Never use credit card to withdraw cash: This is a very important point to remember. It is tempting as it is an easy access to money but it is the last debt to be paid of on your card. Yes, the normal 3 percent will be charged but since it is the last debt cleared, the interest amount will add up and at times add up to a very huge amount.

Spending abroad? Check first: The tendency with a credit card when taking it abroad is to spend first and think later, but this can pose a serious problem.

Some companies charge for foreign currency conversion that is about 2.75 percent onto transactions made abroad. Now this is not all, there is also high interest rate on every withdrawal made. So read the fine print on your card before spending.

Late fees unforgotten: Some customers have the tendency to payback late but also there are other genuine reasons to pay late but this becomes a burden and also a profit for the bank. They charge late fee and also no longer refund them.  As per the latest news the RBI has asked banks to not charge late payment dues in the next billing cycle.

Now if the due date is on a weekend then the company is to consider the payment as on time. Now this change brings little relief but may not last long.