Being a responsible credit cardholder requires understanding how credit cards work and the agreement you entered into when signing up for the card.

It’s not difficult to be responsible credit card holder, but it does require some diligence on your part. For example, awareness of the status of your card at all times is key to avoiding penalties and extra charges.


With that thought in mind, below are 6 helpful tips on being a responsible credit cardholder that you can start implementing right away.

1. Pay Your Credit Card Dues on Time

The first and foremost condition of being a responsible credit card holder is to pay your credit card dues on time. Take this to be a cardinal rule that you simply have to follow without exception.

In case you do not have enough funds to pay your entire bill within the due date, you MUST be able to make the minimum payment, at least.

The moment you start falling back on your credit card payments, banks start viewing you as an irresponsible credit cardholder.

2. Pay Your Credit Card Dues in Full

The next most important aspect of being a responsible credit card holder is to pay your credit card dues in full without letting outstanding amounts spill over into your next billing cycle.

While banks may not mind you doing so because this is how they earn interest from you, it again conveys irresponsibility on your part.

The key is to ensure that you only spend as much on your credit card as you are able to pay off in full at the end of your billing cycle, once the amount due comes up for payment.

3. Use Your Credit Card Thoughtfully

Every single purchase made on your credit card should be backed by adequate thought. Are you sure you will be able to pay for the item you just bought once the payment comes due?

Not only that, but you should also think about the necessity of the item you are purchasing. A good rule of thumb is to make credit card purchases for the things that you need, not the things you want.

For example, electricity or gas at home, for example, are things you genuinely need, while a $2,000 mink coat you just saw in a store on your way to work may not be.

Once you approach your credit card purchases with this thought process, you will find discipline and responsibility automatically coming into the overall scheme of things.

Responsible Credit Card Holder
It is a privilege to be granted a Credit Card – it is up to you to prove to be a Responsible Credit Card Holder. Image Source –

4. Keep Your Credit Utilization Low

Every credit card comes with a predefined credit limit. A responsible credit cardholder sparingly uses the credit limit that is available on their credit card. This means 30% or less utilization of the credit limit on a credit card.

For example, if your credit card comes with a $2,000 credit limit, it would be considered responsible to curtail your purchases with the card to around or below $600.

If your income allows it, and you can repay the entire outstanding amount by the due date, you can spend more than 30%. But it is advisable to remain around the 30% mark to be considered a truly responsible credit cardholder.

5. Choose Your Credit Card Wisely

Today, there are hundreds of different credit card options out there. Banks are falling all over themselves to offer customers a wide choice of credit cards from which they can make a suitable selection.

As a responsible credit cardholder, you must ensure that you choose your credit card wisely, with adequate time and effort going into making that selection.

To give you an example, if you shop frequently at a particular store and a credit card issuer has co-branded with that particular store, it makes sense for you to choose that particular card and reap the perks of the money you spend at this store on a regular basis.

Another example is a card with a rewards program that collects air miles, especially if you are a frequent flyer of a particular airline. You can earn miles from booking flights for this airline with its cobranded credit card, but also through all regular purchases made using the card.

6. Don’t Have too Many Credit Cards

Limit the number of credit cards you have to be a responsible credit cardholder. Having too many credit cards is never a good idea. There will be too many payments to manage, billing cycles to keep track of, and due dates to keep pace with.

Moreover, you will spread all your benefits such as air miles, and reward points way too thin, such that they will never really add up to a lot on a particular card.

Two to three credit cards should be more than sufficient to ensure you are well prepared at all times for making credit card purchases when you need to. Going beyond that is excessive and can easily be forgone.


By following the tips mentioned above, you will be on your way to being a responsible credit card holder.