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Credit cards may be convenient, but they also be a source of unease. Read on to see how to manage yours savvily. 

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There’s a reason U.S. consumers routinely use credit cards on a regular basis. Not only do they make it more convenient to pay for purchases on the spot (as opposed to having to run to the nearest ATM for cash), but many reward cardholders with cash back on the things they buy.

But while credit cards might make it easier and even more financially rewarding to shop, they also have the potential to wreak havoc on your mental health. A recent survey by Debt.com found that 34% of credit card users feel stressed. That’s up from 21% who said the same in 2022.

Also, this year, 43% of credit card users said that the simple act of looking at their monthly statements was a source of stress. Last year, only 39% said the same.

If credit card usage has been a source of stress for you, one option is to simply stop. There’s no rule stating that you have to have a credit card to function in society. But if that’s not feasible or desirable, then here are some steps you can take to keep calm in the course of using credit cards.

1. Know your credit card due dates

Some of the stress related to credit card usage might stem from worrying about how you’ll pay your bills. So it’s very important to have a sense of when your bills are due. You can use that information to swipe your credit cards strategically.

Let’s say you have the same spending limit on two different cards, only one has a billing cycle that has you owing a payment a week earlier than the other. If money is tight, it would make sense to use the card with the later due date in a situation where you can’t put off the purchase in question.

2. Check your balances weekly

When you have no idea how much you’ve racked up on your credit cards, having to look at those monthly statements might send you into a panic. To avoid that, check your balances weekly. Not only will that give you a strong sense of the final bills you’ll be looking at, but it might prompt you to pull back on spending if those balances are climbing higher than what you’re comfortable with.

3. Set a budget so you don’t charge too much

Following a monthly household budget could make it easier to avoid credit card debt. If you know how much you can afford to spend in different categories, from food to apparel to personal care services, then you might avoid a scenario where your credit card bills are higher than what your paycheck can manage.

You can set up a budget on a laptop using a spreadsheet or even go old school with pen and paper. And if you’re a little more savvy than that, using a budgeting app might be a good bet.

4. If you have to carry a balance, choose the card with the lowest interest rate

These days, inflation is forcing a lot of people to fall back on their credit cards. Even if you do your best to spend carefully and track your balances, you might end up in a situation where you can’t pay off a given credit card in full by the time its bill is due. But if you’re aware of what interest rates your credit cards charge, you’ll be able to minimize the financial pain in that scenario by opting for the card with the lowest one.

It’s easy to see why credit card users are stressed in general — and are more stressed these days than they were a year ago. But if you follow these tips, you might manage to alleviate some of your stress — and avoid or limit your debt in the process.

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The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

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