Five Reasons Why Your Credit Card Is Your Smart Manager

Does your credit card always burn a hole in your pocket? Or it actually doubles up as a smart finance manager? BI India deciphers it for you and reveals how your credit card can help you manage your finances.
 
Record Keeping
Keeping a track of your expenses is a tedious job. But hang on! Your credit card actually does it for you. Check out your credit card statements, and you would know how much you have spent and where. In fact, some cards even provide year-end summaries that are a real help during tax times. So, throw away your old diaries and save your credit card bills for record keeping purposes.
 
Credit History
No bank would offer you loan without performing a background check and checking your CIBIL score/history. However, they would expedite the process if you have a clean credit card history. Timely payment of credit card bills is the greatest testimonial to your credit history. And if you have applied for a loan, banks would need nothing if they have your sane credit card statements to ensure that you would not run away with their money.
 
EMIs
Zero percent EMIs are the biggest benefit that retailers offer only on credit cards. So, every time you shop a generous amount with your credit card, check if your bank can convert your purchase into EMIs—the rate of interest could be as low as zero percent. Sounds like deal right?
 
Perks
Let’s admit, we Indians love perks and free benefits, and credit cards offer exactly that. Every time you make a purchase with your credit card, you can earn benefits like frequent flyers miles, reward points, cash back, free movie tickets and extra discounts. What’s more, loyal customers can also win prizes as big as a free air ticket or other gifts.
 
Safety
At a time when online frauds are so common, do you think shopping in cash is a safer option? You are wrong. While fraudulent transactions on your debit cards translate into instant loss of money, a similar transaction from your credit card doesn’t mean loss of money. If someone uses your credit card without your permission, you will instantly get an SMS notification, thus giving you the chance to raise an alarm, inform the bank and cancel the transaction. 
Credit Sudhaar is India’s first Credit Health management & improvement company whose goal is to help clients to Restore, Enhance and Protect their Credit and make them credit healthy.
Courtesy: Business Insider
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