At times, we do not have the cash to dispose of everything we have to resort to a loan. In such a situation, the credit card comes in handy. It is easy to use a credit card, but we can get stuck in debt on payment through credit card for your daily expenses. In spite of cash, the money is saved when we pay through a credit card, but the credit card has to be paid further. c as well as how to get out of it.
If your savings are not increasing: Every month, you should put some amount in your savings. Savings can be for anyone, such as retirement, emergency funds, children's education, or downpayment of your home. If your savings are not growing at a fixed rate every month, it means you are at risk. If you do not have any savings, you can be caught in a debt trap like emergencies such as job exfoliation, sickness.
If your savings are not increasing: Every month, you should put some amount in your savings. Savings can be for anyone, such as retirement, emergency funds, children's education, or downpayment of your home. If your savings are not growing at a fixed rate every month, it means you are at risk. If you do not have any savings, you can be caught in a debt trap like emergencies such as job exfoliation, sickness.
Minimum payment of credit card bill: The minimum payment of credit card bill indicates that you are in debt. The minimum amount is not the full amount, but it is to pay some of your entire bills like a bill, and you also have to pay interest with the payment on the remaining amount.
Advance cash on credit cards: The credit card should not take advance cash, as the cost is high. So whenever you take advance cash on a credit card, it shows your serious financial situation. You have to make more interest payments from advance cash on credit cards.
Minimum payment exceeds 20% of your income: If the minimum payment amount on your credit card is more than 20% of your income, it indicates that you have too much debt. This makes it seem that you are having difficulty in covering your home, food, car, and other essential expenses, and you don't have enough money.
Paying debts from one loan to another: If you are taking loans in another way to pay your credit card bills, it indicates that you are in debt, although the source of your loan may be a personal loan, a gold loan. By doing so, you do not get rid of debt, but you get into the trap of more debt.
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