A popular representation is that credit cards are the devils of the financial world, drawing you in with promises that can only end one way: you, with your finances in ruins, deep in debt; or worse, totally bankrupt.
But let’s shift our focus from the reel to the real thing. Credit cards are no longer the monopoly of the very wealthy. To cater to the middle and to some extent the lower income groups, credit card companies have come up with ingenious schemes and features.
These are designed to give you the best of both worlds – enjoying the benefits and privileges of credit cards while keeping your finances in order.
The road to managing your finances with your credit card is easy to learn, but it can often be difficult to follow. It takes utmost discipline and patience with yourself to begin financial management, but if followed religiously, it becomes a healthy habit. So let’s take a look at how to balance your checkbooks using your credit card.
Track your expenses
You can keep track of your payment history by logging into your credit card account online. Almost all credit cards offer this option. Your trades are broken down into different criteria, allowing you to further analyze where you spend more and whether or not you’re wasting money.
Tracking your expenses will give you an idea of your average expenses on necessities and other indulgences, which will help you plan a realistic budget for yourself.
Set a date for checking your expenses. Calculate deviations from the agreed-upon budget for that category and work on staying within budget by saving on small things that go a long way.
To set priorities
Prioritizing expenditure is an integral part of financial balance. An expensive birthday present for yourself can wait when you have to pay an important bill. Loan payments and utilities occupy the most important position in the payment pyramid.
You can actually view the budget after deducting your loan payments to have a more realistic figure in mind by subtracting your monthly loan EMIs (to begin with, use an EMI calculator with credit card).
Use those reward points
Keep an eye out for those promised reward points. With credit card spend you earn reward points, which you can use to get discounts or help with payments if there are enough numbers.
More often than not, many people forget that they have accumulated reward points, so make sure you are aware of your count and use them liberally when needed.
In fact, rewards points, perks and privileges are one of the many USPs of a credit card, and companies are committed to topping up their credit cards with features that give them the most savings.
This is precisely why some companies classify their credit cards into different areas that target their benefits. Here’s a list of some credit cards with their specialized benefits:
Axis Vistara signature credit card
A free Vistara Silver Club membership, free premium economy tickets, and Club Vistara points that get you to your dream destination with free economy tickets are some of the benefits this card offers its subscribers.
InterMiles HDFC Bank signature credit card
HDFC Bank has partnered with the InterMiles Global Travel Program to bring you the InterMiles HDFC Signature Card, which is the perfect travel partner for frequent fliers.
With this card, the holder can earn a fixed amount of InterMiles on purchases over a certain amount, which are converted into travel benefits. Discount vouchers for hotel and ticket bookings are provided, along with a welcome gift of 8,000 Bonus InterMiles.
Amazon Pay credit card
Considered one of the best ICICI credit card, the Amazon Pay credit card promises exciting cash back opportunities for its holders.
Aside from food benefits under the Culinary Treats Program, the Amazon Pay credit cards offer various cash back offers (up to 5% of each online transaction for Amazon Prime customers, and 3% for non-Prime customers), which can be used in the form of vouchers or products.
Flipkart Axis Bank credit card
Axis Bank has created a great card by partnering with Flipkart. Accelerated cash back on spending and other benefits abound with credit card membership.
This card not only welcomes shopping benefits, but welcomes its customers by offering a variety of travel vouchers with MakeMyTrip and goIbibo vouchers. There are also 4 free visits to airport lounges at selected airports offered throughout the year.
Credit card EMI calculator
HDFC EasyEMI card
The HDFC EasyEMI card is aimed at this WHO want to manage large purchases and align them with their monthly cash flow. This card automatically converts purchases over Rs. 10,000 into 9-month EMIs.
The interest charged on these EMIs is 1.67%. However, gold, jewelry and fuel purchases are not within its remit. In addition, the card offers various cashback options of up to 5% on Amazon and Flipkart, and 2.5% on other online spend.
Corporate Platinum Credit Card
HDFC Bank offers a variety of commercial credit cards that make commercial spending not only efficient but also effortless.
The Corporate Platinum credit card is a premium commercial card that offers commercial benefits such as access to MIS tools, customized insights into operating costs and returns, and accident coverage of Rs. 1 crore for air travel, and Rs. 3 lakhs for road and rail travel, among other benefits.
HDFC SAP Concur Solutions black corporate credit card
The SAP Concur system is designed with the business traveler in mind and makes business reconciliation a better experience. It also offers 24 × 7 MIS access and detailed employee-level transaction history.
A 50-day credit period, combined with discounted benefits on flights and hotel bookings, makes it a top card. In addition, the holder has access to the most luxurious airport lounges in the world and access to Wi-Fi at airports.
Lifestyle credit card
Diners Club Privilege Credit Card
Everything about the Diners Club Privilege Credit Card from HDFC Bank speaks of luxury. This credit card plan includes a concierge service, 12 free visits to the airport lounge India per year, discounts for flight and hotel bookings and access to the golf course (2 per quarter).