Tips for Maintaining a Healthy Credit Score


A credit card is the easiest way to accomplish your purchase plan without paying the cost out of pocket and at a go. The credit Card entitles you to a credit limit, which you can use to make necessary purchases.

The best part about the credit card is that you enjoy 30 to 45 days of interest-free credit; thus, you can escape the threat of out-of-pocket. However, it is equally important to maintain a Healthy Credit Card Status. Unhealthy Credit Card Status threatens you with a lawsuit. It shatters all the prospects for Credit Cards, Loans, and other credit products at subsequent times.

Please Refrain From Exhausting The Entire Credit Limit At A Go

The credit card entitles you to a specific credit limit for making all purchases. It is the most crucial aspect related to credit card status. Financial Experts always advise that cardholders should only partially exhaust their credit card limit. In doing so, the cardholder cuts a credit-hungry image that not only blocks all the prospects for availing credit products in the future but creates a hip of debt on the cardholder that becomes impossible to repay. Ideally, cardholders should never utilise more than 35 to 40% of the credit card limit at a go. It will help the cardholder to manage the repayment easily and maintain a positive status.

Be Considerate In Using Your Credit Limit

If you are a credit card holder, consider using a credit card. The available credit limit will tempt the cardholder to materialise all their spending plans with the credit card as they need not pay anything out of pocket. However, it is where they commit the gravest mistake. As a wise credit card holder, you should use the credit card to finance only the inevitable purchases. It will help you to keep your credit card spending within a healthy limit so that you never develop a hip of debt over your head.

Please Keep Paying The Credit Card Bills Regularly

The most important trick to maintaining a healthy status for your credit card is to keep paying the bills regularly. It will help if you set payment reminders that will help you to remember the payment date so that you never miss paying the bills.

Remember, the unpaid amount on the credit card keeps growing in retrospect. Hence, if you miss the payment due date, you must pay interest on the outstanding amount from the first day. Missing the due date on the first circle will accumulate the entire outstanding for the second cycle, and you will have to pay interest for both cycles.

Managing the repayment will only turn possible if the outstanding keeps accumulating in this manner. You can visit the Bajaj Finserv RBL credit card login page and register using your credentials. Consequently, you can keep paying the bills with one click and set an auto-payment mandate for paying the bill on the due date automatically.

You Must Pay The Credit Card Bill In Full

The credit card bill payment will do if you make a minimum payment for a billing cycle. It might help you manage the monthly repayment with the minimum amount. Still, it triggers bigger problems for subsequent times. The unpaid amount for the month gets split into the next billing cycle. It will add up with all the expenses for the second billing cycle. Eventually, you will need to pay interest on the entire amount from the first day of the first billing cycle. It will inevitably pile up debt on your account, making it difficult to manage the repayment. Therefore, you should completely pay the credit card bill for a billing period without carrying over any amount to the next billing cycle.

It Will Help If You Do Not Utilise The Cash Withdrawal Limit.

The credit card entitles you to a cash withdrawal limit and the credit card limit for making purchases. You can always utilise the cash withdrawal amount to match your cash needs. However, please refrain from doing so. It is because you will not get any interest-free time on the cash withdrawal, and the amount withdrawn will start attracting interest from the day of withdrawing the cash.

Moreover, credit card issuer companies charge significantly high interest on such cash withdrawals. If it becomes inevitable to withdraw money using the cash limit, please ensure that you repay it as early as possible, or else you will keep accumulating debt till the day you complete the repayment.

It will help if you comply with the tricks and tips discussed in the paragraphs above. It will help you to retain your Credit Card Status and escape problems and troubles in the future. Most importantly, it will help you to retain a healthy credit card status, optimising your prospects to get all credit products in the future.

The Bajaj Finserv RBL Bank Credit Card fetches the best rewards for cardholders. +

Read also: Understanding the Different Ways to Reach RBL Credit Card Customer Care

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