The craze of online shopping among youngsters has accelerated these days, especially since the Covid Pandemic. E-commerce sites, such as Amazon, Flipkart, etc, have become very popular and these are taking over that traditional offline shopping really fast. With the increasing popularity of online shopping, credit cards are also becoming a necessity for many individuals as these give you more purchasing power. Along with the credit limit, you also get lots of additional benefits with credit cards nowadays.
When it comes to choosing a credit card for online shopping, people generally go for any random card that offers a good reward rate or cashback. But, there are a lot of other things that you need to keep in mind in order to save more and more on your shopping spends. In this article, we are going to talk about some important things you must consider while choosing a credit card for online shopping. Keep reading for more information:
Things To Consider While Choosing The Right Online Shopping Credit Card
The following are some of the most important points to keep in mind if you are choosing a credit card for online shopping. These tips will help you get the right card and get the maximum benefit out of it:
Understand Your Spending Behavior
Choosing a credit card without thoroughly understanding your spending habits is never a good idea. You can get the maximum benefit out of a credit card only if you have chosen the card as per your requirements. If you love online shopping, you must analyze what brands you love the most and try to get a credit card that offers the maximum reward rate on those brands. For example, if you shop mostly through Amazon, you should look for credit cards that offer great reward rates on Amazon purchases. Then compare different cards on the basis of reward rates, annual fees, and other factors, and go with the card that seems to benefit the most. It makes no sense if you get a Flipkart co-branded credit card but shop more often on Amazon.
Reward Structure Of The Card
There are hundreds of credit cards in the market, all of them having different rewards and benefits. When comparing credit cards to choose the right one, the reward structure of a particular card is one of the most important factors. You should not just look for the regular reward rate, but also check if it is offering an accelerated reward rate on some special categories. It is because some credit cards may have a regular reward rate of 1% but they might offer a 3% reward rate on online shopping. This is why it becomes essential to read the detailed reward structure of a credit card before you make a final decision about it.
Look For Co-Branded Credit Cards
There are many co-branded credit cards issued by different card issuers in partnership with various shopping brands. If you are loyal to a particular brand, you should try to find out if there is a co-branded card issued by any bank with that particular brand. for example, if you shop frequently via Amazon, you should go with the Amazon pay ICICI Bank Credit Card without having any second thoughts in your mind. Similarly, Flipkart loyal customers can try to get a Flipkart Axis Bank Credit Card. SBI Card also offers several co-branded shopping cards in partnership with Max, Lifestyle, Home center, etc. These cards may be a great savior for you if you are a shopping lover.
Be Updated With Short and Long-Term Offers
All the major credit card issuers keep coming up with several short and long-term offers and you should be updated with these offers in order to get the maximum benefit out of them. Especially in the festive season, almost all the card issuers come up with exciting shopping offers and you can save a lot during such offer periods. Apart from this, there are some long-term offers that keep running for months or years. For example, you get accelerated rewards when you shop via Axis Bank’s Grab Deals portal using Axis Bank Cards, HDFC Bank’s Smart Buy portal using HDFC Credit Cards, etc. So, whenever you choose a credit card for online shopping, you should also keep these offers in mind.
No Cost/Low-Interest EMIs Should Be Available
To make big purchases, it is very essential to have a credit card that offers the facility of No-Cost EMI or low-interest EMIs. Almost all the major card issuers are offering the no-cost EMI facility nowadays and you must try to get one such credit card as it can save you from paying those unnecessary additional charges.
Getting a credit card with exclusive benefits is not enough, you should also be wise enough to get the maximum benefit out of your card. You should first get a card that suits your requirements as it doesn’t make any sense to get a travel credit card when you love shopping more than traveling. You should keep all the above-mentioned points in mind before choosing a credit card as well as while using the card for online shopping. The reward structure and the redemption process are something that you must understand in detail. So, just try to make a wise decision and use your credit card responsibly. If you have any further doubts, you can freely ask us in the comment section below!