Credit card usage in the world has increased very high these days. Credit card made for the benefit for the users and helps you to increase Cibil score and make transaction securely. So you must know the right way to use credit card for shopping. 

Right Way to use Credit Card for Shopping

Suppose, you go to shopping for purchase of any products, you may face difficulties on misuse of your credit card in shopping malls.

So, how to handle that situation is the best way to avoid misuse of your credit card.

In addition, we also explain how to pay credit card bill, utilize your interest free period, cash withdrawal using credit card and rewards points on credit card in the following paragraphs.

How to use credit card for shopping wisely?

1) Protect credit card information

Be careful when handing over your card at petrol pumps, at merchant outlet to avoid fraud, misuse, and losses of credit card in market.

In case of EDC machine in not in view, don’t give your credit card to anybody. “DO NOT SHOW YOUR CREDIT CARD PIN TO ANYBODY IN ANY CIRCUMSTANCES”. 

Do not responses to stranger on phone call for any personal information even credit card customer care center.

“BANKS AND CREDIT CARD COMPANIES NEVER ASK FOR CREDIT CARD AND YOUR PERSONAL DETAIL”, because they collect every information on issue of credit card. 

You can take a credit card insurance for protecting your credit card.

2) Interest free period on purchases 

Credit Card companies allow you interest free period 30 days to 45 days. You can use this interest free period in a right way.

Sometime credit card companies do not allow interest-free period.

Suppose, you have purchased any product by use of credit card and if you do not pay the outstanding bill on due date then you do not allow interest-free period on product purchased.

So, it is advice you to pay the outstanding due in time or if you do not pay outstanding due then convert your purchased product amount in EMI by asking your credit card customer care center.

3) Pay only minimum due and pay in time 

Credit card is very expensive as compare to other debt. Credit card companies charge very high rate of interest from their customer from 24% to 48% annually.

So, it is advice you to pay only the minimum due on due date to avoid extra interest and penalty charges.

4) Cash withdrawal from credit card 

Only in case of urgent necessity of money, users can use credit card to withdrew cash from ATMs.

But remember credit card companies charges very high rate of interest 2% to 4% from their customers for withdraw cash by use of credit card at ATMs.

In additions, there is a Fixed charge on Cash withdrawal by credit card, so do not make too many small withdrawals. Our opinion is to avoid cash withdrawals unless emergency.

5) Using full limit 

Sometime users under pressure use credit card full limit.

Using of full limit has bad impact on credit score. Credit card companies assume the users as credit hungry and high chance on default by users.

So, it is advice to control expense by making budget and use credit card limit 50% to 60% to avoid default and yours paying capacity of due.

6) Earn rewards 

Credit cards companies count rewards points on every spending through credit card.

There is variety of rewards like travel, hotel, products even you can convert your earned rewards in cash and credit it in your credit card account.

But remember; don’t over use of credit card limit for collect rewards points. These rewards point count in very small proportion on purchase.

7) Improve credit score

Credit cards utilizing in the best way will helps you to taking loan facility from Bank whenever you need.

Banks checks Credit or Cibil score of the individual before granting loan. If your pay your credit card payment in time and your credit score grow up.


Credit card helps you in a various way to make payment for buying any things offline or online. With the help of above topic right way to use credit card for shopping, you can improve you cibil score and make your transaction securely.

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