Top #5 Tricks to use your Credit Card smartly and effectively
|Everyone would like to maximize the benefits from their credit card experience. Fortunately, there a few tricks to use credit cards in India in smart and effective manner. Most people think to apply credit card online because it has become the need of the hour. Once your activity of online compare credit cards is over, fill out that credit card application!
Once you have availed an online credit card, check these useful tricks:
Short Term Fix Deposit
Every credit card holder receives a bill at the end of the month. When you apply credit card online, it states that you will have to pay the credited sum. Instead of keeping the expected credit card bill amount in your bank account, make a short term fixed deposit. This way you will earn 7% instead of 4%. If you make a 90 day fixed deposit each month for your expected credit card bill, from the third month the fixed deposit will mature. This ensures easy availability of money. You can also make the deposit for 30 days of your particular ban gives you a good return in that period.
Two Credit Cards
Choose two best credit card online and ensure that they have two different billing cycles. Try having a gap of 15 days between them. This way you can use one credit card for the first 15 days of the month and another for the next 15 days. This practice will make sure that if you are someone who uses credit cards a lot, you will get the benefit of enhanced credit period at all times.
Make use of EMI
One free credit cards tip is obvious – make use of the Easy Monthly Installment (EMI) option to make big purchases. Convert your purchase into an EMI and make the payments in the form of regular installments. This way you do not blow up a big amount of money at month and there is no compromise on your needed purchases.
Save by using the right card
Some of the credit card India provides 5% cash back every time you make a purchase through it. These purchases could be movie tickets, utility bills etc. For other purchases, 0.5% cash back is made available. Over time this could result in great savings.
Making your Credit Score better
Many people make mistakes with things such as loans in their youth and sometimes it results in them getting a poor credit score. One of the best possible ways to improve your credit score is to select an appropriate credit card. You will definitely have credit card eligibility; use it to redeem your credit score by making regular purchases on your credit card.
Bonus Tick – Reward Points
Most of the available credit cards offer you great deals with reward points. Some of them offer up to 10 reward points for every Rs 125 spent by you (with select partners). For regular purchases you get around one reward point for every Rs 125 that you spend.
Demonetization has impacted the use of cash money and many people make use of credit cards these days. Make the most of your credit card use by following the above tricks. Multiple offers and savings are available with your credit card – ensure that you are aware of them.