The current in a circuit depends on the rating of the appliances connected to it. The choice of wires depends upon the maximum current estimated to pass through them. If the total power rating of the appliances exceeds this permitted limit, they tend to draw a large current. This is known as overloading.
(i) the live wire and neutral wire come in direct contact
ii) too many appliances are connected to a single socket
Before the wires can overheat, the fuse or circuit breaker will open, shutting off the flow of current.
Move plug-in appliances to a circuit that is less-used
Remember not to turn on too many things at once.
Reduce lighting loads by replacing incandescent or halogen light bulbs with energy-efficient LED (preferably) or CFL (fluorescent) bulbs.