One of the significant milestones in your financial journey is getting a credit card.
So, you’re thinking of getting your first credit card, and you want to make sure you’re prepared. That’s a bold step to take, and we’re here to guide you through the process.
By law, you have to be at least 18 years of age to open your first credit card. But that’s not really the deciding factor kung ready ka na ba talaga magka-credit card. In this article, we’re gonna go through a quick fit check, este, financial fitness check 💪 para i-assess kung kaya mo na ba.
What’s a credit card?
Before we dive in, let’s cover the basics first. What exactly is a credit card?
Think of it as a financial tool that allows you to make purchases and pay for them later. It’s incredibly convenient — you can use it almost anywhere, for anything! Whether you’re shopping online, covering unexpected expenses, or building your credit history, a credit card (or two) can be a versatile and helpful addition to your wallet.
But remember, a credit card isn’t free money; it’s a tool to help you make ends meet.
Time for a financial fitness check ✅
Bago ka mag-apply, let’s take a moment to assess your finances. Aside from answering the question, "Are you ready for a credit card?", also ask yourself:
Steady income: Do I have a regular source of income para i-cover yung magiging credit card expenses ko?
Proper budget: Meron na ba akong working budget, one that’s perfect for my responsibilities and lifestyle?
Emergency fund: May emergency fund na ba ako, enough na ba yun?
Debt management: Am I being responsible with my bills and debts payments?
Goals alignment: Does a credit card align with my financial goals?
Once you’ve got the answers, it’s all up to you. We’re giving you the blessing to take the next step!
Staying smart with your first credit card
If you’ve completed the financial fitness checklist and believe that a credit card aligns with your goals, just a few heads up:
Start small. Di naman kailangan yung pinaka-premium na credit card ang a-applyan mo agad. Start with a basic card, like a secured credit card from a trusted bank where you already have a savings account with. Give that at least 6 months to a year of usage before you can explore other options.
Make timely payments. This one’s a no-brainer but it remains to be a favorite reminder we love to say whenever there’s a chance. So yeah, pay your credit card bills on time. Punctual payments are crucial for building a strong credit history.
Remember, a credit card isn’t free money; it’s a tool to help you make ends meet.
Stick to your budget. We repeat, STICK TO YOUR BUDGET. ‘Di porket may credit card ka na ay magpapalit ka na rin ng lifestyle. As we’ve said before, a credit card isn’t free money. So stay grounded and live within your means.
Use it responsibly. A credit card can be your ticket to either 2 destinations: better financial management or overspending. But obviously, nobody wants to go to the latter. Your credit card isn’t for impulse purchases.
No matter what, we’re here for you 🤗
And there you have it, you’re all set!
If you think a credit card will improve your finances, we say go for it!
Start with a basic card, like a secured credit card from a trusted bank where you already have a savings account with.
Kung hindi naman and you need more time, that’s totally okay too! We commend you for being honest about where you are currently in your money journey.