Things to Know While Getting a Credit Card

Over the last few years there has been a sharp increase in the number of credit card applications and credit cards being issued by banks. This is because of the ease in the transactions that credit cards provide you. You can pay for your purchases with just one swipe. Using a credit card offers you a host of benefits as well like rewards, cashback, discounts on shopping and dining etc. These days applying for a credit card has become very easy. You can apply for an ICICI credit card online without having the need to step out of your home. If you are planning to get a new credit card then there are certain things that you must know about getting a credit card.

Activate Your Card

On receiving your new credit card from the bank you need to activate it, activating your card involves just 2 – 3 basic steps. You can easily perform these steps on your own.To authenticate your card you have to give a call on the given number. Post that you can set your card PIN for transactions easily via a message received on your registered mobile number. Else, using your netbanking account you can register your credit card there.Once you complete the process of activating your credit card and setting a PIN, ensure that you sign on the white strip. This white strip is given at the back of your credit card.

Destroy Old Cards

Whenever you get a new credit card or you receive a credit card from the bank as an upgrade, destroy your old card. You can destroy your old credit card by cutting it through the magnetic strip. You must destroy your cards even if they have expired.

Read the Rules & Regulations

When you receive your new credit card then it comes with a kit that has various documents relating to it. Make sure to read all the rules and regulations properly before you start using your credit card. Different credit cards have different features. Some cards offer you a lesser grace period for repayment while others offer you a greater grace period for repayment. Credit cards with higher credit limit have relatively stricter rules and regulations. You can know about all these by reading the document that comes along with your credit card. You can learn about reward points programs and cashback as well and how to redeem these reward points.

Spend Within Your Limits to Pay Within Your Comfort

While spending from your credit card ensure that you keep your expenses lower than your credit limit. You might have a higher credit limit but never ever exhaust the full limit of your credit card. Always pay your dues on time as this will ensure that your credit score is not affected negatively. Having a good credit score will be reflected in your credit history. This makes all your future loan borrowings easy as banks check the creditworthiness of the borrower before lending a loan.

You can choose the best credit card for you by doing a comparative analysis online. Different credit cards come with different benefits in terms of reward points, discounts on shopping, movie tickets, air tickets and cashbacks. Always choose a credit card that matches your spending pattern as this will help you to reap maximum benefits of it. You can check eligibility online before applying for a credit card online. Rather than applying for credit cards with multiple banks, apply for credit card with a selected bank only as per your eligibility. This is because multiple credit card applications affect your credit score negatively.