| The best way to avoid credit problems is to be disciplined when using them. Make payments on time. Do not procrastinate!Be aware of the monthly payment due date and pay in time for your payment to be delivered. Its the day your payment is received that counts - not the postmark date. Give the post office sufficient time (five business days is a good rule of thumb) to deliver your mail. Late payments may mean late fees, higher interest, and/or a negative mark on your credit report. If you missed the due date because of an uncontrollable situation, call your card issuer (VISA, Mastercard, etc) before your mail your payment and ask for extending the due date; it works in many cases. Contact the card issuer before problem occurs. Call your issuer right away if you cant make a payment. Many times you can work out a payment arrangement, either directly with the issuer or through a counseling agency. Check your mail and sort them out everyday. Go through the mail everyday and dont let unopened envelopes pile up. All important documents and bills should be placed in your cills box. Send your payment as early as possible if you carry a balance.
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If you carry a balance, send in your payment as soon as possible after your receive the bill. Most issuers calculate interest on a daily basis, so he sooner the bank receives, the less interest you will pay. Monitor your credit card bills and compare them to your budget every month, making spending adjustments when necessary. In general, your total monthly debt should not exceed 36 percent of your monthly income. Using your gold credit cards wisely will help you keep your debt within manageable limits. Preparing for planned and unexpected expenses is the best way to guarantee that your credit history remains strong over time. Platinum credit cards are useful but it comes with responsiblity.
Cancel unnecessary Visa or Mastercard credit card accounts. Too many credit cards can hurt your financial reputation, even if you dont use them even if the card is a Gold Credit Card, Platinum Credit Card, or Business Credit Card. Unused Visa credit cards or Mastercards can affect your chances because lenders look at your "available credit," whether its used or not, when determining whether or not you are overextended.
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