Credit is a Tool, Not a Crutch
Credit cards offer powerful benefits like fraud protection and rewards, but they are also the sharpest trap in the bank's arsenal. Used correctly, you pay $0 in interest. Used incorrectly, you pay 25%+ APR. The banks are betting you'll slip up. We're here to make sure you don't.
How Credit Cards Work
Understanding APR, billing cycles, and why the minimum payment is a mathematical trap.
Credit Card Tips
Best practices to maximize rewards and maintain a perfect payment history without paying interest.
Improve Your Credit
Your score determines your financial future. Learn the factors that impact it and how to boost it fast.
Avoid Bank Tricks
From 0% intro rates with deferred interest to balance transfer fees, spot the traps before you click apply.
Key Credit Terms
APR (Annual Percentage Rate)
The interest rate charged on unpaid balances. Credit cards often have APRs over 20% or even 30%. It is brutally expensive debt.
Grace Period
The window (usually 21-25 days) between the end of a billing cycle and the payment due date where no interest is charged if you pay in full.
Credit Utilization Ratio
The percentage of your credit limit you are using. Keeping this below 30% (ideally below 10%) is crucial for a high credit score.
Statement Balance
The total amount you owed at the end of the last billing cycle. Paying this exact amount by the due date avoids all interest.
Minimum Payment
The smallest amount you can pay to avoid a late fee. It usually covers interest + 1% of principal. Paying only this guarantees you stay in debt for years.
Cash Advance
Withdrawing cash using your credit card. There is no grace period (interest starts immediately) and usually a high upfront fee. Avoid these.