Managing Your Credit Cards To Avoid Trouble (NAPSA)—Whether you're getting your first credit card or applying for another one, it’s important to understand how credit cards work, and avoid the dangersof using them unwisely. The American Financial Services Association Education Foundation (AFSAEF)offers these 10 tips from the Foundation’s new brochure, “Understanding Credit Cards.” * Do not charge more than you can afford to repay. Pay yourbill on timeto avoid fees and a possible increase in your cards’ interest rates. Be aware that paying only the minimum each month may mean it takes you a long time to pay off your balance. Maintain the best credit record possible so you will be offered the best rates. * Decide in advance how you will use your credit card—whether it’s for emergencies only or for routine purchases. Understand the terms, condi- tions and costs for a credit card before you select one for your use. Know where yourcredit card is at all times; don’t leave it lying around. Make a central record of your credit cards and keep them in a safe place (other than yourwallet). Keep track of your credit card purchase receipts so you can check them against your monthly statement. * Destroy receipts and state- ments once you no longer need them. -- a ‘ 7 A\e Paying credit card bills on time can help consumers avoid increases in their credit card’s interest rates. The free brochure can be downloaded from the Foundation’s Web site (www.afsaef.org). “The brochure can help consumers understand how credit cards work, become familiar with common terms offered with cards, take steps to protect themselves against fraud and avoid the dangers of using credit unwisely,” said Susie Irvine, AFSAEF’s president andchief executive officer. There are worksheets to help consumers evaluate their financial situation and comparison shop for a new card, she added. Founded in 1990 and based in Washington, D.C., AFSAEF devel- ops education materials and programs to help consumers become financially literate. Among its most recent initia- tives is MoneySKILL (www.money skill.org), an online personal finance curriculum for high school students. AFSAEFF is affiliated with the American Financial Ser- vices Association.
