I an a guy who is bit pampered by electronics Items, My spending is like 1.5 Lac music system/ 2L LED TV, a 45000 Music system in Car! its a foolish foolish thing. Btw what we earn for?:)
Please read my review of Standard Charted.You will believe how fool I was in managing my finances.
But let me not bore you and post a review how I got them, you need to believe me those were on CC, I used to earn 50K and spent 50K.
Later(not much later I am 30!) in my life I realized CC spending should not be habitual. CC company earns money on defaulting of payment and what you earn is bad score in CIBIL(just a body which is linked to different banks and keep tab of your financial heath, good score is easy loans and good deals?
I hope we all know all banks are linked now to CIBIL, so no over spending pls.) I would like to draw you attention to not use CC as much as possible, even if you use it you should be able to pay it back before they charge any interest. If this is not case with you, you are in trap.
So here is something I have done(DOnt take below as words of Wisdom, BTW you are master of your account:)).
I cancelled all my CC and just got a one with good higher limit from HDFC(where I held my salaried account). I think 200K is decent enough for a CC. So that only Credit card I use and manage it.
-Manage one higher CC in liue of many CC with lower limits.
-Don’t ever use one CC to pay another, it will harm you.
-If you are salaried and you have a salaried account, use same bank CC, done be fooled by various offer, you should know all bank are their to earn money(or how will they survive?)
-Keep Close eye on your spending habits, All banks are now days holding CC for different habit of their customer.
-Keep you hand tight on CC, I would say use it for emergency.
-if you are going to use your CC+ Cash to buy make maximum possible payment by cash, that way reducing CC amount.
-What I have done is I have samll FD’s of various amouts ranging from 1000-5000 and I use them to buy something if I need money, instead of swiping my CC.
-But CC can be savers to(very rare, they just expand you purchasing power and later you willl have no purchasing power when you see bills of CC).
You need to decide how and why you spend on CC.
So here is how I look after being ditched by Standard Charted bank:
I hold Premium banking account with HDFC(Saving+ Current+ CC).
Best thing is that I can check everything from my FD/RD/Saving/Current/All credit card/all Loans with my customer ID at a single place
I would appreciate HDFC internet banking facilities. So if I buy something I see that immediately on their portal. So from my point I think I have lost minimum on using HDFC CC and enjoying maximum benefits.
If I am going to miss my payment on CC either my personal Banker or Customer Care calls me up. I am happy with a single card now, with regular payment it earns me point.
Another thing is the more you use CC you rating goes down in CIBIL, so beware and enjoy CC just for its benefit. Stop over spending which you cant pay back in 45 days.
PS: I don’t want to spread word of wisdom, but not using CC is best option to keep your Credit line healthy.better Credit scores earns you loans(housing not personal)! Easily.