Make Credit Cards Work For You: The Importance of Credit in Your Every Day World

Make Credit Cards Work For You:  The Importance of Credit in Your Every Day World

Everyone knows it’s important to have good credit.  From vehicles and homes to every day purchases, good credit gets you credit-approved with better rates and better terms.  This is true for credit cards too.  So how can you make credit cards work in your favor?


Use credit cards to make everyday purchases.  Go through your budget calendar and review regular weekly or monthly purchases.  Find an expense or recurring bill that you’re comfortable starting to pay on your low-rate credit card, and make sure you’ve included your card on the same financial calendar to make monthly payments.


Plan to pay off your credit card balance every month. Making a regular monthly charge on your card and paying it off shows great discipline to your credit holders.  On-time payments will improve your overall credit score and can result in an increased limit, in case you need to make bigger purchases in the future.  If your wallet is tight one month, it’s okay to just pay the minimum balance!

Keep your oldest credit cards open. A big myth circulating financial responsibility is that closing older credit cards that are paid off is a good thing for your credit score.  Keeping your oldest line of credit open and active shows loan grantors that you have an established payment history.  The longer they can look back to see your on-time payments, the better.


Choose a card that gives rewards. There’s nothing better than being rewarded for having good financial habits.  Selecting a credit card with low-interest and redeemable points will encourage responsible spending and will usually offer additional rewards at different times of the year for making specific purchases.


Not sure if you’re ready to have established credit or need assistance with rebuilding your credit?  Making big financial decisions don’t have to be overwhelming.  Your credit union is ready to take those steps with you—contact your local branch manager today.


*Statistics found for American cardholder ownership found on

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