How Credit Cards Have Changed the Way We Spend

The many modes of purchasing you enjoy today is largely thanks to the advancement of the financial sector and the blooming FinTech industry. While you can now pay via mobile wallets, use payment banks and transact through your bank’s app, going cashless has been easier and easier ever since the launch of the first credit card. Thanks to credit card offers, you can save money on each transaction via partners and also rack up reward points and cashback that translate into direct savings.

 

Credit cards are offered based on your income, spending, and relationship with the issuer. While earlier, issuers only offered vanilla cards, you can now choose from a variety of credit cards that suit different needs. Here’s a brief of how credit cards have evolved in India and the change they have brought about in the way you spend.

 

Evolution of the credit card in India

 

Even until the last decade, using a creditcard was a luxury only some could afford. When credit card joining and annual fees came down, consumers began to know how to use credit cards. Since credit cards offered a possibility of making purchases now and paying at a future date, they started leveraging their power. An added perk was the fact that whether you wanted to purchase online or offline, you could use a credit card as a payment mode and also enjoy reward points. However, it was only in 2016 due to demonetisation that the demand for credit card saw a significant boost.

 

With credit cards taking the centre stage today, there has been a sea change in the way you spend. Here’s how.

 

Make faster and secure payments

 

Credit cards make payments faster and safer. With a credit card, not having enough cash on you to make purchases is no more an issue. All you have to do is use a credit card to make upfront payment and repay the dues on receiving the bill, which is at the end of a billing cycle. Also, your credit card is safeguarded against malicious usage or faulty payments via a zero fraud liability coverage that lets you claim your loss from the insurer. Moreover, if you lose a credit card, you can get in touch with the issuer to get the card blocked.

 

High-ticket purchases made convenient

 

Based on various parameters like your income and credit profile, a credit card has a significant pre-determined credit limit. You can use this to make high-ticket purchases even if you don’t have lump sum cash on you. All you need to do is repay the amount within the due date to avoid incurring high interest payments. Some cards like the Bajaj Finserv RBL SuperCardalso allow you to convert bills above Rs.3000 into EMIs to further allow you to pay in instalments.

 

Earn while you spend

 

Depending on the type of credit card you hold, you can earn handsome reward points every time you transact. For instance, via a fuel card, you can benefit from discounts, fuel surcharge waivers, and also earn significant reward points every time you refuel your motor vehicle. On accumulation of lump sum credit card reward points, you can redeem them for air miles, cashbacks, loyalty points, coupons, merchandise and more on the issuer’s online rewards portal.

 

Tackle unanticipated expenses easily

 

With a credit card handy, you no longer need to panic when an emergency expense knocks at your door. Say you are travelling abroad and incur an unanticipated expense with no financial means to meet it. In such cases, you can use your credit card instead.

 

International transactions simplified

 

Some credit cards also allow you to make international transactions. However, for these transactions, you will be charged fees like currency conversion charges, transaction fees, and others. But, you can also enjoy higher reward points offered by some credit cards on international spends. So, make sure you avail a card with minimum charges on this front. Better yet, if you visit an overseas destination frequently, you can avail an international cards and pay lower charges and maximise the benefits.

 

So, sign up for a credit card now and experience a new way of spending. Consider applying for a Bajaj Finserv RBL SuperCard to enjoy added benefits. This is a versatile card that also serves as an ATM card, an EMI card, and a loan card. Thanks to these features, you can convert your card’s pre-approved credit limit into a 90 days interest-free emergency loan and also make a 50 days interest-free ATM cash withdrawals.

 

Additionally, you can also benefit from the handsome reward points on joining and transacting to enjoy huge savings! Check your pre-approved offers to expedite your credit card application process and enjoy quick approval today.