Like loans, credit cards are not free money. And credit card interest rates are generally higher than any other form of money you can borrow. Here are some tips to control your credit card usage:

• Charge only the amount you can pay off in full each month.
• Be cautious with promotions that offer no-payment or low-payment months; you'll only accrue more interest, and you won't make a dent in the overall balance

TIP: Also avoid preapproved credit card offers with low interest rates.
The interest rates are often only offered for a short time, and when the special is over, you'll be paying a higher interest rate.

Example: You currently owe $1,000 on a credit card. The interest rate is 17%. If you pay $50, the monthly payment indicated on the bill, it would take you two years to pay off $1,000, without even charging one cent more.

Instead of a credit card, get a debit card. It works like a credit card, but the money is debited directly from your checking account so you can spend only the amount you have in your account and not go into debt.

TIP: Pay your bill on time.
Today, credit card companies penalize you with a late fee of $20 or more. And some are now increasing interest rates to 20 or 23% if you're late with a single payment!