9 Reasons to say yes to credit card or Pros of using a credit card

By | September 4, 2021


9 Reasons to say yes to a credit card. Some credit card companies reward you a percentage (%) of what you spend. Cashback is credited in the monthly statements. Like Paytm Citi Bank Card rewards you 1% of all spending. All cashback is credited in Next month’s Statement.  ICICI Amazon pays credit card cash is credited as an Amazon pay Balance.

However, cashback is only worth considering if you pay a credit bill in full each month; otherwise, the late Fees and Interest rate on credit exceed your cashback easily because the interest rate on a credit card is insane. This first reasons for 9 Reasons to say yes to credit card


Reward credit cards, like cashback cards, give you points or vouchers for every pound you spend, which can be redeemed on your shopping. Many reward credit cards provide bonus points for certain categories of spending like restaurants, groceries Market. When certain earnings thresholds are reached, points can redeem for travel from retailers and restaurants or merchandise items through the credit card company’s online rewards portal. Like Check Simply Click Credit card

Leading rewards cards include HDFC Dinner Club, Amex Travel Platinum. These rewards exceed the Joining fees and Annual Fees levied by the issuer. This second reason for 9 Reasons to say yes to a credit card.This second reason for 9 Reasons to say yes to a credit card.


Most credit cards automatically come with several consumer protections that people don’t even realize they have, such as rental car insurance, Travel Insurance. This Third reasons for 9 Reasons to say yes to credit card

Check the benefits for HDFC Dinner Club/ Dinner Black Cardholder.

  • Cover available to primary card holder as per the below table
Premium/Club MilesBlack
Rs. 10,000,000/-Rs. 20,000,000

The cover is applicable if the cardholder shall sustain any air accident and suffer a bodily injury resulting in death within 12 months of the accident. EMERGENCY MEDICAL EXPENSE

  • Emergency Medical Expenses.
  • Cover available to primary card holder as per the below table
Premium/Club MilesBlack
Rs. 2,500,000Rs. 5,000,000

Foreign Trip Expenses/ Foreign Exchange Markup fee

Most debit cards charge you a foreign loading fee if you use them to make purchases while abroad. Most credit cards do too, but there are some exceptions

The RBL World Safari Credit Card claims to be the first credit card in India to provide a 0% Foreign Exchange Markup fee. Still, it is the second.0% Markup Fee on Foreign Exchange Transactions: On Non-INR transactions not originating in Bhutan or Nepal, you get a 0% Markup fee on the transactions. This first reasons for 9 Reasons to say yes to credit card

Increase your CIBIL/ Credit Score

Borrowing too much and not making repayments on time will undoubtedly damage your credit score. However, having no credit history can be equally damaging. Regularly using a credit card and paying full in time will always boost your Credit Score.

However, you have to follow the other things to improve in credit score, like pay your Bills on Time, pay off debt and keep balances Low on Credit Cards and other revolving credit. Don’t Close Unused Credit Cards etc.

Better Cash-flow management and budgeting

A credit card can be used in better cash-flow management. Suppose that you have extra expenses this month, then you can pay Rent even your kid’s school fees by credit card by paying certain fees to the provider. Through redgirraffe, you can pay this expense.


Paying with a credit card makes it easier to avoid losses from fraud. When a thief uses your debit card, the money is missing from your account instantly. Even your balance can wipe off instantly. Fraudulent transactions can be reversed if you file a complaint to the card issuer within the stipulated time period. By using a credit card, you save your banking exposure to banking fraud

Earn Extra Interest on Saving account

Almost all credit card issuer gives credit card period of 30 + 15 Days grace period.  By using credit, you can boost your interest income by saving your bank account.  If You can put all your shopping on the card, allow cash in your current account to build up because you aren’t spending it. You can then move this money into a competitive savings account, Like Kotak Saving account, Yes Bank, or IndusInd Bank Saving account that gives up to 6% interest on your fund.

Easy Use

Credit card most easy to use, you can split your expenses through credit card.


Credit cards are best enjoyed by the disciplined, who can pay the Monthly bill fully. If you use your credit card smartly, then the combination of rewards, buyer protection, and the value of cash-in-hand will put you ahead of those who pay with debit, check, or cash. 

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Author: Dhiraj Jha

I love to acquire, review, and earn reward points/cashback from Credit Cards for free traveling and enjoying luxury hotels. Helping people about the benefits and optimal utilization of credit cards.

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