i have been tempted to get a HdFC Credit card for a simple reason which are the cashbacks and schemes available with this both online and offline.Since i haven't bought anything on credit or ever taken a loan , wanted to run this by people who have been using it regularly . Since this isgoing to be my first card , which one should it be and any suggestion or advice
There are plenty of ways to successfully use a credit card.
I have 2 highest rated cards from different banks and use them a lot. But remember.... never ever roll your credit. Always pay full amount. Basically you use the card to defer a payment that you can already afford to pay for. And pick up points in the process.
Free cards offer no great value beyond being an emergency fund. Use cards with subscription fees, but only when you are going to spend the minimum amount to get a fees waiver. If you are not fulfilling these criteria, then don't go for it.
So what is the gain? Obviously it can act as emergency fund.
Secondly, since all expenses are documented, you can spend your tax deductible expenses on card and easily track them when you claim tax benefits during filing returns, without having to preserve the receipts. This is of no benefit to salaried employees.
Thirdly, you can use the free points. This is the main thing.
Fourthly, small benefits like international airport lounge access and club memberships etc.
Fifth.. it improves your credit rating.
HDFC top card Infinia has the best rewards program. You can use it for free hotel stay and flight tickets and save a lot of money. But poor service from HDFC will drive you mad. Only reason I put up with their crap is because of the HUGE benefits I have got from them.
Do your analysis. But don't rush in and get trapped.
If UPI is not working for some reason I use my debit card.
For security reasons one should avoid use of debit cards either online or at merchant outlets, as it gives the scammers a direct access to your bank account.