5 Reasons why you should definitely apply for Credit Card

5 Reasons why you should definitely apply for Credit Card

Credit cards have become a vital part of our everyday life. But some people are still afraid to apply for a credit card. There are a lot of myths regarding the uses of credit like it allows you to have cash anytime so you can grow a habit of overspending, which lets you to large credit card debts.

It is true that not using a credit card responsibly can be harmful but this is not a general consequence of having a credit card. On the other hand, there are many benefits to using a credit card. A credit card lets cardholders to make all sorts of purchase and even allows them to withdraw cash against a charge.

All credit cards impose such conditions that cardholders have to pay back the money they borrowed along with interest. The cardholder needs to pay back the borrowed money as well as the interest within a mentioned grace period of 25-30 days. Otherwise, the user has to pay extra interest. 

The reason behind the popularity of using credit cards is that it provides you with an opportunity to pay for necessities when you do not have money or cash. Using a credit card can be your only choice when you find yourself strapped for cash.

Apart from using it as contingency amount, the credit card comes with other facilities too like Interest-free period, reward points, offers or discounts and better credit score, etc. Credit card is not just like any other tool that lets you make better purchases, it can be used in many ways.

So, let us find out below all the benefits you get when you apply for a credit card:

Here are the five important reasons why you should definitely apply for a credit card

Building good credit history

While taking credit or borrow money from banks and NBFCs, having a good credit history can matter a lot. Generally, all banks prefer a minimum of 750 credit score in order to extend the credit to a customer. As we know that credit card companies report your payment activity if you use a credit card, to the credit bureaus.

So, if you pay your credit card bills within time, it can help you to increase your credit score also. In case you don’t have any credit score, then you can even use a credit card responsibly to build your credit score.

Easy acceptance everywhere

It can be difficult to make certain purchases with a debit card like when renting a car or booking a hotel room. In those times, credit cards make the job easier. Some rental car companies or hotels prefer customers to pay by using a credit card because it makes it easier for them to charge customers if they cause any damage to a room or a car.

So if you are willing to pay for such items with a debit card, then the company can put a hold on the amount you paid from your account. Also, while travelling in a foreign country, there is a possibility that merchants won’t always accept your debit card, even if it from a major bank.

Ensures safety

The preferable feature of a credit card is that it can help you to avoid losses from fraud. Because if your credit card is lost or stolen and used by a thief, then the money instantly goes missing directly from your account. Besides, it takes time for the fraud transactions to get resolved by the bank.

On the other hand, if your credit card is used fraudulently, then you are not out any money. In that case, you just have to notify the credit card company and you don’t pay for transactions made until the credit card is resolved. Due to insufficient funds, legitimate expenses get delayed and made creditors unhappy. Even these late payments can lower your credit score.

Cashback and reward points

By using your credit card for paying, you can earn reward points for every spending. Different companies offer various amount of reward points. You can redeem those reward points that you have achieved from your purchase to earn gift vouchers or even get products from reward catalogue or you can redeem on specifically the products which you want.

Besides that, the concept of cashback has also widened recently. Even some cards now offer 6% back on selected purchases.

Converting credit card purchases in EMI

Now it is possible to convert your credit card purchases into EMI easily at any e-commerce websites or outlets by placing an EMI request while you shop. Even some banks send an SMS right after your purchase on your credit card to convert the transaction into easy EMI and just by replying to that you can convert your purchases into EMI.

The bottom line is that a credit card is a very helpful product if you use it properly. A well-monitored expenditure on credit card can provide you with a handful of benefits. In case you already know the tricks of using a credit card responsibly then you can shift most of your purchases as much as possible to your credit card.

Nisha Pandey

Nisha Pandey

Owner & Founder at SeoTechyWorld
She is the founder of SeoTechyWorld.com. She is fun loving person and love to share about SEO, blogging, social media and latest technology tips.


  1. Kathy Kaul says:

    I just 100% agree with you! And I think it is so important for each and everyone to have a credit card. And whereas in our normal society it is highly discouraged that credit card is something that is for the people that are in debt or something close to that. Amazing article! Please keep up informative articles like this coming. Highly appreciate the quality of the content I found on your website. Peace

  2. mohit says:

    hello, Nisha
    I have a sbi credit card but its limit is only 25k, I going to apply for any other credit cards which comes with atleast 50 thousand Inr limit. can you suggest any

  3. Matt C says:

    Thanks for sharing. I’ve actually gone most of my life without a credit card and haven’t run into many problems as a result, although my bank was somewhat shocked that I did’t have one when I applied for a mortgage. I’ll probably crack and get one soon.

  4. parco says:

    Thanks for sharing the content so the image is also full

  5. Varun Sethupathi says:

    Thanks for sharing this info sir , keep posting

    Varun Sethupathi

  6. Jessica says:

    You would be amazed to hear that I spent most of my life without a credit card but I think I should have one and your article was very helpful it actually motivated me to hava a credit card

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