46% of Americans Make This Expensive Mistake

CNBC: One of the biggest credit card misconceptions is that carrying a balance month to month will give your credit score a boost. To that point, 46% of Americans incorrectly believe that leaving a small balance on their card is better for their credit score than paying off the balance each month, a recent NerdWallet study found. That’s an expensive mistake. In fact, any amount of revolving debt costs you in interest charges. Those typically are not calculated based on how much debt you roll over to the next statement period, but rather on your daily average balance. Carrying a balance could also ding your credit score. [CNBC]

CREDITSUPERCOACH: The article above represents the traditional way of thinking about credit and credit utilization.  We do not necessarily agree with it. Join our coaching program to learn how to put your credit to work for you.