- Annual Fee: $49
- Interest Rate: 14.29%
- Penalty Rate: 24.24%
1. Set up Autopay to pay the minimum amount due, from your checking account, even if you forget to make your regular payment. This prevents an accidental triggering of your "Penalty Rate". You should, of course, make more than the minimum payment, regardless.
2. Decline Charges Over Your Limit by calling your Card company and setting this up. Many card companies offer to cover over-limit charges as a "convenience" to customers (like a knife in your back is a "convenience") by "allowing you" to go over your limit, for a nominal over-limit fee, and of course kicking in the Penalty Interest Rate.
3. Set a Reasonable Credit Limit and Decline Automatic Raises. Set a reasonable credit limit, based on your income. Preferably less than $10,000. Ideally less than $5000. The lower the better, within reason, of course. Tell your card company to not automatically raise your limit unless you say so. The "Congratulations! We've raised your credit limit!" letter is not a sign of fiscal responsibility, but rather an omen of doom.