Make sure that you take a good look at credit card deals; what you don't know can hurt you - financially. When applying for a credit card, some banks will not give you a firm interest rate, or will quote you a number of rates. Before you begin filling out multiple credit card applications, you should know that each credit card company will request a copy of your credit report, and that could negatively impact your credit history. If you apply for many cards just to learn rates, the high number of applications may harm your credit rating. To avoid this dilemma, apply only for cards that tell you their rates in advance.

Credit card companies are also very content to let you pay a small minimum payment. Why? Remember, the longer you take to pay off the charges, the more interest the company will charge you. Over the last few years, credit card companies have lowered the minimum payment to roughly two percent of your balance. It is very tempting to just submit the monthly minimum but, you really should try to pay those balances off quickly!

Also, be cautious of credit card checks that many card companies mail to you. These checks carry interest rates that are higher than your regular charges. Be wary of cards offering low introductory interest rates; these rates only apply to the balances you transfer from other credit cards. New purchases will be charged a higher interest rate. Finally, make every effort to mail your payment before the due date. Credit card companies are now raising interest rates on late balances to as high as 25 percent, and you thought 17 percent was steep!