Credit cards are generally considered a necessary evil in one’s life. But what some may think is a curse may actually turn out to be a blessing in disguise if used smartly.

It is a good idea to check and compare credit cards to ascertain which has the lowest interest rate (bayzat even has a filter that shows you credit cards with the lowest rates), and the best discounts and promotions for you. You may be interested in a card which offers great travel deals or one that offers exciting movie packages. You can visit bayzat’s credit card section for detailed information as well as credit card comparisons.

Once you do receive your credit card, it is important to register online to get news and information right in your inbox. According to experts, credit cards can assist you in getting up to 10% return on your cash through various loyalty programs, redemption of reward points, air miles and other features. Although many of us dismiss such promotions as selling gimmicks, these marketing tactics are actually designed to cater to the consumer. If you’re looking to make a large purchase, several banks have special offers that include 0% interest on big ticket purchases (see our previous blog: 0% Interest Rates Being Offered by Banks on Big-Ticket Purchases).

Understand the terms and conditions of using a credit card. Never procrastinate when it comes to repayment and always pay before the deadline if you don’t want to accumulate interest on your outstanding balance.

Early signs of heading towards a debt disaster are when you: start thinking of balance transfers, buy really expensive, irrelevant or avoidable products, and do not have a plan to pay off your credit card. It is therefore fundamental to avoid the shopping splurge. Controlling your impulsive buying will help you avoid financial difficulties.

Moreover, borrowing cash on credit is one of the worst decisions you can make.  According to experts: “Drawing cash on your credit card can result in a vicious debt trap. Cash withdrawals on credit cards attract transaction fees and steep interest charges which can go up to 40% per annum or more. Instead, it is always advisable to opt for a personal loan and repay it as it will save on the interest cost.”

Shopping safely with your credit card involves being smart online. Shop only from secure sites and merchants. In case there is an incorrect delivery or the purchased item has not been delivered on time, you can always ask for money to be credited back to the credit card as a refund.

Lastly, keep a close watch on those excessive bills by limiting yourself to one or two credit cards at the most. Carrying more than two credit cards will create havoc as you are unable to keep track of your purchases. Maintaining a monthly credit card budget entails limiting yourself in terms of the number of credit cards, overspending, and most importantly making an effort to pay in full before the monthly payment deadline.

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A Foolproof Way to Protect Against Credit Card Fraud

Tackling Your Credit Card Debt