All right so ladies and gents in today's video I'm gonna be going over seven of the most popular credit card mistakes that I see a lot of people making by watching this video all the way till the very end. Not only will you learn something new, you're going to also be saving tons and tons of money and also be saving your own credit score. So going into the first mistake I see a lot of people continuing to do this and I get questions on this almost like frequently. even now on whether or not people should be closing a credit card because people assume if you don't use a credit card the right thing to do is to close that.

Let me tell you how that is the exact opposite of what you want to do if you have a no annual fee credit card. never close that card. The reason for this is because anytime you close a credit card, you're going to see an impact on your score. Where once maybe it was sitting at like seven twenty seven fifty, you're living an amazing life.

You're getting some of the best auto rate loans, You're getting the best mortgage rate loans even within this economy, and then all of a sudden it decides to tank. This is because anytime you close a certain credit line, all of that history that you've accumulated will disappear. Now sometimes there will be situations where you can't help but close a certain credit card. and this is because you may be having a travel credit card.

A luxury one that costs you 700 a year to hold. Or maybe you actually had student loans for 10 years and you finally have been able to pay it off. Now, although there are going to be a lot of exceptions when it comes to this rule. just for the grand rule of thumb, just don't close a credit card if it doesn't cost you a single penny to hold.

Now the second biggest mistake that I've seen a lot of rookies make and that is opening too many credit cards all at once. Look, I've been there. Okay I Hear about one credit card? I Then hear about the credit card game, then I Hear about all these people traveling first class and in business class flights. and you know, massive hotel suites all for free because of credit cards.

So it makes me want to apply for 10 of them all at once. But don't do that Now by the way, there are also some exceptions to this rule, as if you are very calculated and deliberate about the credit cards you're going to open, you can oftentimes combine all those hard inquiries Within a same day. So as an example, if I applied for the American Express Platinum Card and then I decide I want to also open the Chase Sapphire Preferred Card and I know I'm gonna hit both those welcome bonuses because guys, that's very important for you to do if you're trying to get into the credit card game. If I got approved for that first credit card.

oftentimes the issuer won't know that I applied within that same day because it happened so quick. Now this method here is a bit more for our advanced level members, but if you're just getting started out within the entire credit card game, this is something that I wouldn't worry too much about for the most part. I See a lot of novices that end up applying for like five credit cards every other day. That is a huge red flag and oftentimes when lenders see that, they will go ahead and automatically deny you for that credit card as well.

This is because if you're the bank and you're chilling and then all of a sudden you see Billy Bob Joe here applying for 17 credit cards, you're going to be a little sussed out now. I know I won't be sussed out if it's my audience doing it because all my audience is financially responsible and very beautiful. Did I mention very beautiful? Yeah, you guys. Now, the third mistake that you'll never ever want to make and a lot of people overlook this too, especially if you are a very, very big novice into the game.

And this is by walking into a store within the mall and they offer you a credit card and they push it down your throat and you say sure, why not I'll get this credit card I think saving 20 off my jeans is gonna be worth it. Oh folks, please don't ever do this. First of all, if you didn't know, a lot of those cashiers actually make commission for every credit card user they sign up for. and I remember like six months ago or a year ago I was shopping at TJ Maxx and yes, millionaires still shop at TJ Maxx I Love that story.

It's freaking amazing. I Go there. I Go to Home Goods and it seems like it's those two stores where they always try to force me to sign up for a credit card and I gotta let them know ma'am I I'm the credit card guy. no credit cards I don't need this credit card.

Part of me also wants to like pull up there with my credit card binder and just like not even say anything just like bomb. You know now that I'm thinking that through, imagine if they actually actually think that I love credit cards so much that they're like thinking that I want that credit card instead of me not wanting it. It worked out better in in my Noggin Anyways, the reason why you often don't want to get any of these store-bought cards is because their offers suck. There are many better credit cards and it's not worth taking up a spot.

Say as an example, you want to get a card with Chase There Are Rules Like you can only get five credit cards within 24 months if you want to get approved with a certain issuer. and it's just not worth having all those spots filled up with credit cards from some of these stores that you may not ever use again. On top of that, I Really value my data and even my security and my privacy. and it's often times when you go with some of these store-bought cards where they're huge data leaks and breaches.

I'll say this: there are way too many valuable credit cards for you to be signing up for one of those things in the store, and those are usually targeted towards subprime consumers. meaning people who have a lot of credit card debt. and usually the cashier doesn't care about whether or not you have further credit card debt, they just want their commission. I Hear on this.

Channel I Actually care about whether you guys have credit card debt and how you guys move financially so you don't put yourself in a bigger hole. So if you are struggling at all with credit card debt, guys. I Made so many videos in order to improve your score and get you started out on the right foot. So check out some of those resources at the end of this video as well.

All right, mistake number four. and this is not spacing out credit card applications enough. so we had our whole spill just now about how often you could apply for credit cards some of the workarounds around it, but let me tell you about how you could properly sign up for credit cards at a consistent Pace without alarming the banks. and this is going to be signing up for credit cards every six to 12 months if you're a beginner.

but if you're more on the advanced level game. I've seen people still apply for credit cards every two to three months and they are fine. Now by doing this, you can make sure you avoid any type of restrictions with certain type of lenders, but you can also make sure that you're getting that. Infamous Welcome bonus offer if you don't want, the welcome bonus offer on credit cards is just for my beginners.

