Here are 4 tips to help you avoid those nasty credit card pitfalls. It is essential to remember that your credit rating score is calculated partly based on usage ratio. This ratio is determined by dividing your full debt total with the total available credit on your card. In this regard, it will be to your best of interest to have a higher ceiling limit so that you don’t end up using too much of the said utilization. Here are some tips to help you avoid the many pitfalls you may encounter when using it.
Choose a credit card and use it wisely. Look out for hidden fees. No annual fees are the best. Higher debt limits help you with your usage ratio and your fico score.