How to use credit cards to manage your daily expenses

Posted on Saturday, October 21st, 2023 | By IndusInd Bank

In today’s fast-paced world, managing your finances efficiently is crucial and credit cards can be an excellent option for your daily expenses if used wisely. A credit card not only offers convenient expense management but also provides attractive rewards on your spending that you can redeem for additional privileges. With a range of benefits and features, IndusInd Bank offers credit cards suited to the varying needs of individuals. You can choose a credit card based on your spending trend and behaviour and make the most of your day-to-day expenses while enjoying exclusive benefits and privileges.

So, let us explore the uses and benefits of credit cards and how they can help you manage your daily expenses.

What are credit cards?

Let us start with the basics. A credit card is a financial tool that allows you to borrow money from a bank or credit card issuer up to a predetermined limit. Think of it as a small loan for your daily expenses. When you use a credit card, you are essentially borrowing money from the card issuer, and you are required to pay it back within a specific period, typically on a monthly basis. This quick short-term borrowing facility makes credit cards an ideal option for daily expenses.

However, credit cards are often misunderstood as many of us perceive them only as a means of making purchases, but actually, they offer much more. As a responsible credit cardholder, you can benefit from several deals and advantages that they bring. 

For instance, IndusInd Bank Credit Cards come with a host of features and benefits to meet your daily expenses. On every credit card purchase, you are entitled to earn rewards points that you can redeem later to get extra discounts or cash in your credit card account. In addition, you also get exclusive offers and discounts on shopping, dining, travel, and entertainment expenses. The best part is that you get instant approvals through paperless applications and documentation.

How to use credit cards to manage daily expenses?

If you use your credit card only for occasional and significant purchases or a financial emergency, you could be missing some exciting benefits. On the flip side, if you use your credit cards for regular purchases, you will establish credit and maximise your credit card rewards earnings. They also provide you with extra safeguards that you may not get by paying cash or using your debit card.

To receive the rewards without accumulating debt or damaging your credit score, cultivate excellent credit habits and budget your funds wisely. Below we present some useful tips on using your credit cards wisely to meet your daily expenses:

Build your credit 

One of the simplest ways to establish your credit score is to use your credit card responsibly and more frequently. Activities like balance adjustments and repayments on your credit card account are reflected in your credit report. This helps you build a credit history that lenders review while determining your creditworthiness. Your credit history and ratings will improve if you maintain a sufficient balance and do not fail to pay back on time.

Utilise strategic rewards

When you pay for your purchases through credit cards, they offer the feature of earning incentives in the form of reward points. Your opportunity to earn rewards increases substantially if you pay through your credit card for everyday purchases. However, you must also ensure to pay your dues off at the end of each month and avoid any interest piling up.

Some credit cards also come with seasonal rewards such as bonuses and exclusive discounts and offers from time to time. This feature will encourage you to earn more rewards on specific transactions like dining, shopping, entertainment and travel.

Track your spending

If you pay through your credit card for day-to-day expenses, you can easily track your expenses efficiently by analysing the card’s monthly statements. Your monthly statement lists all transactions, including deductions and charges, making it easier to track your expenses. To offer convenience, most credit card companies provide e-statements or deliver card statements to your email, thus it makes your expense tracking straightforward. 

To ensure everything is accurate in your statement, check carefully as soon as you receive it to spot problems or fraudulent transactions.

Utilise consumer protections

Credit cards come with several security mechanisms. Unlike debit cards, which may hold you fully accountable for fraudulent purchases, credit cards offer limited or no liability.

Many credit cards also provide extended warranties or purchase protection on your purchases.

Are you looking for a credit card in India with a good credit limit? You may want to check out the multiple options that IndusInd Bank has to offer.

Why choose IndusInd Bank credit cards?

Reward points can be earned each time you make a purchase with your credit card. Furthermore, these reward points never expire, making it the finest aspect. You can exchange these rewards with cash credit at any time to clear your credit card bills. Additionally, fuel surcharges are not charged on IndusInd Bank credit cards.

Following are some of the key features that apply to IndusInd Bank Credit Cards:

• Since credit cards are generally accepted both for online and offline buying, they are an alternative to carrying cash while making regular purchases. IndusInd Bank provides a variety of credit cards with exclusive rewards, discounts, and offers that make your shopping experience very easy. For Instance, the IndusInd Bank Platinum Aura Edge Credit Card comes with unique contactless payment to make your purchases faster and up to 8X Rewards Points on select merchants. Explore more!
  
  
• The bank offers various reward programs for your credit card expenses. On each spending, you earn reward points that can be exchanged for a variety of advantages like discounts, gifts, or trips. The reward points on IndusInd Bank Credit Cards never expire. Additionally, you get the flexibility to choose your reward plan on various cards based on your lifestyle and more.
  
  
• You get the flexibility to choose a credit card based on your expense habits and shopping trends. If you are a frequent flyer, you can choose the IndusInd Bank Club Vistara Explorer Credit Card which offers the best in class reward program, zero markup fee on international purchases, and a lot more.
  
  And, in case you like exotic dining and delicacies, you can opt for the IndusInd Bank Eazy Diner Credit Card that offers 25% discounts on dining bills through the Eazy Diner app, and 1 year Eazy Diner Prime membership worth ₹2,495.
  
  
• IndusInd Bank Credit Cards also offer a waiver of the 1% fuel surcharge at all petrol stations across the country which lets you save up to ₹2,400 on fuel surcharge.

Conclusion

A credit card can be valuable for managing your daily expenses when used responsibly. Applying for the right card, sticking to a budget, making timely payments, and leveraging rewards can streamline your finances and build a positive credit history.

And, if you opt for an IndusInd Bank Credit Card, you get access to a plethora of rewards, benefits, and privileges on each of your expenses. With a quick online application and 100% paperless documentation, get your favourite credit card instantly.

Apply today!

Disclaimer: The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Hence, you are advised to consult your financial advisor before making any financial decision. IndusInd Bank Limited (IBL) does not influence the views of the author in any way. IBL and the author shall not be responsible for any direct / indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information.