I Gotta mention this, it's those offers where it's like if you spend x amount within three months or six months, you'll be getting fifty or sixty thousand points. If you sign up for too many credit cards all at once and you're unable to hit that spend. or if you are able to hit that spend and then you find out you can't pay off your credit cards on time and you are in debt, you start working backwards and you don't get to maximize the benefits of what credit cards have to offer. The fifth mistake that I see a lot of people making is by treating credit cards like credit cards.

All right. So what does this mean guys. The first time I got my credit card I was so careful with it and even now I practice that same type of carefulness and that is by treating my own credit card instead like a debit card. If you ever have gone a credit card and you told yourself okay, this is fine, you know I get a ten thousand dollar credit limit.

That means I can go on a shopping spree for ten thousand dollars I'll eventually pay off that debt one day in the future. Please do not think like that. you need to cut that habit out because if you ever start paying a dime of credit card interest, you then start working backwards on all the hard work and benefits and rewards that you could have reaped in free travel. The math simply doesn't add up there.

so make sure that if you ever get a credit card, please do not carry credit card debt. And if you do, make sure that you at least have a strategy in paying it off. If I were to start all of this from scratch, I wouldn't be completely opposed to carrying credit card debt if you know how to properly take advantage of it. So as an example, if you got business credit cards, credit card debt wouldn't actually impact your personal credit score because they are separated on top of that.

If that business credit card like the chase Inc business Unlimited card had a zero percent intro APR offer. that means you wouldn't have to pay interest on that credit card for a select period of time. Usually it's 12 months now. You don't have to do that with just business credit cards.

Personal credit cards also offer the same benefits too, and there are a ton of them that offer 12, 15, or even 20 months of no interest. The downside though is if you have credit card debt on a personal credit card, it's gonna lower your credit score. But if you end up paying it off your credit score, would go back up after you complete that. Now the sixth mistake that I see a lot of people making and that's not fully utilizing their credit card benefits.

So whenever you get a new credit card, you want to make sure that you fully understand the benefits. That's why I make a ton of these videos here on my channel to go over all the little hidden benefits the secret ones you know, making sure that every dollar you spend, you're able to get it back. Well when you end up accumulating a ton of credit cards like 15 of them. Plus it can kind of get tricky knowing what benefits you have, you can go ahead and memorize them and store it into your database AKA your brain which could take a little bit of time for some people, especially.

you have a lot going on in your life or you just make reminders in your calendar which is something that I Also do some of my credit cards like the AmEx Platinum have a six month credit like to Saks Fifth Avenue or the business platinum card where I have to make sure that every six months I spend on Dell.com to make sure I recoup some of that annual fee, but if you're not doing that, you're missing out on a lot of free money. On top of that, there are some Hotel credit cards, some Airline credit cards that give you additional benefits. As an example: I have my world of higher credit card and every year I get one free hotel stay. so if I don't use it up, most often than not, it ain't going to carry over to the next year.

So I'm either going to book it for myself or I'm going to book it for a family or a friend and let them know. Look, if I'm not going to use it, I'll let you all do it and it's a good thing I'm not as broke as I used to be. otherwise I would have told them that they would need to pay me back at least half of it I Feel like that's kind of a fair trade. they're still getting 50 off, but now these days.

look I just want to make sure that the benefits are still getting used and they're not going to complete waste. Now the seventh and final most popular mistake that I see every single person making when it comes to credit cards is not really understanding their strategy and the reasoning behind why they got into credit cards in the first place. Look, ladies and gents, credit cards can be custom tailored towards your own spending habits and your own needs. As an example, you know, four or five years ago I was really not traveling that much but in the most recent months like I took a two-month trip in Korea I'm going to Vegas soon I have some other trips planned for this year my spending profile.

My traveling profile has changed quite a bit, but since the beginning I've always is strategically planned for this moment. but I told myself look I'm gonna be grinding on the business I'm gonna try to grow this YouTube channel a few years back and in that case, I'm not gonna be traveling. but I know one day I will be So I always made sure that I stayed the path that I was still applying for credit cards even though I knew that I wasn't going to be using those points at that exact moment now. I have millions upon millions of credit card points I can fly anywhere I want on any flight that I want completely for free and in the worst case scenario, if everything came falling down I at least had some points where I could cash it out and still have a little bit of a nest egg or a reserve that I could use towards whatever I want.

So what is the exact mistake I'm talking about. it's just not being prepared. It's not knowing the full game strategy of looking long term, not just within the next one year two years, but even looking at the five to ten year Horizon within your traveling and credit card game. On top of that I see a lot of people who get very intimidated by business credit cards.

We talked about it in this video and by the way I made a video talking about the ultimate Business Credit Card Guide I've been making video videos on business credit cards for a very long time. If you guys go ahead and watch some of my oldest videos on this I was talking about it three four years ago on this channel I've been so blessed and fortunate to say that we've been able to help and make an impact on a ton of people through educating them on the benefits of business credit cards throughout the past couple years. So if you're one of those few people that may not have watched that video or taken action into the world of business credit cards, let me say you don't need a business and it's also very easy to start a business and getting started can happen instantly today, so be sure to check out some of those resources. Link Down Below in the description of this video as well.

Now by the way, if you guys want to join our community of 30 000 members, by the way, it's all for Free! Okay, we have a pop and Facebook group that you guys can join. Link Down Below in the description of this video as well. If you join, I'm also going to be emailing you some of the best credit card offers and some of the best tips and tricks through some daily emails as well. If you haven't followed me on Twitter or Instagram, be sure to do that as well.

Link down below there. Thank you all so much again for watching this video! Have an amazing day and I'll see you all soon! Peace.