I n 2024, credit card debt accounted for 6.36% of all United States household debt, up from 5.8% in 2020. Credit card balances surged during the pandemic and, by the end of 2022,

Americans hoarded credit-card points during the pandemic, but converting them for cash buys less than it used to. Even transferring points between reward programs exposes points users to rising prices.

Your credit card minimum payment is the lowest amount you can pay every month while keeping your account in good standing. Making at least the minimum payment on your credit cards every billing cycle ensures that you do not get stuck with late fees, penalty APRs or derogatory marks on your credit report.

Opening a new credit card could be a good way to save money. See how I'll come out ahead after adding three cards to my wallet.

Make the right choice for your financial future by exploring the unique advantages credit cards offer over other payment methods.