Avoiding late fees on credit card bills is crucial for users to ensure that credit card usage remains a pleasant experience. Such discipline can also help card users to maintain a clean credit profile and a strong credit score.
According to a recent report, over 42% of credit card users spent more than ₹50,000 on festive shopping this year. This points towards the increasing aspiration of credit card users to make expensive purchases and noteworthy financial commitments towards premium products and services.
Furthermore, about 22% of the survey participants spent between ₹50,000 and ₹1 lakh this Diwali, whereas 20% spent more than ₹1 lakh on their credit cards to purchase new products and services.
When celebration ends and bills begin
The problem starts when the celebrations end and the bills arrive. Every card comes with a grace period, a few days after the statement date, to clear your dues. Miss that window, and banks can charge steep late fees and interest, which quietly eat into your savings and lower your credit score over time.
Ways to keep your credit score strong
The following tips will help you maintain a high credit score and a spotless credit history:
Therefore, by utilising technology, planning efficiently, and staying vigilant, you can easily avoid late payment charges on your credit card and ensure that using credit cards remains a pleasant experience for you.
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Disclaimer: Mint has a tie-up with fintechs for providing credit; you will need to share your information if you apply. These tie-ups do not influence our editorial content. This article only intends to educate and spread awareness about credit needs like loans, credit cards, and credit scores. Mint does not promote or encourage taking credit as it comes with a set of risks, such as high interest rates, hidden charges, etc. We advise investors to discuss with certified experts before taking any credit.
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