7 Tips for Using Credit Wisely

1. Plan ahead to make sure you can afford it. Before seeking additional credit determine what expenses you already have and work the new credit payments into your budget.
   
2. Make sure that the credit you are seeking doesn’t outlive the life of the purchase.
   
3. Before signing any credit contract make sure you understand the total cost of borrowing. If you don’t understand any part of the contract, keep asking questions until you do.
   
4. Always pay your bills on time to keep your credit history in good shape.
   
5. Only make purchases with a credit card knowing you have the funds available to payoff the balance by the due date.
   
6. For large purchases reduce the amount you need to borrow by saving a larger down payment.
   
7. Whenever possible save for purchases and avoid using credit.