"Have to be SMART" Shark Tank investor Kevin O'Leary shares how he taught his son to use credit cards

Kevin O'Leary has a sharper, more direct voice than others in the high-stakes world of finance and (financial advising).

Known for his straightforward style on the popular television program Shark Tank, O'Leary is enthusiastic about educating regular people on how to handle their finances in addition to investing in startups. He declared in a recent Instagram post that caught the attention of millions:

"There is no way to game the system! You have to be SMART when playing with credit cards and debt,"

For the uninitiated, Shark Tank is more than just a television show. In an effort to obtain capital and guidance, aspiring entrepreneurs use this platform to present their concepts to a panel of accomplished investors.

Known as "Mr. Wonderful" for his frank criticism, O'Leary has built a reputation for analyzing company ideas and providing tough-love financial advice.

But beyond the TV drama, O'Leary is a seasoned financial expert with a mission: to help people make smarter financial decisions. His latest focus? Credit cards—those tiny pieces of plastic that can either be financial tools or dangerous traps.

Kevin O'Leary shares his credit card strategy

O'Leary's approach to credit cards is refreshingly simple.

"It's good to get a credit card, put maybe a thousand dollar limit on it and then start paying off, you know, use 200 bucks a month and pay it off every month," he advises.

The key? Start small and stay consistent. For those new to the credit world, Kevin O'Leary recommends a measured approach. He doesn't just preach—he practices. When his son Trevor got his first credit card, Kevin O'Leary's advice was crystal clear:

"I told my son as soon as you get one, Trevor, put 50 bucks on the card and pay it off."

Further elaborating:

"There's no way to gain that system. You've got to establish a credit rating or you can't borrow,"

His strategy isn't about spending big—it's about showing financial responsibility.

The investor suggests using multiple cards strategically. In a 2018 CNBC interview, he recommended having at least two cards. The first? A low-limit card specifically for online purchases.

"The first credit card is one that has a very low limit, let's say $2,000," he said.

This approach protects consumers from potential online fraud while helping build credit.

When it comes to credit card rewards, Kevin O'Leary has a clear preference.

"Forget about affinity points...There's so much inflation in that. You get less and less every year for the points," he advises.

Instead, he champions cash-back rewards as a more stable and practical option.

The bigger picture

O'Leary's credit card strategy extends beyond domestic use. As a frequent traveler, he carries multiple cards to navigate different currencies efficiently.

"I look for efficiency, and having all these credit cards gives me diversity," he shared.

His primary goal? Avoiding unnecessary fees. Kevin O'Leary stated, highlighting how strategic card use can save money during international travel:

"My whole thing about credit cards is I don't like fees,"

What sets O'Leary's advice apart is its simplicity and practicality. He isn't selling a get-rich-quick scheme but offering a blueprint for financial responsibility. By treating credit cards as tools rather than free money, individuals can build strong credit, avoid debt, and create financial flexibility.

"Have to be SMART" isn't just a catchy phrase—it's a financial philosophy. For Kevin O'Leary, smart credit card use is about discipline, strategy, and understanding the system. Whether you're an aspiring entrepreneur or simply trying to manage your personal finances, there's a lesson to be learned from "Mr. Wonderful."

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Watch Shark Tank Fridays at 8 PM ET on ABC or stream full episodes anytime on HULU.