what the different numbers mean on your credit card. On the front you’ll find your long card number, this is unique to your card. You should also find your start and expiry dates on the front of your card. If you turn your card over you’ll see a 3 digit number which is your CVV, sometimes this is also referred to as your security code or your CVV2 number.

Know Your Credit Card Limits

You should always know what your limit is when spending on your credit card and it’s important to also remember not to abuse your card. Your credit card provider gave you your limit for a reason, and the amount will vary depending on your financial situation. If you are unhappy with your limit you can call up your provider to query it.

Different Cards Do Different Things

There is pretty much a credit card for everyone but remember that each type of credit card has a different benefit. Some will offer periods with free balance transfers and 0% interest, others will offer you fantastic rewards so know your card and know what you can get out of it.

To Save Money Using Your Card

To save money make sure you pay off your balance as soon as you can, it’s also worth paying as much as you can in addition to the minimum payment.

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