A healthy credit score is said to be anything over 650. With a regular monthly income and all your documents in place, you can easily qualify for an all-purpose credit card with your preferred bank. If you can afford it, premium features are accessible at additional costs. However, it is vital to understand how to use a credit card wisely to benefit you. If not used responsibly, credit cards can drive one into debt. Here are a few ways to use a credit card safely and efficiently.

1. Determine Spend Pattern

Everyone has a unique spending pattern. You cannot mimic your best friend's or mom's spending pattern. Before applying for a credit card, analyze your expenditure items and pick a card that is best aligned with your lifestyle. Ask yourself questions such as - What are your regular monthly expenses? Do you need to use this card overseas? Etc.

2. Personal Priorities and preferences

Before taking a final call, looking at some issuer-specific benefits is recommended. Several issuers offer unique benefits to their customers. For example, if you are a frequent flier, select a card that provides mile schemes and lounge access. You also have to factor in whether you can afford a hefty annual fee before setting your heart on a card.

3. Timely payments

Missing payment due dates will cost you a late fee, plus interest on the outstanding amount. Furthermore, your expenses will only be interest-free once you clear the bill. This also negatively impacts your credit score.

4. Safe usage

Never share your credit card PIN and related details with anyone, even if the person claims to be from your bank. When completing a credit card transaction, ensure the EDC machine (the machine in which you enter your PIN) is in your view. Always double-check the amount before entering the PIN.

5. Credit history

A credit card with a regular payment cycle is essential while building a healthy credit score. In due course of time, when additional credit facilities are sought, a good credit score will be a high utility item for credit card holders.

If you are not ready for a credit card yet, try Xare. Get your close friends, parents, and other family members to sign up for Xare and form a XareClub with all of them. Xare lets you share your cards with close friends and family so that everyone can reap the benefits offered by different card issuers! Some of XareClub's remunerative features include: 

•   Exclusive offers on club members' cards,

•   Efficient and easy overseas spending,

•   VIP privileges like lounge access, concierge services, etc.,

•   Rewards when others shop on your card,

and so much more!

To enjoy the ultimate plethora of benefits, join Xare today!
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