Why is it Essential to Check Credit Card Balance? - Letsdiskuss
LetsDiskuss Logo
Gallery
Ask Question

lets user

Financial Advisor | Posted 16 Jul, 2019 |

Why is it Essential to Check Credit Card Balance?

Anonymous

Posted 16 Jul, 2019

It is important to initiate a credit card balance inquiry and check the available credit limit before spending.



To maintain a high credit score


Keeping track of the credit balance can help you maintain a healthy credit utilisation ratio below 40%. A lower credit utilisation ratio increases the CIBIL score and vice versa. So, initiate a credit card balance inquiry to check the unused limit and manage your expenditures accordingly.


To plan expenditures


Knowing the available credit balance helps you plan all expenditures strategically. It will prevent your card from getting declined while transacting. Regular monitoring and staying updated also ensures that you are able to avail much necessary funds during an emergency or cash shortage.


To trace unidentified charges


When checking the credit card balance, you are likely to gain access to transaction details as well. This can help you identify unauthorised accesses or charges using your credit card. In that case, you can immediately report the error and avoid paying any unnecessary charges.