Credit Card Usage Tips: Manage your credit card in this way, you will be saved from getting buried under debt...
Credit Card Management Techniques: There has been a rise in the number of credit card users. Most people prefer to pay through credit card. In such a situation, it would not be wrong to say that credit cards have replaced cash flow.
Now there is no cash in the purse but still, we are not worried. We can easily make payments through credit cards. Even now UPI payment can be done through credit card.
In such situations, many times we use credit cards indiscriminately. This affects our credit score and we also get into debt. In such a situation, it is important to manage the credit card properly to improve the credit score and reduce the burden.
Today we will tell you some tips to manage your credit card properly, with the help of which you can improve your CIBIL score and you will not have any debt.
Limited use of credit limit
When our income is low, we swipe credit cards for many expenses. In such situations, many times we spend more than the credit card limit. We should avoid doing this. We should try to use only 30 percent of the credit limit.
For example, if the card limit is Rs 1 lakh, then we should try to spend only 30 percent i.e. Rs 30,000. If we spend more than this limit then it affects our credit score.
Pay credit bills on time
The due date of the credit card bill should always be kept in mind. We should always pay credit bills on time. If for some reason you forget to pay the bill, your credit score may fall.
Apart from this, if you do not pay the bill on time, you will not be able to avail yourself of the facility of Credit Card Upgrade in the future.
Understand interest rates
Credit card interest is also very important. If the user does not pay the credit card bill on time, then later the bank charges more interest to compensate for it.
In such a situation, you need to understand well about the interest rate and processing charges of the company whose credit card you are taking.
Avoid overspending
Many times we spend more than our credit card due to rewards or offers. We should always avoid this kind of expenditure. If we do not repay the money we spend on time, we may end up in debt.
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