Thursday, February 01, 2007

How To Choose A Credit Card

By Anna Goldstein

There's choosing the right job, the right guy, and even the right shoes to compliment your perfect outfit.

There's also choosing the right credit card.

Since money doesn't grow on trees (unfortunately) and you don't always have cash, you swipe away using your plastic card to get the things you need and want. But, the credit card you use shouldn't do more damage to your bank account than your spending habits are already doing.

When choosing a credit card, consider these tips from Martin Lukac:

"Get one with no annual fee and avoid credit cards with a high credit limit. You might be tempted to overspend. Find a card that offers a 0% introductory rate -especially if you don't pay off your bill each month. Just be prepared to change credit cards every 6 months, since that's how long the 0% typically lasts. If you're someone who pays off your credit card each month, opt for a card that gives you cash back or rewards."

Martin strongly recommends paying more than the "minimum payment due" every month.

"If you owe a credit card company $5,000 at 18 percent interest and all you do is pay the minimum every month, it's going to take you 30 years to pay it off (credit card companies don't tell you this.)"

Using your credit card will help you build a strong (and hopefully positive, so you can get a mortgage loan or that car you want) payment history- which means paying your bills on time.

If only money grew on trees...But since it doesn't, making the right credit card choice really does make life a little easier.

Be sure to decide on the best credit card for your lifestyle based on the facts. Then swipe away.

Self in the City,, is an online lifestyle magazine. Get expert advice from nutritionists, fitness trainers, therapists, financial advisors and many other specialists. Sign up for your free (quick tips) e-mail and discover funny, relatable and practical tips to make your life a little easier

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