Americans currently owe $1.21 trillion on their credit cards, according to CNBC, so it’s incredibly important that you learn how to use them correctly.
Whether you’re looking to earn rewards, avoid sneaky fees or just make your money stretch a little further each month, a few smart moves can make a big difference.
Read More: Fidelity Says This Is a Surprising Risk of Holding Too Much Cash — Do You Have Too Much?
Find Out: 9 Low-Effort Ways To Make Passive Income (You Can Start This Week)
“When you use credit cards with intent, they can actually save you a lot of money,” said Robert Cannon, Financial Advisor at Experity Wealth.
Here are the top credit card strategies to help you keep more cash in your pocket and make your plastic work for you, not against you.
Approach Them With A Clear Plan and Disciplined Mindset
“Credit cards can be powerful tools for keeping more money in your pocket,” said Chris Keane, SVP Direct Lending at Newfi.
He added that you just have to approach them with a clear plan and disciplined mindset, rather than treating them as an open line for impulse spending.
He recommended assigning your regular household spending, like groceries, fuel, or utilities, to a card that offers the highest cashback or reward points in those categories.
“Over time, these points or cashback rewards can translate into hundreds of dollars in savings or valuable travel perks.”
Automate Your Payments
Keane equally advised automating your payments, because late fees and penalty interest rates can easily wipe out any rewards you earn.
Automating monthly payments ensures you never miss a due date, protecting both your wallet and your credit score.
Take Advantage of Introductory 0% APR Periods
Keane said these can be smart financial tools for planned large purchases, like home repairs or new appliances, as long as you pay them off before the promotional period ends.
“This lets you spread out payments without accruing interest, easing cash flow without long-term cost.”
Combine Your Credit Card Perks With Store-Specific Offers or Loyalty Programs
Another strategy Keane recommended is to combine your credit card perks with store-specific offers or loyalty programs that significantly amplify your savings.
“You’re essentially earning rewards twice on items you would buy anyway, which is a great way to make routine spending work harder for you.”
Once A Year, Do A Full Card Audit
Cannon suggested checking your annual fees, rewards categories and perks.
“If a card no longer matches your spending habits, downgrade or switch.”
He explained that many cards also have hidden savings features like price protection, extended warranties and purchase protection.
Those perks can reimburse you when prices drop or cover accidental damage, but he said that most people never use them.
“Discipline is crucial here. When you treat credit as a financial tool instead of free money, you’re not just avoiding debt. You’re actively turning your spending into structured savings.”
More From GOBankingRates
- Here's What the Average Social Security Payment Will Be in Winter 2025
- 5 Old Navy Items Smart Seniors Should Stock Up On for Winter
- How Middle-Class Earners Are Quietly Becoming Millionaires -- and How You Can, Too
- 5 Tiny Money Moves That Can Add Up to Thousands by Next Year
This article originally appeared on GOBankingRates.com: 5 Credit Card Strategies to Keep More Money in Your Pocket
