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Credit card is a plastic card that is issued to an individual by a bank on request. This card can be used by the individual to shop goods across various outlets that accept credit cards. On a broad categorization, credit cards are of two types namely, Visa and Master. The banks give these cards to their customers based on their repayment capabilities. There is a credit limit for each card beyond which it can’t be used. The customer can repay the credit borne by him within a period of 50 days of his usage. Credit cards when used effectively can be a very useful tool to maintain the cash flow, whereas the same may become dangerous when used in an uncontrolled manner.