Credit Card 101

Many of us think we totally get credit cards and feel comfortable using them! But what if you aren’t sure how to open one, or how to manage one correctly? Credit cards and the correct use of them can be the key to a secure financial future. To truly learn about credit cards, you need all the facts. Here are Faviana’s tips for Credit Card 101!

Why You Need a Credit Card

paying with a credit card-favianaThe Huffington Post

Let us begin with the why… as in why do you want the credit card? Let us be honest, if you are taking out a credit card so you can go to town shopping your life away (don’t even tell me you haven’t considered it!) that is probably not the most justifiable reason. If you are thinking about building credit for your financial future now that is a more understandable reason for opening a credit card. You see, a credit card gives you a chance to show your financial responsibility. If you have good payment habits, do you pay on time, are you maxing out and building up a ton of interest? These habits give a pretty clear indication of how you will pay back, for example, a bank loan.  

Which Card Is Right For You

shopping trip-favianaThe Odyssey Online

There is a multitude of credit card options out there. There are college cards, cash back options, low-interest rates, some cards will even give you bonuses for good grades…the list goes on and on.

  1. The key is research! Everyone is different and have various financial goals so take some time to really look at what cards line up with your personal goals and means. 
  2. Remember that there are some income or age requirements that will limit the cards you can get. 
  3. Make sure you compare a wide range of potential credit cards do not just jump onto the first one offered. There are tons of places to look at the pros and cons of a specific credit card.  
  4. Make sure you know if you are on any other credit card; being an authorized user of a credit card under your parent or guardian could effect an approval for your own personal credit card. 
  5. If you do not understand certain aspects of a credit card, ask! There are a lot of options when it comes to annual fees, rewards rates, sign up bonus, rewards, etc. you are young and it is okay to not know what all this means, but do not be afraid to ask a  parent, professor, your banker or some adult you trust. 

Maintaining A Credit Card

  1. A $1,000 credit limit doesn’t mean you should keep your card maxed out. 
  2. Making payments ON TIME is crucial.
  3. Making payments more than the minimum is always a good idea, but ALWAYS make the minimum at the least.
  4. Read the fine print! You need to know how much late fees are your annual fee etc. Hopefully, you do this before opening the credit card but always checking to make sure there are no changes is a must.
  5. Check your credit score and see how things are impacting your financial future. (There are apps to help achieve this) 
  6. Always be aware that fraud is a real issue and it can happen to just about anyone so pay attention to your monthly statements and look for any odd charges.

Credit cards can really be beneficial for your financial future, but remember they can also have a negative effect is misused. Opening a credit card is a serious task so make sure you do your research and take the time to make sure you are up for that responsibility.  If you think you are ready then you GO, Boss Babes!

Do you have some tips for correctly managing a credit card? Let us know what you think by tagging us on Instagram @glamandgowns, and Faviana’s Instagram @Faviana_NY and Twitter @FavianaNY. Also, don’t forget to subscribe to our Youtube channel for more fun vlogs @FavianaNYC!



Sydnee is a Faviana Brand Ambassador, to find out how to become a BA click here!


Glam & Gowns is a blog curated with content written by authors from Faviana. Here you will get the latest tips and trends on all things fashion, beauty and lifestyle.


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