preterivati

1. to exaggerate
   Malo preteruješ, nije bilo tako strašno. — You're exaggerating a bit, it wasn't that bad.
   Uvek preteruje kad priča o svojim uspesima. — He always exaggerates when he talks about his successes.
2. (with s + instr.) to overdo it; to go too far
   Nemoj da preteruješ sa slatkišima. — Don't overdo it with the sweets.
   Sad već stvarno preteruješ! — Now you're really going too far!

In the sense 'overdo' it usually takes s/sa + instrumental: preterivati sa solju.