Hello shopaholic! All set to indulge in a shopping spree this New Year? Here’s how you can use a Credit Card without drowning yourself in a sea of debt.
Are you the kind that likes to shop till you drop? Do your toes get all tingly when you hear the words ‘sale’ or ‘discount’? We hear you! We totally understand the obsession with shopping. But you really don’t want to pile up your debts in the process.
Why Shop With a Credit Card
A Credit Card is your friend. Believe it or not, there are more advantages to shopping with a Credit Card than there are risks. Those who understand it usually juggle multiple Credit Cards with ease. Want to know the secret?
A Credit Card helps you build a solid Credit Score. When you pay your Credit Card bill on time, you are creating history – a good credit history. This makes availing loans and other cards easier for you. You’ll never really be in financial trouble because most banks will be smiling upon you, ever ready to lend you money. Hallelujah!
Another great reason to shop with a Credit Card is that they’re packed with amazing rewards. Spending with your Credit Cards can earn you big reward points and great cashbacks. You also get some mouth-watering deals shopping with Credit Cards.
Isn’t it also easier to just swipe your card at the counter than hand over cash and coins? You don’t even have to worry about change. A Credit Card also gives you the option to pay for your luxury splurges in easy instalments every month! We kid you not.
Great! Give Me More
Here are a few pointers on how you can shop like an absolute boss using your Credit Card.
Understand Your Card
Rewards vary from one card to another depending on the type and the bank you got your Credit Card from. Do you have a card that gives you bonus points on retail shopping or is it a travel card that gives you free air miles? Choose a card that aligns best with your interests. Do you want a card that offers cashback or one that gives you free flights? Define your need.
Use cashback to get more cash back
Just like the universe gives back what you offer it, you’ve got to use your Credit Card cashback points like karma! When you shop with your card, you win some cash back. Use that cash to spend on your next purchase to get more cash back. Not-so-vicious a cycle huh?
Points Expiring? Shop NOW!
Reward points are no good if you don’t use them. They’d just be lying in your account, cold, and dying! Why would you want to do that? Keep track of when your reward points expire and use them up every time you go shopping. Check for accumulated points at the counter while billing and redeem them against your purchases. Don’t forget to check the terms and conditions as well.
What Card Should I Get?
Don’t have a Credit Card? No worries! There is a card for every kind of a shopaholic. Let us help you pick one right now.
You’re going to love this card for its amazing cashback features. You get 5 percent cash back on your telephone bills, movie tickets and utility bill payments. What’s more? You get 0.5 percent cash back every time you swipe your card and 15% off on dining across 2,000 partner restaurants. Wowza!
You should probably use this as your grocery card. This one offers 10 points on every Rs.100 spent in a departmental or grocery store. The points also apply to movie ticket purchases and restaurants. Another special feature? If you spend Rs. 2,000 in the first two months of getting the card, you get a bonus of 2,000 points.
Love buying fashion online? You’ve got to check this card out. Firstly, you get Jabong and BookMyShow vouchers worth Rs. 500 and Rs. 300 respectively. You also get 10 percent cash back on purchases on redBus, BookMyShow and Freecharge. Super duper!
This card has no annual or joining fees! How’s that for starters? You get 6 points on every Rs.150 spent on restaurants and phone bills. You also get 5 times the reward points if you spend Rs. 4 lakhs annually. In addition, you get up to 20% discount at select restaurants and lounges in India.
This one is high on cashback as well. You get 10X points for every Rs.100 if you shop with the card with SBI’s online partners and 5X points for every Rs. 100 spent on online purchases with the card. You also get an Amazon voucher worth Rs.500 on joining!
Ready to roll?
Having a Credit Card does give you the freedom to spend, but don’t go overboard. Always keep your shopping receipts and make sure to match it with the statement your bank sends at the end of the month. Pay your bill on time and you’ll never regret getting a Credit Card.
While you can opt to go for more than one Credit Card, always remember to use the one with the most relevant rewards more frequently.