Credit Card: For these 6 people, a credit card is not a relief, but a problem…will trap them in debt and ruin their CIBIL score..

Credit cards are very useful for those people who know how to use them properly. When you have a financial crunch, you can easily arrange money through a credit card and repay it without any interest in the grace period. Apart from this, you can also take advantage of various offers, discounts, reward points, etc. through credit cards. But for some people, a credit card is not a relief but a problem. It can entangle them in the web of debt and ruin their CIBIL score. If you also fall on this list, then it is better not to take a credit card, otherwise, you will increase problems for yourself.

Shopping without thinking

Some people do all kinds of shopping just after seeing an offer or discount. Before spending, they do not think that this will spoil their entire budget and financial challenges will increase. If you also have a habit of spending without thinking, or have a habit of spending more than your income, then do not take a credit card. If you want to take it, then first get rid of this habit. If you are not able to pay the credit card dues in the grace period, then a huge interest will be charged. This will not only increase the burden of debt, but if not paid, the CIBIL score will also deteriorate.

Those who do not have a stable income
If you do not have a stable income, then it can be difficult to pay the credit card bill on time. In such a situation, you can get entangled in the debt trap. Such people should use credit cards as backup.

Those who are already burdened with debt
People who are already burdened with many loans like home loans, car loans, personal loans, etc., should avoid increasing the burden of loans through credit cards. Expenses can increase further due to credit cards. In such a situation, you may have difficulty paying the EMI of the existing loan. Taking more debt can worsen your financial condition.

Those who think of paying the minimum due
If you think about paying the minimum due on the credit card, then it would be better that you do not use the credit card at all. Due to this mistake, interest will keep on accumulating on the outstanding amount and the debt will increase manifold. After this, you will be burdened with debt.

Those who lack financial discipline

Discipline is very important for credit cards. If you do not remember due dates, spend excessively, but do not keep track of them, or do not follow a budget, then do not use credit cards, this is good for you.

People who take another loan to repay the loan

Some people first increase the burden of debt, then keep paying the bill of one card from another or take a personal loan. This habit traps them in the web of debt and also increases the risk of CIBIL getting spoiled if the loan is not repaid. Such people should not use credit cards. If they have a credit card, then it should be closed.

Disclaimer: This content has been sourced and edited from Hr Breaking. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.