If you’re trying to figure out how much you should spend on your credit card, you’re not alone. Many people have trouble budgeting for their credit card expenses, and it can be tough to know how much to charge without going into debt.
Luckily, there are a few simple guidelines you can follow to help you figure out how much you can afford to spend on your credit card each month. By following these tips, you can ensure that you’re using your credit card wisely
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How much should you spend on your credit card?
The amount you spend on your credit card each month is important, but it’s not the only factor to consider when managing your finances. You also need to think about how much you can afford to pay in interest and fees.
Here are a few general guidelines to help you decide how much to charge on your credit card each month:
-If you pay your balance in full and on time every month, you can generally charge as much as you like without accruing interest or fees.
-If you carry a balance from month to month, aim to keep it below 30% of your credit limit. This will help you avoid paying interest and fees.
-If you have a rewards credit card, charging more can help you earn rewards faster. Just be sure you can pay off your balance in full and on time each month.
Of course, the best way to manage your finances is to create a budget and stick to it. By tracking your spending and setting limits for yourself, you can avoid overspending – no matter how much money you have available on your credit card.