The usage of plastic money is on the rise. The individuals are more than willing to spend through their credit cards rather than through their debit cards. Credit card usage should be monitored vigilantly. It is very important to be financially disciplined if you are using the credit cards. These cards can be your long term financial planner if you use them in right ways. They will help you to tide away the problems during the troubled financial times.
When To Use Credit Card?
The ultimate objective of having credit card is to use them for the purchases when you do not have money. It is important to understand that there is a free period of time given to pay back the billed amount. This usually varies from 20 to 50 days of time where the interest amount will not be charged for your card. When you are in dire need of money and do not want to be dependent on others, your credit card can be your life saver. Make sure you should have the potential to repay back the amount on time.
How To Use Credit Card?
Even the objective is to use the credit card during a crisis that cannot deter you from spending the card on normal times. You are not restricted to use the card when you do the monthly shopping or when you pay the utility bills. According to financial experts, you can use your card for all your spending as long as you can repay them back on time.
Benefits of Using Credit Card:
Right usage of your cards can help you to reap better benefits. It is important to have sound knowledge about the policy, terms and conditions of your cards to make the most use of it.
- Credit card can be swiped at the point of sales when you do not have cash.
- Your emergency shopping requirements can be fulfilled by using the cards.
- Even the normal expenditure can be made through credit cards.
- You will get reward points on all your purchases which will get accumulated over a period of time.
- You can avail up to 5% cash back on all your spending depending upon the offers available.
- You can even get up to 10% discounts and offers on products in the market.
- Reward points can be used to buy products as they can be exchanged in place of money.
- These cards can be used to swipe out money when you need them from the ATMs.
- Even a larger amount of spending can be made and these amounts can be changed to easily payable monthly installments at lower rate of interests.
- You can avail loan against your credit card. This will help you to get instant money where you will still enjoy the credit limit on your card without blocking it.
So, are you convinced with the benefits of using a credit card? There is nothing bad about these cards as long as you use them in the intended and in the right way.