A credit card, which many of us turn to for financial help, is a huge relief in times of need. But due to a little carelessness, they can incur huge financial burdens. Important things to keep in mind while using a credit card to avoid such financial burdens..

Shopping

Unnecessary shopping without looking at the money spent in addition to the necessary shopping can lead to huge financial burdens. Although the payment is made through credit card, it is the responsibility of the cardholder to repay it, so avoid unnecessary shopping expenses using the card.
Although the payment is made through credit card, it is the responsibility of the cardholder to repay it, so avoid unnecessary shopping expenses using the card.

Do you want to use up the entire credit card?

Instead of thinking that you are getting a large amount of money through a credit card, instead of using it all up, use up to 40% of the card's maximum. The financial burden that comes with using a large sum of money may not be readily repaid.

Clarity of spending

By understanding the necessary and unnecessary expenses according to the budget, excess expenses can be controlled. Appropriate card usage will help keep expenses accurate.

ATM Stop using

Although you can withdraw money from an ATM using a credit card, you will have to pay a large amount of interest for this type of arrangement. Depending on the banks, the difference in interest rates can reach up to 40 percent. So ATM Do not withdraw money via

repayment

Pay off your credit card bill on time. If you forget, make a note of the bill payment date on your phone or calendar.

Delays can result in higher interest rates and a lower credit score due to frequent defaults on paying card bills. This is likely to backfire in the future. Although credit card companies allow you to pay the minimum amount by the due date, try to pay the full amount.