Nowadays there are many benefits of using credit cards. If you use a credit card, you should consider its advantages as well as disadvantages. Through this article we know what things should be kept in mind along with the benefits of credit cards.
Whenever we talk about credit cards, many people think that by using credit cards we will be ready to face the burden as well. If we use credit card properly then we can get many benefits. Today we will tell you about the benefits of credit card. Along with this, we will also tell you some tips related to credit card.
It is important to consider the advantages and disadvantages when using a credit card.
Credit cards are very important to maintain our financial condition. Whenever we use a credit card, we have to keep in mind its advantages and disadvantages. Let us know about the benefits of credit card. Your credit history is checked at the time of approval of any type of loan. Apart from this, your credit score is also checked. If your credit score is not good then you may face a lot of difficulty in getting a loan. Let us tell you that if you have more than one credit card, it will strengthen your credit history.
By using credit card, you also get many types of reward points. You can use these reward points while shopping. Let us tell you that every bank gives different reward points to the customers. Many companies also give shopping vouchers to customers in exchange for reward points.
you get time to pay
After spending through credit card, you have to make payment through credit card. In such a situation, if you never have enough money due to any reason, then you can easily use the credit card without any hassle. You have 30 to 45 days to pay the credit card bill. You can also pay your credit card bill with cash.
take advantage of sales
Many cards give you extra benefits at the time of sale. Many e-commerce platforms offer discounts on different cards. In such a situation, to get more deals, you should use the card on which you will get more discount. Let us tell you that on some credit cards you will get more benefits on movie booking as compared to other cards.
You will get the benefit of EMI
If you are unable to pay your credit card bill on time, you can also avail EMI. In this you can pay your bill in installments. Let us tell you that no cost EMI facility is available only on credit cards. While paying through EMI, you must check how much interest or charges will be levied on it.
You can avail credit card in case of emergency
No emergency ever comes without warning. In such situations, credit cards help us a lot. In case of any medical emergency, if there is no money in the account, you can make payment through credit card. Moreover, you can also use it for small financial purposes like recharging your phone.
Keep these things in mind
- Many people should not spend more than 30 percent of the card limit when using a credit card. If you do this, it may affect your credit score.
- Many people withdraw cash through credit cards. We should never withdraw cash from credit card. We have to pay heavy charges for withdrawing cash from credit card.
- You should always try to pay the minimum credit card bill. If you do not do this, your card may be blocked.
- Never close your credit card. If you have 3 credit cards and you close one card, it may increase your card utilization ratio. This may damage the credit score.
- We should never make international transactions using credit cards. If you do this you will have to pay forex transaction fees. If you’re abroad, try using a prepaid card.