@Yashwanth Reddy Yenugu To use custom user attribute, you need to create a User Flow as documented here. When you Run User Flow, you need to choose sign-up to create a new user account.
If you want to assign custom attribute to the existing user that you created from users section, you need to create Profile Update user flow and sign-in with that user to assign value to the custom attribute for that user. Make sure in the profile edit user flow, you select the custom attribute checkbox that you created. When you will run profile edit user flow, you will get an option to specify a value for the custom attribute.
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