Following up on yesterday’s chat about small expenses, there’s one major trap that catches a lot of us early on: the minimum payment trap.
Traditional banks love making that tiny minimum payment look like an easy win. And while paying just the minimum does keep your account in good standing, carrying over the rest of your balance means you get hit with high interest.
A huge myth is that you need to pay interest to build credit. You don’t! To really level up your score (and keep your hard-earned money in your pocket), the goal is paying that statement balance in full.
An easy hack? Put a small subscription on auto-pay, and set your account to clear the balance automatically every month. Set it and forget it.
What’s your go-to strategy for staying on top of your payment due dates? 