Credit cards have proven to be one of the most invaluable financial tools in modern times. They are quick, they are convenient, and they always come to your aid when you are facing a cash crunch. Not just that, they also pack in wonderful features and promote healthy financial planning in the long run. Find below the details about advantages of credit cards
Credit card transactions are not only quick and convenient, but also bring with them several advantages such as discounts, cash back, and reward points.
Certain credit cards are available in the market offer several innovative benefits. The advantages of credit cards and their industry-first features make our lives much simpler.
For instance, the Bajaj Finserv RBL Bank SuperCard brings the power of four cards – credit, cash, loan, and EMI – into one smart package, making online and offline credit card transactions much more convenient and affordable.
Let’s take a look at some advantages of credit cards that make credit cards a must-have:
Easy big-ticket purchases:
How many times have you come across an expensive electronic appliance, or a piece of jewelry, or even some stunning vintage furniture that you wanted to purchase but did not due to budget constraints? These one-off expenses can cause some serious damage to your savings, and nobody wants that, right? But with credit cards, you can easily convert these big-ticket expenses into affordable EMIs that are easy to pay over a course of few months!
Most credit cards today offer reward points in exchange for using them to make purchases. These reward points are meant to encourage you to use your credit cards more frequently. Once you accumulate enough of these reward points, you can use redeem them against exclusive discounts, cashback, gift vouchers, and even products.
Boost credit score:
We all know that a good credit score is one of the major prerequisites for getting a credit card. However, it is way more important than just that. Even after you have successfully obtained a credit card, it is of utmost importance that you strive to maintain a good credit score as it can help you in procuring financial assistance in the future. This can be easily achieved by using your credit card responsibly. How? Well, when you make timely bill payments, don’t default in repayment of loans and EMIs, all of it has a positive effect on your credit score.
Protection from fraud:
Using credit cards for online transactions provides better protection from fraudulent activities when compared to debit cards. This happens because, in the case of a debit card transaction, money instantly goes missing from your account whereas in the case of a credit card there is an independent third-party lender between you and the merchant. If a fraudulent transaction occurs and you notify the credit card issuer of the same, you can safeguard yourself from paying for the fraudulent transactions while the issuer resolves the issue separately.
Freedom from cash:
This is, by far, one of the most important advantages of credit cards. They provide freedom from carrying a bunch of cash with you. Not only is carrying cash with you risky, but it can also limit your options, especially if you are traveling internationally. If you use an internationally accepted credit card with you, you can use it anytime, anywhere without having to worry about paying in cash. Moreover, you are likely to earn reward points for each transaction you make – it’s a win-win situation, really!
Exclusive discounts and cashback:
Nowadays credit card issuers are coming up with more unique features with every product. They offer multiple benefits such as fuel surcharge waivers, frequent fliers discounts, exclusive dine-out discounts, free or discounted movie tickets, etc. Additionally, credit cards also offer amazing cashback offers, contributing significantly to your savings in the long run.