When you turn 17, you’re probably dying to get your first credit card. And for good reason – credit cards offer a great way to build your credit score and earn rewards like cash back or travel points. But with great power comes great responsibility, and it’s important to use your credit card wisely to avoid getting into debt. Here are a few tips to help you use your credit card responsibly at 17.
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Make sure you can afford the monthly payments. Before you get a credit card, make sure you have a part-time job or some other source of income to cover the monthly payments. It’s also a good idea to have a savings account in case of emergencies.
Use your credit card for everyday purchases. One of the best ways to build your credit score is to use your credit card for everyday purchases like gas or groceries, and then pay off the balance in full each month. This shows lenders that you’re a responsible borrower who can be trusted to make payments on time.
Don’t max out your credit limit. It’s tempting to spend up to your credit limit, but this is a bad idea for two reasons. First, it can damage your credit score. Second, if you can’t pay off the balance in full, you’ll be stuck with high interest charges. So, only spend what you can afford and be sure to pay off your balance each month.
Avoid cash advances. Cash advances are when you use your credit card to get cash from an ATM. They’re expensive because they come with high fees and interest rates. So, unless you’re in a real emergency, avoid cash advances.
Pay your bill on time. This is one of the most important things you can do to maintain a good credit score. So, be sure to set up automatic payments or reminders so you never miss a due date.
Following these tips will help you use your credit card responsibly at 17 and avoid getting into debt. Credit cards can be a great way to build your credit score and earn rewards, but it’s important to use them wisely.
