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With a credit card, you can make purchases now and repay the amount later. Cards are widely accepted, and you can use them almost anywhere you want.
A credit card is a credit facility provided by a bank or credit card provider. It comes with a pre-approved credit limit based on your financial credibility. This allows you to buy things, do online transactions, and pay back the amount with interest each month within your billing cycle.
It's important to understand credit card terms, such as your credit card number, expiry date, Card Verification Value (CVV) code and password. Learning about the common benefits will help you make the most of your card, too.
Read more: How does a credit card work?
A credit card comes with a wide range of features and benefits that vary based on the type of credit card you use.
One of the best thing about using a credit card is that it's not directly linked to your bank account. So when you use the card to pay for any online transaction or purchases at the store, the amount will not be deducted from your bank account. Instead, when you use the card to make payments, the amount is deducted from your credit limit.
A credit card makes shopping easy and convenient. You can make big purchases without straining your monthly budget. You can buy almost anything you want on low-cost Equated Monthly Instalments (EMIs) and pay for it in smaller instalments over a period of time.
Credit cards virtually eliminate the need to carry cash. Just carry your card in your wallet and avoid the risk of losing money or having it stolen.
Many credit cards offer benefits like cashback, discounts, reward points and other rewards.
Another benefit of using a credit card is that it allows you to withdraw cash whenever you need it. However, you must know using your credit card to withdraw cash may require you to pay a small fee.
This is perhaps one of the most important benefits of a credit card. Making purchases with a credit card and then repaying the amount on time can improve your credit score.
At HSBC, we offer different types of credit cards. See which credit card would suit your lifestyle and needs.
The HSBC Live+ Credit Card is enabled with VISA Paywave technology for contactless payments. It's accepted worldwide and allows you to get unlimited cashback on all transactions.
Other features include:
The HSBC Visa Platinum Card comes with many offers and rewards, as well as features like:
Enjoy the best offers and a range of exclusive benefits and rewards with the HSBC Premier Credit Card, such as:
Apply online and manage your finances more efficiently with an HSBC credit card.
Credit cards typically come with associated charges. Understanding what the most common fees are and you can avoid them, saving thousands of rupees.
For example, some cards charge an annual fee. You'll also be charged interest if you don't pay off your balance in full, or for withdrawing a cash advance on your credit card. Other fees can include late payment fees, credit card international transaction charges, and foreign transaction fees.
By choosing a low-interest card and paying your card off in time, you can enjoy the convenience of a credit card without the credit card charges.
While credit cards offer a range of benefits, you must use them carefully to avoid falling into a debt trap.
Unsure about which card is right for you?
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