The Number One Money Mistake I Made at 20

I'm Tyler, a former financial advisor and portfolio manager. Now, I create financial content for free to help you avoid costly mistakes.

1. The Excitement of Getting My First Credit Card

It was thrilling to have my first credit card, allowing me to spend up to $500 of money I didn't have.

2. The Surprising First Bill

Receiving my first bill was even more exhilarating! I learned that I didn't have to pay back that $500 immediately; I could just make a minimum payment of $17.

3. Bragging About My Credit Card

I couldn’t help but boast to my friends about how amazing credit cards were!

4. The Reality of the Second Bill

A month later, receiving my next bill was a rude awakening. Since I had only made the minimum payment, I fell right into the credit card company's trap. They raised my interest rates to 22%.

Despite paying down my bill to $483, it shot back up to $491. If I had waited another month, I would have exceeded the $500 limit again.

5. The Best Money Lesson Learned

To this day, this experience provided me with the most valuable financial lesson: never only pay the minimum. Always avoid spending money you don't actually have and, most importantly, pay down high-interest debt first. If you found this advice helpful, please like and follow for more tips to improve your financial journey.

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