If you have started using a credit card, you must be aware that there are many options for claiming cash back and rewards. At the same time, it’s worth noting that you can maximize your credit card cash back and rewards by being more proactive and smarter.
For example, if you take advantage of bank-specific offers, or focus on a specific category of offers – you can get most of these rewards. Other ways to take advantage of these incentives and cash back are to claim renewal bonuses and set utility payments on automatic payment mode, etc.
Here, we share key tips for maximizing your rewards:
1. Regarding consumption habits: It is recommended to opt for cards like HDFC Bharat Cashback, SBI SimplySAVE or Axis Bank ACE, which offer high cashback/rewards on utilities and daily expenses. Additionally, you can also look for cards like IndianOil Citibank or BPCL SBI Card to get fuel-specific benefits.
2. Category specific offers: These also have credit cards like Flipkart Axis Bank that offer cashback/rewards on purchases made from their respective platforms. For dining, you can also use cards like HDFC Regalia or SBI Card PRIME to enjoy dining discounts and accelerated rewards.
3. Bank specific offers: Conventional wisdom also suggests that people should pay attention to active transactions during the holidays and provide cooperation between banks and merchants. Some banks tend to offer additional cashback or discounts when you shop on online marketplaces like Amazon, Flipkart, Myntra or Paytm.
4. Acceleration rewards: You can also pay through specific card-linked apps to get extra rewards. Some cards even offer up to 10x points for fine dining, travel bookings and purchases at partner stores.
5. utility bill payment: You can also set up a standing instruction on your card to pay utility bills to earn cash back. This means that bill payments will be made automatically every month without any manual intervention. Additionally, this ensures that you don’t have to pay late fees.
6. Welcome and renewal bonus: It’s also recommended to check for cards with generous sign-up bonuses (such as travel miles and free vouchers) to make sure your annual fee matches these benefits.
7. avoid overspending: You can use at least 30% to 50% of your credit limit, but avoid overspending to earn rewards. You should keep track of maturity dates to avoid accruing interest.