Use it well!

• There's an art to using a credit card. Unfortunately, many people learn how, the hard way. No one can get by forever by borrowing. You need to consider whether you are using your credit cards to make an unreasonable budget plan work.

Stay within your limit!

• Don't use credit cards to finance an unaffordable lifestyle. If you are constantly using your card and are unable to pay the bill in full each month, you're spending too much. It is too easy to charge up to your credit limit. A rule of thumb is that you should not owe more than 40% of your monthly take-home pay- and that 40% includes your monthly rent or mortgage payment.

Put your card to work!

• Time your large purchases to enjoy the maximum "interest free" time period. Make those large purchases a day or so before your billing date, and the purchase will not post until the next billing cycle. This way, you will have 40 to 60 days before a payment is due on that purchase.

Pay your dues on time!

• Make your first payment a full payment, or at worst, a minimum payment before the due date. The quicker you pay off your debt, the less you pay for the privilege of having the credit card issuer cover your debt. Paying little now means paying a lot more in interest later. But pay on time, and you will establish a good credit history. If you fail to make timely payments, you will incur finance charges, and most likely, a "past due" fee, which is added to the amount you already owe.

Keep your debt under control!

• Credit card debts can easily spiral out of control. If you are already in financial straits, don't make it worse by using credit cards to cover day-to-day expenses. More credit card debt on top of what you owe already will only make things worse. Using a cash advance on your credit card to pay your utility bill will not only add to your debt burden, but also to the interest you owe on other debts.

Try to pay more than the minimum!

• It's best to not develop a habit of making just the minimum payment each month. If you pay only the minimum, chances are that you will not be paying down your debt, or that you will be paying it off very slowly especially if you continue to make purchases every month.

Don't let yourself get teased!

• Don't run up your credit card balance because you are enjoying a temporarily low "teaser" interest rate. Money borrowed during a temporary rate period of 6% is likely to be paid back at a much higher permanent rate of 15% or more, especially if you've made the minimum payment during the teaser period.

Fight against penalties!

• Lenders may waive a late payment charge or default rate of interest, but they'll usually do it one time only. Sometimes a payment is accidentally delayed perhaps due to a mistake by the postal service. It is worth calling the card issuer to ask for a waiver if you've accidentally made a late payment or have a good excuse.

Don't buy credit card services that cost more than they should!

• Scrutinize the special services, programs and goods that credit card lenders are eager to bill to your card. You are likely to receive numerous advertisements from your credit card lender, such as credit card fraud protection plans, credit record protection, participation in travel clubs, term life insurance and other offers. Before you agree to a purchase, be sure you've studied the true benefits of the offer. This also applies to the offers for trinkets commonly found on the back of your statement's return envelope.

Set your own limit!

• Beware of unannounced increases to your card's current credit limit. Some lenders raise your credit limit because they believe that lifting the ceiling will encourage you to carry a bigger balance and pay more interest. You need to evaluate whether you can actually afford more credit based on your current and anticipated financial condition.