What are the benefits of owning a credit card?

                                  

You all have heard about the disadvantages of having a credit card a lot of time, but have you ever heard about the advantages of that credit card except the one famously known i.e credit facility? let's check it out!!!

 

There can be many advantages to using a credit card, as long as it’s done responsibly. Learn more about how using credit cards might help you earn rewards, build credit, manage your finances, and more. 

Key Takeaways

• Whether it’s a cash-back card, a travel card, a points card, or a secured card, there are credit card options to fit a variety of lifestyles and goals.
• The keys to getting the most out of a credit card are making sure you have a card that makes the most sense for you and be sure to use it responsibly by doing things like paying monthly statements on time.
• Many credit cards also come with additional perks, tools, and security features.
• Getting pre-approved for a credit card might help applicants see what cards they’re eligible for without impacting their credit scores.

Benefits of Using a Credit Card

If you’re using a credit card responsibly, there are plenty of benefits to having one—from earning rewards to building credit and all the extras that come along with being a cardholder. Here’s a closer look:-

1. Buy on credit:

What makes a credit card attractive is the credit limit allowed to the cardholder. You can buy anything within that limit and pay later. Your monthly budget will not affect, even if you buy items of high value on credit. One of the most important benefits of a credit card is you can convert the total amount of your purchases into low-cost EMIs to enable you to repay it easily over some time. This has helped revolutionize the shopping experience.

2. Most accepted method of payment:

You can travel anywhere, without carrying much money if you have this card. Being the most accepted method of payment, you can use a credit card to pay for anything.

3. Interest-free cash withdrawals:

There are a few credit cards that allow you to withdraw money up to a certain limit in case of emergency, with no interest charged up to 45 to 50 days. You can make use of it in times of financial emergency.

4. Unlimited reward points:

These cards come with reward points when you use them. For instance, IDFC FIRST Bank credit cards offer unlimited and never-expiring reward points, which are easily redeemable.

5. Insurance coverage:

You get personal accident coverage, as well as comprehensive travel insurance coverage and this is one of the significant benefits of credit cards, which makes them attractive.

6. Make travel easy:

The uses of credit cards in travel make them important. When it comes to IDFC FIRST Bank credit cards, they give you a unique experience through complimentary lounge access at the airports and railway stations in India and priority check-in. Other than these, you can also enjoy discounts on food in more than 280 restaurants.

7. Discounts and cashback:

The advantages of credit cards extend to discounts on some of your favorite entertainment and dining outlets, travel and shopping apps, etc. You can also enjoy fuel surcharge waivers at petrol pumps across the country.

8. Improve your credit score:

The benefits of credit cards do not limit shopping on credit; instead, it helps improve your credit score. If you know how to use a credit card and how to make use of the credit period, and repay the amount used on time, you can boost your CIBIL score. This will help you obtain loans, without any difficulty in the future.

9. Offers safety:

You don’t have to carry much money if you have a credit card.

10. Keep track of your expenses:

The statements you get every month from net banking help you check your expenses and plan the repayment without any delay.