High "utilization" (maxing out your cards) or missed payments can tank your score, making your future financial life significantly more expensive. 4. The Leverage Strategy
Smart credit users treat their cards like They spend only what they have in the bank, reap the rewards (points, cash back, and buyer protection), and pay the statement in full every month. In this scenario, the bank is actually paying you to use their money. The Bottom Line buy stuff on credit
Credit is a double-edged sword for your financial reputation. High "utilization" (maxing out your cards) or missed