Under the right circumstances, having a credit card ^[2] can be a great thing. But it has a double edge that can cut you when you least expect it and, though I’m not one of those people who think credit cards ^[2] are the latest incarnation of Satan himself, using one responsibly isn’t always easy. I’ve personally made ALL these credit card mistakes, but I’ve learned from them and don’t make them any longer.

^[3] Mistakes with credit cards

• Paying less than the minimum payment
• Using your credit card ^[2] for everyday items
• Getting cash advances with your credit card ^[2]
• Paying medical bills with your credit card ^[2]
• Thinking the “rewards” will eventually pay off

Paying just the minimum payment … or less

Paying only the minimum payment or less is a guaranteed way to be in debt bondage for decades. Not only will your principle balance decrease by only a few pennies each month (if at all), but the despair of seeing that balance never really decrease will drive you crazy. I know it did for me.

Cut back in other areas and pay extra on that card

Once I began cutting back on other expenses to through as much cash at that balance as possible, I began to see real progress and generated some momentum in my own mind.

Using your credit card for everyday items

I can remember using my Discover card at Walmart when my wife and I were first married. We couldn’t get out of that store without spending at least $40, and that was in 1990! I would regularly use my credit card ^[2] when my debit card wouldn’t “go through.” That should have been a flashing sign for me, but I ignored it. We used credit to buy groceries, household items, and other what-nots. Today, I couldn’t point to anything we bought with that credit card.