1. Always read the fine print of your card holder agreement. We've all heard the nightmare stories that our friends tell us about how they signed up for this credit card and the APR on the credit card is through the roof. Always make sure to read over your agreement.
2. Research your credit card online before signing up. So you know what card you want to sign up for, now research it. Find out what people are saying online. People on the internet write reviews on anything these days. Credit cards are no different. Just type credit card reviews into Google and see what you get back.
3. Don't be fooled by intro APR offers. Yes, it's wise to look for these offers but avoid being tricked. Many times the APR will be overly high after your intro offer ends and by that time you probably owe money on the credit card and that's when you're APR goes into effect. These offers usually benefit the credit card companies and not you...
4. If you're going to get a credit card want not earn some rewards. There are so many different credit card companies partnering with Airlines, hotels, restaurants, etc. that it would be foolish not to try to get some reward out of your credit card. The more you spend the more you get back. Amazon uses a points system with MasterCard. For every $2500 you spend with your Amazon credit card you earn a $25 gift certificate from Amazon.com. Many individuals use there credit cards to accumulate frequent flyer miles. If you're a traveler, why not?
5. Beware of annual fees. Many prestigious cards charge an annual fee to be a card member. It's standard practice for American Express. If you want to be in there little club than expect to pay an annual fee. Many times your annual fee will be in the card holder agreement, so make sure you read it over.
