How to avoid paying high interest on your credit card

Are you anxious whenever you receive your monthly credit card statement? The interest rate imposed could be bolstering your credit card payable significantly. This should not surprise you. Through the years, high rates imposed on plastic cards have always been blamed for consumers’ uncontrollable credit card indebtedness.

You should be aware, though, that you could always avoid paying high interest on your credit card. You could never possibly force your credit card company to impose lower rates. But you could control your spending so you would not incur the fees.

Have you considered not using your plastic card at all? You would not be charged with high interest payment if you do not incur any card balance. However, if you rely on the convenience of using the product (especially on online transactions) you may not have to dispose your card. You could still avoid paying high interest fees. Here are some other ways.

  • Do not use your card for making hefty and highly expensive purchases if you do not intend to repay the amount right away. Experts always advise consumers to settle their monthly credit card bills in full so that no amount would be left in the balance and no interest payment would be required further. Control your spending. Buy only those items that you could afford to pay in full.


  • It is always tempting to settle just the minimum required payment each month. In reality, it is not advisable. If you want to avoid paying high interest rates, you would not settle your credit card bill partially. Paying in full may hurt in the pocket but in the long run it is much more practical and logical. Long-term costs of maintaining credit card balance could be staggering. Remember that interest rates imposed are often in double digits. Think about how much money you are charged for interest payment each month.

  • Know your credit card balance statement cut-off. On or after that cut-off date, the credit card company imposes interest charges and other fees. If you could settle your credit card purchases before that date, you would not be charged for any interest or fee at all. This is strategic although it may require great discipline and more monitoring. To do so, record each card transaction you make. Get the total amount before the cut-off date and immediately settle it.


  • It could be advisable to set a lower credit card spending limit so you could resist the temptation to overspend. Always be mindful of your card purchases. Lastly, do not make delayed payments as doing so would make you incur more charges from penalties.


Credit cards could be helpful and convenient especially if you are fond of online shopping and cashless physical transactions. However, be always mindful of the high interest rates and fees imposed by credit card firms. If you could avoid incurring high interest payments on your cards, you could be sure you would be spared from possible credit card troubles in the future.