When I started out as a money coach four years ago, I thought anyone with credit card debt was just a big spender. Boy, was I wrong. Many of my clients landed in debt after using credit responsibly for years. All it took was an emergency — like losing a job, a huge medical bill or a major car repair. And that one setback buried them in debt.

If you can’t pay your credit card balance in full and on time, you’re responsible for paying interest on that balance. That means your debt will grow faster than you may be able to keep up with, especially with credit card annual percentage rates averaging at 20.7%, according to Bankrate.

The real cost of credit card spending isn’t always obvious. When I stopped using credit cards and started focusing on paying down my student loans, I saw a huge difference in how much I spent, how often I shopped and how pricey my purchases were. Along the way, I developed three surefire strategies to help keep your credit in check. It’s why I call myself the queen of managing my credit. 

Here’s what you can do. 

1. Pay your balance in full every week 

You’ll find it easier to manage your budget when you make the shift to pay off your cards every week, not just every month. I recommend doing this until you have a handle on saving and investing, though it may be a habit that sticks in the long term.

When you pay off your balance weekly, it’s easy to see how much money you actually have to cover your expenses and how much you have left to spend. Also, you won’t be surprised by a high credit card balance you waited to pay a month for. 

For example, I’m meticulous about paying off my credit card balances every Friday. That means before I go into the weekend, I’ll know if I can splurge a little more or if I need to be more mindful about my purchases.

2. Don’t just chase credit card points

My clients found it hard to stick to a budget when their focus was collecting credit card reward points, especially if they were spending more to reach a point goal.

I’ll admit, I used to love racking up points for free flights, hotel stays and cash back. But once I stopped obsessing over points and started focusing on investing in real assets like dividend-paying ETFs, high-yield savings accounts and CDs, my financial focus shifted.

Credit card companies make it sound like they’re doing us a favor when offering points and rewards for making purchases. I don’t think you should ditch credit cards altogether. But ask yourself: Are they helping you manage your money to reach financial independence?

You might be skeptical, and that’s fair. I ran the numbers for my clients. In the first few months of 2023, I made $154.21 from credit card bonuses. But I pulled in $10,005.27 in passive income from my investments.

3. Check your cash flow on bills first

Using credit cards makes budgeting more challenging if you combine all your essential and nonessential expenses onto your card. Differentiating between bills and other items can help determine if you have enough cash to cover all your expenses. When your bank balance is low, you’ll be more disciplined about waiting before putting more charges on your card.

If you just wipe your statement clean each month on the due date, you won’t have a clear picture of your bills and expenses. Since you can’t avoid paying rent, utilities and insurance, it’s useful to have those bills taken from your bank account rather than charged to your card.

Here’s an example of a few monthly bill amounts you might have automatically withdrawn from your checking account.

Let’s say your monthly take-home income is $4,000. If these expenses are taken directly from your account balance, you’ll know you have $1,590 left. That means if you rack up a monthly credit card balance of $2,500, you’ve already overspent.

How to get your credit card debt under control

If you’re stuck in credit card debt, make purchases using your debit card to avoid adding more to your balance. Then consider only putting certain purchases on your credit card to keep its balance low. I’d recommend making small purchases on the card and paying them off in full every week to get into the habit.

You might also stop putting any purchases on your credit card until you pay the balances down completely. I’ve had clients put their credit cards on ice (literally froze them in a block of ice) until their debt was cleared. Then they resumed using their credit cards later with a healthier budget and money mentality.

I’ve seen folks with a dozen credit cards, and it’s rarely a good sign. Personally, I stick to two — one for business, one for personal — and my credit score stays steadily above 800. You don’t need a stack of cards to build credit, but you do need to be smart about using them if you want to stay out of debt.