At Picatinny FCU, we’re committed to helping you build and maintain healthy financial habits that will set you up for success! Managing your credit card effectively is a crucial aspect of your overall financial wellness and can significantly impact your financial health.

Here are some tips and tricks for establishing healthy credit card habits in 2025:

1. Pay on Time: Timely payments are crucial for maintaining your financial health. Late payments can lead to additional fees and higher interest rates that increase your overall cost of borrowing. Moreover, late payments are reported to credit bureaus and can negatively affect your credit score for years. Avoid these pitfalls by setting up reminders or automatic payments.
2. Know Your Limits and Set a Monthly Budget: By creating a budget that includes credit card payments, you can prevent yourself from overusing the card. Keep your balance below your credit limit to maintain a healthy credit utilization ratio. With our enhanced card features, you can now set daily spending limits and track how much you can charge to your credit card.
3. Avoid High Credit Utilization: Your credit utilization ratio is the percentage of your available credit that you’re using and can affect your credit score if too high. If you’re nearing that limit, consider paying down your balance or requesting a credit limit increase to improve your utilization ratio, this can help boost your credit score over time.
4. Review and Monitor Your Statements: Regularly reviewing your credit card statements is essential for staying on top of your spending and ensuring there are no errors or fraudulent charges. With our enhanced card feature you can monitor spending in real-time, which can help you catch any discrepancies right away.
5. Pay More Than the Minimum: Paying only the minimum can result in ongoing interest charges and long-term debt. The holiday season credit card debt is at an all-time high, as stated in the CNBC report. To take control of your debt, set a goal to pay more than the minimum payment each month. Or consider applying for a PFCU short-term loan to consolidate your holiday spending into a lower interest rate – this will assist you in getting your financial goals back on track!

We are committed to empowering you with the knowledge and tools necessary to build and maintain financial habits that can pave the way for long-term success. By establishing these healthy credit card habits, you can enhance your financial wellness in 2025. Together, we can make this year the best one yet!