Credit cards are an invaluable tool for managing finances during times of cash crunch. Over the years, they have become an essential part of our lives, thanks to their convenient usage and simple repayment options.
keeping an eye on your usage of the credit card from time to time is a good idea. It gives you a basic idea about the type of purchases you usually make. Whether you are an experienced credit card user or a new user, knowing the type of credit card you have is beneficial. Knowing the type of credit card you have can help you earn the highest benefits when you use your credit card for that specific purchase. You can opt for a card that offers you the most benefits based on your common usage. For example, there are credit cards offers in UAE for the best benefits like shopping, travel, restaurant, movies, etc.
Some members use their credit card to pay for their children’s school fees, while some use it for shopping.
Before using your credit card on anything flippant, slow down and remember that credit card is to help you out with your finances. So, make sure to use your credit card carefully. Don’t exceed the credit limit. The bank has a credit card limit for a reason. If you exceed your card limit, you will be charged accordingly by the bank.
Paying for your daily expenses using your credit card is a very good idea. As these are the expenses that are always regarded while accounting your finances, it will be easier to pay off the debt every month. It will also affect your credit score in a good way. As you know, to keep a good credit score, it is necessary to spend a certain amount using your credit card every month and pay your credit card bill on time. Using your credit card to buy your daily needs will not only benefit you in rewards but also help you to keep a good credit score.
As stated in the first point, you get certain benefits when you use your credit card. You are rewarded according to the type of card you have. Some credit cards even offer travel benefits, golf privileges, airport lounges, healthcare memberships and lifestyle perks too.
But some cards have an expiry date on their credit card benefits. It means that if you don’t use your rewards and offers within a limited time, your rewards and offers will be nullified and of no use in the future.
There’s no doubt that credit card is preferable, compared to cash. And if you wish to continue availing the benefits of credit cards, make sure to pay your bill on time. Don’t make the mistake of paying just the minimum amount as it will further put you in debt, with the increasing interest rates. Paying your bill on time will help you keep a good track record of your finances.
With that ends the list of things you should do with your credit card. And the followings are the list of 5 things you should not do with your credit card.
Over to you
It doesn’t matter if you are a new user or an experienced user, if you have read the above DOs and DON’Ts carefully, you will be able to use your credit card smartly. Think before purchasing with your credit card. Think carefully whether you really need the item or not before making a purchase.