Credit card is a form of plastic money. Many leading Indian banks offer a credit card to their customers so they can buy goods/services they can’t afford immediately. Credit card is the best way to build a strong credit score. On the basis of a strong credit score, banks and NBFCs offer a quick loan to their customers. Credit cards are easy to use and understand. Banks lend money to the card holders to make expensive purchases. The card holders are supposed to pay back the funds the next month on a particular date. They can pay back in one installment or into EMIs.

But one has to be very careful while using a credit card. You must avoid the following mistakes when you own a credit card…