Smart Credit Card Habits That Pay Off

(2 Minute Read) — Credit cards can be powerful tools for building credit, earning rewards, and managing expenses—if you use them wisely. Whether you’re new to credit or looking to level up your habits, mastering the art of credit card management can help protect your financial future and boost your credit score. Let’s explore the best practices and smart credit score habits that can keep your card working for you.

1. Always Pay More Than the Minimum (When You Can)

The minimum payment is just that—the bare minimum. While it keeps your account in good standing, it also means you’ll pay more interest over time and take longer to pay off your balance.

Best practice: Aim to pay your statement balance in full each month. If that’s not possible, pay as much as you can to reduce interest charges and improve your credit utilization ratio (a key factor in your credit score).

2. Set Up Auto Pay for the Minimum Payment

Even the most responsible cardholders can forget a due date. One late payment can ding your credit and lead to late fees.

Pro tip: Set up auto pay for at least the minimum amount due. That way, your payment is never late, and your credit score stays protected. You can still log in to pay more manually, but this safety net helps avoid accidental damage to your credit.

3. Keep Your Credit Utilization Low

Credit utilization is the percentage of your available credit you’re using. Experts recommend keeping it below 30%, and under 10% is even better for top scores.

Example: If your credit limit is $5,000, try to keep your balance below $1,500—and ideally under $500.

4. Use Credit Strategically, Not Emotionally

A credit card isn’t a license to overspend. It’s a financial tool, and like any tool, it works best with a plan.

Smart spending hack: Stick to a budget, avoid impulse purchases, and track your spending to ensure you’re only charging what you can comfortably pay off.

5. Review Your Statements Regularly

Mistakes and fraud happen. Review your statements each month to catch any unauthorized charges or billing errors early. There is typically a limited time window to dispute charges, so act quickly if something looks off.

Reach out: Contact us if you suspect you’re a victim of fraud or if you notice any unauthorized payments.

6. Don’t Close Your Oldest Card (Unless You Have To)

The length of your credit history matters, so keeping older accounts open can help your credit score.

Pro tip: If there’s no annual fee and the card isn’t harming your financial habits, it may be worth keeping it open, even if you rarely use it.

7. Use Your Rewards Wisely

Make sure you’re using your Unitus Rewards in a way that aligns with your financial goals.

Example: Cash back can be applied to your statement or used to boost your savings. We encourage you to build an emergency fund with $400 in rewards so you can be prepared for the unexpected. In fact, one of our Social Responsibility Commitments is to help 10,000 Unitus members reach this goal!

Managing your credit card well is about more than avoiding debt; it’s about building a healthy financial foundation. By making more than the minimum payment, setting up auto pay, and keeping your usage in check, you can protect your credit and set yourself up for long-term success.

Need help improving your credit habits? Unitus offers free financial wellness tools, budgeting support, and credit counseling resources for members. We’re here to help you succeed—every swipe of the way.