3 Credit Card Tips for Teenagers

It takes until the age of 18 for one to get their own credit card. However, some teenagers get their own earlier than usual, and are prone to making mistakes that can cost them financially.

Spontaneous buyers, they’re called. These spending habits can prove to hound them even until their seventies, and that’s a long time to be living with debt.

So, here are 3 credit card tips for first-time users:

#1: Find out which card is right for you

Most teenagers opt for cards with a low annual percentage rate (APR) but that isn’t always the right card for you. One reason for this is because they won’t know what their APR is until their application is processed. Looking at rewards programs, if you will pay your bills regularly, is another option that can benefit you otherwise.

#2: Monitor card activity

This is a common mistake that most first-time users make. Some might not monitor activity at all while others will don’t it as often as they should. The first thing that you must do, if you want to stay on top of things, is to set up mobile or email alerts for every transaction that takes place. Others who don’t find the need to do so can check their account every other day. It only takes a few minutes. This will save you from the issue of identity theft that is commonplace these days.

#3: Spend within your credit limit

Spending within one’s limit is a big challenge considering how people would like to be seen living large or for that matter, not having to deal with the embarrassment of being declined in front of their friends.

It’s a known fact that teenagers tend to spend way over their credit limit and don’t mind incurring over-limit fees before they pay off the balance.