As we move closer and closer to a cashless society, it's second nature to throw down a credit card, charge small items on your phone, and subscribe to all kinds of services and products. It's become so easy to spend. The result is that credit card spending can quickly go spiraling out of control. 

Here are a few best practice tips that make managing credit easy and doable.

Know your interest rate

It is common practice for credit card companies to offer low temporary "teaser" interest rates. Many people go for the low initial rate and are not aware that this rate can quickly increase leaving you with high interest rate debt that is hard to pay off.

Maintain a low credit balance

There are many positives to keeping a low balance, one of which is that it improves your credit score, which is helpful when making large purchases such as homes. Another reason to keep your credit balance low is that financial institutions, such as banks, use it to determine your rate of interest. The lower your balance, the better.

Pay your bills on time

This is a profitable habit to practice as you avoid losing money to late fees and extra interest charges on your balance. Paying on time also helps to build a positive credit history.

Lifestyle choices

Everyday expenses such as coffee, subscription services, and ride hailing services can add up when paid for by credit. Using cash or a debit card to purchase these items is an easy way to keep your credit use low. 

Pay Off Your Cards

Because all credit cards carry an interest rate, paying your balance every month keeps your money where it belongs, in your bank account. This is another way to improve your credit score.

Even if you find yourself with poor credit today, don’t worry, you can always change your spending habits to include the tips above. Over time, you’ll see your credit score improve.