6 Reasons Why You Need a Credit Card

Compare & Apply Credit Cards
  • Airport Lounge
  • Shopping Benefits
  • Fuel benefits
  • Movie Discounts




Best credit cards with 0 Annual fee*


Best credit cards with 0 Annual fee*

  • Dubai
  • Abu Dhabi
  • Sharjah
  • Ras Al Khaimah
  • Ajman
  • Other
  • Cashback up to AED 2,000
  • Rewards + Welcome Offers
  • No Annual Fee
  • Travel benefits
  • Dining Discounts
  • Entertainment Benefits
Looking for Specific ?
Salary range
5,000 AED50,000+ AED
Credit card Banner
Most Popular Credit Card in UAE
Having a credit card has its own benefits. It is a matter of preference whether you need two or more credit cards or not. Though some see it as a liability, many people even might not hesitate to pile them up in their wallets.

As per finance experts, having a less number of credit cards helps you get your finances under control. As per them, not only will it curb your excessive spending habits, it also will help reduce financial risks.

There are times when having more than one credit card comes in handy. Listed below are some situations where it is reasonably appropriate for you to express your desire for opting for a credit card.

1. Considering Credit History

A good credit history is considered fairly important as it determines your eligibility for a loan application. The number of credit cards a person has will certainly make a difference in their credit history. Having more than one credit card and using them wisely affects your credit history in a positive way.

One important thing to consider is the length of credit history which may impact your overall credit Score. The moment you take a new credit card, it can help you reduce the overall length of the credit history.

2. Availability of Rewards Points

Who doesn’t like getting rewarded? And when it is for buying the things or availing the services you love, this joyful feeling knows no bounds. There will be ample opportunities to swipe your credit card at specific places like retail shops and earn rewards or cash-back points. When picking a credit card, considering reward points is a wise move. If you are opting for a credit card that comes with annual charges, ensure that the offered benefits are worth paying the annual fee.

3. Balance Transfer

Some credit cards come with an introductory 0 percent APR for balance transfer. It could prove to be beneficial by saving you months of interest, mostly when the interest rate afterwards is significantly lower than what you have already paid. Make sure that you read the fine print of the credit card you want to opt for. It will help to get clarity on- cap on how much amount you can transfer and what interest rates will apply after some time.

4. Higher Credit Limit

When your credit card limit is low, there is nothing better than getting a new card that helps increase your credit limit. There is no point in exhausting the credit limit on your card. It is advised to use your credit card only when you don’t have any other resources.

Keep in mind that banks can increase your credit card limit if you are consistent with your payment history. Make it a point to closely monitor the transactions you have made using the card. Having your outstanding expenses spread evenly across various credit cards will require you to keep a track of your expenses. However, the mantra is there should not be an unreasonable difference between your spending and repayment abilities.

5. Travel Benefits

Wise travellers know the benefits associated with the plastic money. Not only does it ward off any possible inconvenience arising during travel abroad, but a credit card will also earn you rewards and privileged discounts at several participating retail stores, dining restaurants, hotels, and airport lounges around the globe.

Some of the best credit cards in UAE come with a host of benefits and rewards that are nothing short of magnificent. When you use the right credit card that guarantees extra consumer protection, you can rest assured that your travel is secured.

6. Free Insurance

The best thing about credit card is you get additional benefits without paying anything extra. For example, some credit cards in UAE come with benefits like free purchase protection, travel accident insurance and more.

Final Words

Now, that we have already mentioned some of the best reasons that highlight the importance of a credit card, the leading question is what factors to consider when choosing the right credit card.

To avoid shelling out hefty bucks afterwards, you just need to pick a credit card that is likely to ease out your financial burden.  However, you can follow these easy steps to find the most suitable card for your needs.

  1. Identify your needs as in which type of credit card suits your credit card expectations.
  2. Compare and search from an array of options available online.

Considering the above steps, you can select a credit card that will be the pick of the lot and will help you achieve your financial goals in the most efficient way possible. Credit cards are all about meeting the diverse needs of the cardholders be it building a credit score, paying bills or earning rewards.

More From Credit Cards