Nowadays A large number of people use credit cards. Most of them are salaried people. If you work in a company, then you must have got a credit card offer from the bank at some time. Not only the bank, NBFCs are also offering credit cards to their customers. Credit card increases the sporading capacity of the customer. In such a situation, people are rapidly attracted towards it. But if you do not use the credit card properly, then you can also get caught in the debt trap. Many such cases will be seen around you.
Transfer money in their name itself
Credit card trend has also increased considerably due to attractive discontinuation on e-commerce websites. People use credit cards not only online, but also for offline shopping. You can also pay your utility bills with a credit card. Nowadays many such third party apps have come, through which people transfer themselves money in the name of house rent, maintenance fees or education fees. However, this is a useless use of credit cards. The habit of continuous credit cards and the habit of transferring the cash itself increases the debt. Many times people have to pay credit card bills by taking personal loans. All this spoils the credit score of customers. Let us know how many percent of your credit card limit should be spent, so that your credit score does not spoil.
How many percent of the limit should be spent
If you are using a credit card excessively, your credit score may fall. In the ideal situation, you should use 10 to 15 percent of the credit card limit. Your credit score may be stable or bad if you spend more than 30 per cent of the limit. For example, if the limit of your credit card is Rs 1.5 lakh, then you should not say more than 45 thousand rupees from it every month. Also, keep checking your credit score from time to time. Closing your old credit card can also spoil your credit score. Older credit card means that if you are not managing credit for a long time, the credit score is affected.
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