Why Use Credit Cards | Credit Cards Over Debit Cards in Singapore

Credit Cards

What is the distinction between a credit card and a debit card? Will employing the former or latter benefit you more? We provide answers to all of your burning questions. Is it better to use debit or credit cards for day-to-day purchases? Debit cards and credit cards couldn’t be more different, from how they work to their benefits and drawbacks – despite how similar they may appear. In this blog, we tell you why use credit cards more often in Singapore?

We’ve compiled a list of the top five indicators to assist you determine whether you’re ready to upgrade your reliable debit card to a credit card that can meet the majority, if not all, of your demands.

Related – Credit Cards in Singapore 

Why Use Credit Cards more often in Singapore?

To be Responsible with Money

Do you make it a point to keep an eye on your money and know exactly where it goes? If you’ve always been fiscally responsible, you’re likely to gain from using a credit card. Although credit cards have high-interest rates and some even have an annual fee, using your credit card responsibly can help you earn meaningful benefits over time as you spend on everyday purchases (e.g., groceries, gas, eating), online shopping, vacation bookings, and so on. Make every money you have work for you!

Paying down your credit card balance in full each month before the due date is one of the most crucial credit card habits you can develop. You’ll never have to bother with credit card interest charges or late fees again.

You don’t Overspend

Do you live by the adage “spend within your means” regardless of how much or how little discretionary income you have? If you don’t enjoy the thought of spending money just because you have easy access to credit, you’re likely to perform well with a credit card. When you use a credit card to make a purchase, the credit card issuer (usually a bank) pays the bill first. Don’t be fooled – this is money that you will have to repay sooner or later. It is not, in any sense, free money.

You Want to Improve your Credit Score

Do you think you’ll need to get a home loan or a car loan in the future? One of the simplest strategies to develop or improve your credit score is to switch from debit cards to credit cards. Building good credit entails demonstrating to lenders that you can repay money borrowed properly.

All you have to do is make sure that you continuously pay off your credit card payments in whole and on time over a long period of time. Banks and financial institutions use your credit report to determine whether or not to grant you credit. The quantity of credit they are willing to provide to you is also affected by how clean and impressive your credit record is.

You’d like to get Monetary Credit Card Rewards  

Do you want to turn your costs into cash rebates, gifts, certificates, or even actual air miles for flight redemptions and upgrades? You can benefit from the correct rewards credit card(s). Customers can choose between cashback credit cards, air miles credit cards, and rewards credit cards in general. How do you choose which ones to go with? You should think about your lifestyle and spending habits!

Credit cards, in addition to earning and accumulating credit card points, come with a variety of discounts and offers designed to help you stretch your money. To begin, consider these DBS/POSB deals, Citibank offers, Standard Chartered Bank offers, and OCBC offers.

You want to take advantage of the perks that come with credit cards.
Did you know that credit cards come with a slew of perks including fraud protection, e-commerce purchase protection, complimentary travel insurance, concierge services, and access to airport lounges all around the world?

Keep in mind that not all credit cards and their related benefits are created equal – the real benefits you can receive are based on the exact credit cards you carry.

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