Money Tips for Tomorrow

My first blog is going to be one of "common sense". Many people have several credit cards hidden away in their wallets and purses. Many get their first one with the mind set of "I'm only going to use this for emergencies." That one card leads to another and before you know it you have 4 to 6 credit cards all with a balance on each one of them.
Many people then only pay the balance due on each of them. This s the biggest mistake people make and this is why I made this my first blog. It's your money so you should know which card has what interest rates. The first rule of credit cards that the companies don't want you to know is that they give you those cards because when you use them it makes you feel like you are not using money. Every time you use this card and only pay the minimum due just keep in the back of your head that by the time you pay your bill you could have bought two of whatever you just bought and God forbid if you happen to be late on the payment you could end up paying up to 26% interest. First thing you should do besides not getting a credit card is never be late on the payments. Here is the deal. If I loaned you a $100 at 15% interest a month and told you that you only had to pay me $15 a month until it is paid off, you would always owe me $100. Now add another $100 to that. Don't get me wrong. A portion of your payment will go towards the money you spent on the card but most of it goes to the interest you owe. You can see where this is going!
You should also know what the interest rate is on each card. No matter what the balance is on each of your cards always pay off the card with the highest interest rate first. When that is paid off shred the card. YOU DON'T NEED IT!
Always read the fine print. Most of the time that is the most important part of the credit card deal. that is why it's so small. Many don't realize it but before you even use the card you already owe the company $100 plus whatever interest THEY set.