Offers
Rates
V-KYC
Debit Card Related
Credit Card Related
SA Welcome Kit 
Manage Mandate(s)
Get Mini Statement
categories
Bloggers
Blog collection
Press Release
Common Credit Card Problems and How to Fix Them
Posted on Monday, July 22nd, 2024 | By IndusInd Bank
Credit cards offer convenience and financial flexibility. But they can also present a challenge if not managed effectively. Understanding and fixing these common credit card problems promotes responsible credit card use.
This article explores some of the most common credit card problems and provides tips on fixing them.
Common Credit Card Issues and How to Fix Them
From high interest rates to security concerns, here are some issues you may face with your credit and how you can fix them:
1. High Interest Rates
A common credit card issue is having to pay high interest rates. It can lead to significant debt if you do not repay the balance fully each month.
How to Fix It:
- Pay More Than the Minimum: Pay off the full balance each month. If that’s not possible, pay more than the minimum amount. It can reduce the principal balance faster.
- Balance Transfer: Consider transferring your balance to a card with a lower interest rate.
2. Late Payment Fees
Pay on or before the due date to avoid hefty late payment fees. Such fees add up quickly and negatively impact your credit score.
How to Fix It:
- Set Up Automatic Payments: Automate your payments to ensure you do not have this problem with your credit card again.
- Reminders: Use calendar reminders or alerts from banking apps a few days before your payment is due.
- Request a Waiver: Contact your credit card issuer to request a one-time late fee waiver. It may work if you have a history of timely bill payments.
3. Credit Card Fraud
Fraud is a serious credit card issue that can result in unauthorised charges and financial loss.
How to Fix It:
- Monitor Your Statements: Review your credit card statements regularly for unauthorised transactions.
- Report Suspicious Activity Immediately: Contact your credit card issuer whenever you notice any suspicious transaction on your card.
- Use Secure Websites: Enter your credit card information only on secure and reputable websites.
4. High Credit Utilisation
If you use too much of your available credit, it can negatively impact your credit score. This credit card problem can make it harder for you to get loans or credit in the future.
How to Fix It:
- Keep Balances Low: Keep your credit utilisation ratio below 30%.
- Increase Credit Limits: Request a higher credit limit from your issuer. However, avoid increasing your spends.
- Pay Down Balances: Focus on paying down your balances as quickly as possible.
5. Additional Fees
Having to pay numerous charges, such as joining fees or annual fees, is a credit card problem many cardholders face. These fees can add up and diminish the benefits of having a credit card.
How to Fix It:
- Choose Lifetime Free Credit Card: Opt for credit cards with no joining or annual fees.
- Review Fee Structure: Review the credit card’s fee structure and compare it with other options before applying.
- Contact Customer Service: Sometimes, banks may waive certain fees for valued customers.
IndusInd Bank offers a range of lifetime free Credit Card options, such as:
- Legend Credit Card
- Platinum RuPay Credit Card
- Platinum Visa Credit Card
- Platinum Aura Edge Credit Card.
These lifetime-free Credit Cards ensure you can enjoy their benefits without worrying about excessive charges.
Also Read: How To Get a Lifetime Free Credit Card With No Annual Fee In India
Conclusion
Credit cards are valuable financial tools. However, one must manage them carefully to avoid common credit card issues.
IndusInd Bank offers a range of credit cards designed to meet various needs. You can enjoy special travel privileges, reward points for everyday spends, complimentary movie tickets or golf lessons, and more with IndusInd Bank Credit Cards.
Apply Now.
Disclaimer:
The information provided in this article is generic and for informational purposes only. It is not a substitute for specific advice in your circumstances. Hence, you are advised to consult your financial advisor before making any financial decision. IndusInd Bank Limited (IBL) does not influence the views of the author in any way. IBL and the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for making any financial decisions based on the contents and information.
