10 common Credit card mistakes revealed.

Credit card is very useful financial instrument nowadays. That help us to make fulfill  our financial goals. But some time, we are making some credit card mistakes, that may lead us to a financial loss.   Without a specific arrangement, the following are seen as the top 10 common credit card mistakes are explained below.

1. Apply for a limit card that you cannot pay.

Most people have bad debt management skills and stay away from the fact that they have a maximum “X” of pounds. They rarely consider paying the card and “raising the limit” to the card in a few months. Then they spend years trying to pay off the card!

2. Apply for a large number of cards.

Not only does it have a single credit card that has reached its limit, most of us jump on the opportunity to apply for a new card once it is presented to us. Then, after we learned nothing from our previous experience, we hurried and bought all the things we couldn’t get because we had to save money to pay off the first card. Suddenly we have a weak problem!

3. Use the cash advance function

At least with purchases made for goods and services, we should get about 50 days of interest-free credit, but with a cash advance we start paying interest from the first day. Using your credit card to cover your daily cash needs is an expensive mistake!

4. Pay only minimum payment.

Credit card companies love us and should be a favorite of common credit card errors, but with higher interest rates on credit cards as they are, if you only pay the minimum monthly payment, then you should know that it will take years to pay off the debt and pay off the debt many times in payments Benefit!

5. Maximize the card.

Another common mistake and half of the country mistaken is to increase the card. If you have reached your credit card limit, this is a sure sign that you are living outside your ability limits, so what hope do you have to pay off the debt without a major overhaul of your debt management skills!

credit card mistakes

6. Late payments.

Late payments are subject to exorbitant interest rates, extremely profitable fee-setting for a credit card company, and a very unfortunate mistake for you!

7. Not checking your statement

A common mistake when we start to feel the debt burden is to start ignoring the fact that debt exists in the first place. If that happens, the odds are that the fees and charges will start to accrue and the next thing you know is that you don’t pay the minimum payment. Suddenly you are subject to more fees and expenses. And so the cycle continues!

8. Add a secondary user

Although some may not consider this a mistake, if you add a secondary user to your credit card account, you suddenly lose control of spending on your card – regardless of the person. Now bills can accumulate on your account without naturally controlling yourself, as they are handled by a third party (you delegate). A dream of a credit card company.

9. Use your card abroad

For every overseas purchase, you may be subject to fees and a poor exchange rate. So, even if you are the perfect customer for a credit card and pay your bill in full and on time, suddenly the card issuer will make money from you!

10. Not reading the credit card agreement

In a hurry to get a credit card, you haven’t read the terms and conditions of the agreement, so you don’t realize that if you behave in a certain way or do something that you shouldn’t do, you will likely pay for that. But the real reason these errors occur in common credit card errors that exporters like to see is that if you do not read the agreement carefully, you may be charged for add-ons that you may have been able to unsubscribe to – like credit card insurance (a big profit for card issuers) !).

These are the major 10  credit card mistakes , avoid this for save your hard eared money and wish you  better financial future.

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