These 3 Credit Card Tips Help Me Control My Spending and Debt

When I first started as a financial coach, I thought anyone with credit card debt must be a huge spender. Boy, was I wrong. Many of my clients have been using credit responsibly for years, but all it took was one accident and that one failure to sink them into debt.

It doesn’t take long for debt to start piling up. If you can’t pay off your credit card balance in full and on time, interest will accrue, making what you owe even more expensive.

Your balance can grow as you swipe your card for everyday purchases. When I stopped using my credit cards and started focusing on paying off my student loans, I noticed a huge difference in how much I spent, how often I shopped, and how expensive my purchases were. Along the way, I developed three foolproof strategies to help you keep your credit in check. That’s why I call myself the queen of managing your credit.

Here’s what you can do.

1. Pay your balance in full every week

You will find it easier to manage your budget if you start paying off your credit cards on a regular basis. weeknot just every month. I recommend doing this until you get the hang of saving and investing, although it can be a habit that sticks with you in the long run.

When you pay off your balance each week, it’s easy to see how much money you have Actually you have to cover your expenses and how much you have left to spend. Also, you won’t be surprised by a high credit card balance that you’ve waited a month to pay.

For example, I diligently pay off my credit card balance every Friday. That means that by the time the weekend rolls around, I’ll know if I can afford to splurge a bit or if I should be more careful with my purchases.

2. Don’t just chase credit card points

My clients found it difficult to stick to a budget when they focused on collecting rewards points on their credit cards, especially if they had to spend more to meet their points goal.

I admit that I used to love collecting points for free flights, hotel stays, and cash back. When I stopped obsessing over points and started focusing on investing in real assets like dividend ETFs, high-yield savings accounts, and CDs, my financial mindset changed.

Credit card companies make it seem like they’re doing us a favor by offering points and rewards for making purchases. I don’t think you should get rid of your credit cards entirely, but consider whether they help you manage your money to achieve financial independence.

You may be skeptical, and that’s fair. I did the math for my clients. In the first few months of 2023, I earned $154.21 in credit card bonuses. In the same period, I earned $10,005.27 in passive income from my investments.

3. First, check the cash flow in your accounts

Credit cards make budgeting harder if you combine all your essential and non-essential expenses on a card. Separating your bills and other items can help you determine whether you have enough cash to cover all your expenses. When your bank balance is low, you’ll be more disciplined about waiting before you charge your card for more fees.

If you simply clear your statement each month on the due date, you won’t have a clear picture of your bills and expenses. Since you can’t avoid paying rent, utilities, and insurance, it’s useful to debit these bills from your bank account rather than charging them to your card.

Here is an example of some monthly bill amounts that may have been automatically deducted from your checking account.

Bill	Sum
Energy	100 dollars
Water	50 dollars
Cell	100 dollars
Rent	2000 dollars
Car insurance	160 dollars
Total	2410 dollars

Let’s say your monthly net income is $4,000. If these expenses are taken directly from your checking account balance, you’ll know you have $1,590 left. That means if your monthly credit card balance is $2,500, you’ve already overspent.

How to Get Your Credit Card Debt Under Control

If you are stuck in credit card debt, make purchases with your debit card to avoid adding more to your balance. Then consider making only some purchases on your credit card to keep your balance low. I would recommend making small purchases on your card and paying them off in full each week to get into the habit.

You can also stop making purchases on your credit card until you have paid off your balance in full. I have had clients who froze their credit cards (literally frozen them in a block of ice) until their debt was paid off. Then they went back to using their credit cards later, with a healthier budget and financial mindset.

I’ve seen people with a dozen credit cards, and that’s rarely a good sign. I personally stick to two—one for business, one for personal—and my credit score consistently stays above 800. You don’t need a stack of cards to build credit, but you do need to be smart about how you use them if you want to avoid debt.