What to Know Before Getting a Credit Card
In the realm of personal finance, credit cards carry a whole lot of negative associations -- unrestrained spending, high interest rates, costly fees, and problematic levels of debt, just to name a few.
But the truth is that if you use credit cards correctly, you stand to benefit in the long run. If you're new to the revolving debt game, there are certain things you should know before applying for a card. For one thing, you'll need to decide whether you're willing to pay an annual fee, and see what interest rates you qualify for. You'll also want to commit to keeping the balance you carry from month to month to a minimum, and pledge to yourself that you're going to pay your bill on time every month. Here's some more information you'll need prior to obtaining your first credit card.
We tend to associate credit cards with convenience: You swipe your card, and you get what you need. But beyond that, they offer numerous benefits, some of which are less obvious than others.
Source: Fool.com
