The number of credit card users is increasing day by day. People's craze for credit cards is increasing, on the other hand, it also becomes a debt trap at times. People make some mistakes with credit cards which later prove to be a problem for them.

If you also use a credit card, then we will tell you about some common mistakes that you should avoid making.

Cash withdrawal
A credit card cash withdrawal facility is available on credit cards. Many users take advantage of these facilities without reading the terms and conditions, which later proves to be a loss for them. The user has to pay interest on withdrawing cash from a credit card.

Using credit cards excessively
Credit cards should not be used for daily expenses. If you use a credit card so that it does not burden the bank account, then let us tell you that it puts a double burden on the credit card. You spend more in the process of spending on everyday things through credit cards. In such a situation, you should use a debit card or cash for your daily expenses.

Not setting up alerts.
It is important to set a limit for credit card expenses. If the user spends more than the limit, it directly affects the CIBIL score. In such a situation, financial experts advise that the user should set up a limit on the credit card so that he does not spend unnecessarily.

Spending too much before the loan
If you are going to take a loan, then you should try your best to spend less from the credit card. If you spend too much, it can also affect the CIBIL score. Apart from this, before approving the loan application, the company checks the credit card history.

Not reading the terms and conditions properly.
While taking a credit card, many users do not read the terms and conditions of the card properly. In such a situation, they are not aware of the interest rate annual fees, etc. For this reason, the credit card user must read the terms and conditions of the card carefully before purchasing the card.