Reward points are the loyalty points earned every time when the credit card or debit card is used online or swiped offline. These reward points can be redeemed to book Hotels, Flights, Bus tickets online. Some banks allow using these Reward Points for buying eCommerce gadgets too.
Generally, Reward Points (RP) are credited for every 50, 100, 150 or 200 rupees spent on the card. Each credit card has a different reward points structure. Each reward point has a conversion value.
In India debit cards are most famous as we Indians love to have control over money and want to live a conservative life within our earning capacity.
There is nothing wrong in living a calculated life. I have huge respect for them. But there are few things a credit card can add value in our day-to-day life. Using credit card is so easy and smart decision if you know how to make full use of it.
Free credit period
Mostly all credit cards in India comes with 50 days free credit period. Which means you can buy today and pay next month.
Real life scenario: By 20th of every month i’ll mostly be broke and credit card will come handy that too when i live in city like Bangalore were even road side shops accept PayTM. I can top-up PayTM digital wallet with my credit card and pay after my salary.
Most people believe transacting on debit card is safe, but in reality debit card’s does not come with protection against any unauthorised transactions and the debit card holder need to worry about fraudulent usage of the card. But it’s not the case with most credit cards as they come with insurance program which covers you for a sum up to the credit limit on your Credit Card. Continue reading “Why credit card is important to have?”