Switch to a lower-rate card. Maintaining a $1,000 average balance on your 18% credit card will cost you more than $180 in interest over one year. If you switch that money to a 14% rate card you will save about $40. (Some banks reduce the interest rate on balances transferred from another issuer.)

Take advantage of your grace period. With a grace period, you won't be charged interest until the start of the next period, so try to pay off the entire balance each month.

Ask your bank if you can get a lower interest rate. Many banks have lower-rate cards. If you can't get a better rate from your bank, shop around for another card.

If you are paying interest, mail your check as soon as you receive your statement. The earlier your money is received, the lower your average daily balance will be, reducing the amount you pay in interest.

Use savings to pay credit card bills. If you have $100 in a savings account at 3% interest, you will earn a little over $3 in one year. That $100, used to pay off $100 on an 18% card will save you $18, six times the interest you would have earned in your account.

Always pay more than the minimum balance. Paying the minimum prolongs the time it will take you to pay off your balance, and costs you a lot more in interest.