Keep these things in mind while taking loan on credit card, otherwise it may cost dear

Credit Card Loan: The number of credit card users in the country is increasing continuously. In the era of Corona, the economic condition of the people is being badly affected and people are also taking loans on credit cards. It is easy to take a loan on a credit card these days, but a credit card loan can turn out to be a loss for you. So try to take loan only in case of emergency.

Why should you avoid taking a loan against a credit card?
The process of taking a loan against a credit card is easy, but its interest rates are much higher than the interest rates of banks’ loans. These high interest rates can spoil your budget at times and the burden keeps increasing on you. In such a condition, you should try to repay the credit card loan as soon as possible. Otherwise it can be very heavy on your pocket.

Keep these things in mind while taking loan against credit card
If you have taken a loan against credit card, then never delay in paying its EMI. Doing so will damage your credit score. Apart from this, you will have to pay a very high fine. The interest rates on credit card loans are already higher than banks, in such a situation, the amount increases significantly due to penalty. By the way, whether the loan is taken from bank or credit card, it is better to repay it as soon as possible.

Benefits of having more than one credit card
Some people hold more than one credit card, they can also repay the loan of one credit card through another credit card. However, this is not a very long term solution and you should try to get out of this problem somehow and try not to do this in future.

Also read: Keep these things in mind while getting health insurance, otherwise you may get upset


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