A Brief Overview of How to Use a Credit Card

In our society, the use of credit cards is really common. So common I think some people are embarrassed to ask anyone how credit cards actually work. Like, how does a person use a credit card? I know I had these questions when I was getting my first credit card. Things like, “When do I pay the bill?” I had never wondered before. To answer a lot of these questions, I had to call my credit card company directly. This post is meant to save you from that hassle.


“When do I pay my credit card?”

There are usually two dates to keep in mind: the billing date and the due date. For me, my Discover card bills on the 18th and is due on the 23rd. That means everything I’ve charged from the 18th of last month to the 18th of this month is due on the 23rd.

“How do I pay my credit card?”

You can pay with a check but that’s a hassle. My favorite way to pay is with electronic bank transfer. All you do is go to your card’s website and enter these 3 pieces of information:

  1. Name of institution
  2. Routing number (just Google ‘routing number of xyz bank’)
  3. Account number found on your account statement

The best part about paying electronically is you don’t even have to remember to pay your bill! It’s sooo easy! With Discover, I had to pay manually for the first month. But now I have it set to automatically take funds out of my bank account and pay off my credit card bill every month. I have it set to pay on the 22nd. The only thing I have to remember is to have enough money in my bank account to pay off my credit card.

“Should I have more than one credit card?”

Yes. No. Maybe. It just depends on your situation. For me, I find it perfectly appropriate to have as many cards as you feel responsible handling. But you also have to use these cards regularly. Some cards will charge fees or nag you to close them if you don’t use them semi-frequently. A word of caution: managing a lot of credit cards can be a hassle. That’s a lot of terms and agreements you’ll have to keep straight. It’s similar to racking up frequent flyer miles – staying loyal is easiest.

“What happens if I lose my credit card?”

This will happen to probably everyone reading this article. It’s okay. What you’ll want to do is call and report the card stolen. Just Google, “Discover/Visa/Whatever report lost card.”

Just released last month is a new service offered by Discover. It’s called ‘Freeze It’. If you forget your credit card or leave it unattended, you can freeze it for the time being. Just sign into the Discover app and select ‘freeze’. Then, when you want to use it again, all its features are working again. I’ve not used it but it seems really slick.


Do you have any other questions about using a credit card? Leave a comment and I’d love to write a Part 2. Thanks for reading!



Join our newsletter

If you like Critical Financial, subscribe and get our latest content via email.

Powered by ConvertKit

Share this post:

Recent Posts


  1. Ryan Guina says:

    One thing I would add is to get a credit card that has some sort of rewards attached to it. If you are going to use their card then you should be getting some benefit in return. I personally like the travel rewards because they tend to have the best return but figure out which one is best for you.

Leave a Comment


May the 4th Be with You: Star Wars Swag on Amazon

May the 4th Be With You: Star Wars Day Swag

It began as the punniest holiday ever but quickly grew into an earnest (if somewhat random) celebration of the long-running (and still... more →
People count the money to buy a house in future success.

Avoiding Mortgage Scams: Don’t Fall for Unreasonable Promises

If it sounds too good to be true, it probably is. That’s sound advice for almost all aspects of life, including the search for... more →
Eat for free for a whole month via the meal kit companies discounts for new customers.

How To Get a Month of Free Food: 9 Meal Kit Companies Offering Discounts to New Customers

Play your cards right and you might be able to line up a month’s worth of free meals if you were to try out all nine of the meal... more →
Generate extra cashflow -- here are 97 ways.

96 Awesome Ways to Generate Extra Cashflow

Who doesn’t want more money nowadays? We’ve got you covered on that front. Here comes a long list of different ideas on... more →
Valentine's Day gifts that won't destroy your budget

Valentine’s Day Crafts Are Romantic Rescue from Crazy Inflation

Fall for the hype this week and you’re out an average of $143.56 for Valentine’s Day. Crafts and other do-it-yourself tactics... more →

Ultimate Guide to Bitcoin — FREE Ebook!

Have we got something for you: a free ebook about bitcoin! more →
Get a flu vaccine.

Why You Need To Get a Flu Vaccine Right Now

Flu vaccines aren’t just for the elderly  anymore. Here are 25 reasons you should go get vaccinated. more →
Financially successful

Acquire the Trait All Financially Successful People Have

Financially successful people tend to all have a lot of self-discipline. Improving your discipline in one area of your life often spills... more →

What’s the Best Free Recipe App?

The Apple Store and Google Play together offer more digital cookbooks than you probably have room for on your mobile device. So which... more →
New tax law might slow down housing market.

What Will the New Tax Law Do to the Housing Market?

The new tax law will have a profound impact on the housing market, although in ways that go beyond the deductibility of mortgage interest... more →

4 in 5 Households Will Get a Tax Cut in 2018

Four out of five U.S. households will get a tax cut as a result of the legislation that President Donald Trump signed into law today. more →
Will bitcoin reach $100,000?

When Will Bitcoin Reach $100,000?

Bitcoin has accelerated its pace of appreciation in recent months, and if the current levels between $15,000 and $19,000 make you itch... more →
The Dow Jones topped 24,000 -- now what?

The Dow Jones Crossed the 24,000 Threshold. Now What?

Stocks appear to be increasing in volatility, yet the markets closed on Monday, December 4 with the Dow Jones Industrial Average is... more →
Peer mortgage

Should You Get a Peer-to-Peer Mortgage?

If you can’t get approved for a home loan from a bank, you might want to look into applying for a peer-to-peer mortgage. more →
Investment gifting is awesome.

4 Things To Know Before You Donate an Investment

While donations of any kind are appreciated, gifting investments benefits both the giver and the receiver. Here are four key things... more →
Are you wondering: What's the Relationship Between the Stock Market and Federal Debt?

What’s the Relationship Between the Stock Market and Federal Debt?

Wouldn’t it be wonderful if gains in the stock market could actually reduce U.S. government indebtedness? If that were true,... more →
credit score social standing

What If Your Credit Score Determined Your Social Standing?

Imagine what it would be like if your credit score determined your social standing. more →