With few people paying in cash, and credit cards seeming to be the payment method of choice for many, you might think everyone knows all they need to know about credit cards. But the truth is that while many people use them, not everyone really understands the basics of how credit cards work.

On 16 January, The Sunday Telegraph featured a report on Australians racking up $49 billion in debt on credit cards. Unsurprisingly, the cause of the debt stems from the lure of loyalty programs, special offers and enticing advertisements that indirectly articulate what styles people should adopt.

If you receive an offer to increase your credit limit in your mail by your bank, don’t be too eager to accept it. It is good to know that you have proven yourself to be a “risk-worthy” customer and are awarded with an increased spending power. However, think twice before you accept the enticing offer.

In any disaster there are lessons to be learned, about ourselves as people and about the way we choose to live our lives. Here are some trends from the recession that we shouldn’t leave behind as our fortunes improve.

We all know that putting everything on plastic isn’t a good idea, but there are certain circumstances when you really shouldn’t be relying on your credit. By avoiding using your credit card in these situations, you will be able to avoid some serious credit problems in the future.

It goes without saying that credit cards are a double-edged sword. The convenience a credit card offers can lead to impulsive spending, which in turn results in escalating debts. On the other hand, using credit cards wisely can deliver numerous benefits. The key is to make informed choices on using your credit cards to your advantage, and not be the victim of reckless spending.

It’s a pretty awful situation to imagine. You log into your bank account and see all these charges you didn’t make on your credit card, withdrawals you didn’t request from your checking, and your savings completely depleted.

Identity theft is a big problem. In fact, an estimated 25% of reported frauds in Australia are a result of online identity theft. Fortunately, there are steps you can take to avoid it and ensure that your financial records stay safe.

If you want to get high interest on your savings, without the inflexibility of a fixed term deposit, then an online savings account is the way to go. But which one is the best for you? To help us, let’s compare some high interest online savings accounts and find out which one can best boost your hard saved dollars.