As of late, I’ve been noticing my credit score on the rise and now it seems as though credit card companies are begging me to become a cardholder. There are a few mechanisms I’ve been using to finesse my credit cards and today I’d like to spread the wealth. Quick reminder that I am not a professional by any means so these are the practices that I benefit from so they may not exactly fit your situation. Either way, let’s get into leveraging credit.

Discipline is the key to credit manipulation. If I don’t have the money to pay it off completely in 30 days, I’m not making the purchase. There are some exceptions to this, but as of now, I recommend paying off all credit cards prior to due date. Negative impacts like interest incurred, late payment fees, and a downward spiraling credit score are all preventible red flags. These examples lead to decreasing cash flow with increasing difficulty acquiring any firm of loan in the foreseeable future. Control what you can control, and place everything else to wayside.

It’s your responsibility to remain attentive to how your money is spent and what you are agreeing to when borrowing money. I advise learning all the details and benefits for each credit card because there are hidden features to take advantage which are big money savers. In addition to cash back, major card companies provide additional perks such as RoadSide Assistance, extended warranties/insurance for electronics, travel discounts from car rentals to flights, ride-share theft coverage, and more. Let’s say you’re unsatisfied with a service or purchase, as the cardholder you can even dispute the charge with the card company leading to getting the funds credited back. Charge disputes are not possible via debit transactions thus those funds are gone indefinitely unless the seller provides a refund of sorts or another resolution. There are requirements for disputes so be sure to read the particular details.

Briefly mentioned above, a popular marketing ploy used by credit card companies are cash back opportunities. Don’t go out chasing cash back with every purchase cause that’s how you go into debt, but definitely stay mindful of which cards provide the biggest advantage for the transaction. My cards are used only on or at specific services or stores because of the benefits associated, and I refuse to allow over spending beyond the intended purpose of the card. Dedicate each card owned to something specific and don’t charge anything else while ensuring the maximization of benefits.

Credit cards companies illustrate where, when, and how to take advantage of their rewards so it’s very easy. Southwest Airlines has a partnership with Chase Bank offering a travel credit card, right. On multiple occurrences, they’ve sent an email for 5x points incurred on grocery purchases (up to an allotted time period). Those points from something I’d be spending money on anyway has ultimately accumulated into free flights, gift cards, sneakers, food, etc. Why spend my money, when I could spend yours.

Again, discipline is key. Can’t preach it enough because the goal isn’t to spend money we don’t have and fall into debt. I have the funds for all, or 90%, of my transactions but there’s no backend incentive for using debit or cash. If I get 5% cash back on my MasterCard at Nike and let’s say there’s also a 30% off promo code, that’s a 35% discount in my book. I try to compound my options when possible because I love saving money and I.O.U.’s are the worst. Never spend money you don’t have readily available unless the stipulations are advantageous beyond present financial situation.

If you continue to pay off your bills monthly (even more so for the heftier balances), a credit limit increase will follow amongst offers from more advantageous credit card companies. Credit limits simply represent the more or less money available to play with on any given occasion. Excellent credit has its benefits when applying for other forms of credit from home and car loans to 0% intro APR and low rates on cash advances. I accepted a credit card offering recently of 15 months 0% APR which indicates no interest is incurred on expenses until the 15 months are met. With a good rapport with the bank and high enough credit limit, you can even take a cash advance and use it towards a down payment on a home or condo.

Pay your bills on time and stay focused.