When used responsibly, credit cards are a convenient way to make a purchase. However, misuse of credit can wreck your financial health and greatly hinder your ability to secure housing, a vehicle, and sometimes even employment. If you want to stay out of trouble, you’ll need to keep a close eye on your spending and payment habits.
Your credit score will surely take a hit if you’re not responsible. In fact, the total amount you owe on your credit cards accounts for 30% of your FICO score. So don’t be reckless when it comes to credit balances. Here are seven credit blunders you should avoid.
Don’t fly off the handle if you can’t get a credit issue resolved. A debt collector or credit card representative may not be as helpful if you scream or spew expletives. Try to stay calm. If you feel your issue is not being handled properly, file a complaint with the Consumer Financial Protection Bureau.