Some credit cards have tieups with grocery companies. In this way, more cashback is available from these companies on purchases. This amount of return can be up to 2-4 times more than the normal return or cashback.
There are many types of credit cards. But the most important among them is the credit card with cashback. That is, keep spending and earn on every shopping. You get cashback according to the amount of money you spend in this. Such a card is right for those people who are fond of shopping.
A question that may arise in the mind of the common man is that all credit cards are of the same type. Then what is this cashback credit card? Credit card simply means spend now and pay the money next month. However, there are some credit cards that offer additional features. Some give reward points and some special deals and discounts. In this, there are some cards that give cashback on spending. If there are different cards, the customer has to decide which one is suitable for him.
1-What is Cashback Credit Card
Every cashback credit card is unique in its general terms. But they all have one thing in common – every cashback credit card gives money for every rupee spent. There are some cards that give a certain amount on every purchase. For example, suppose a percentage of the shopping that you made is returned to the card. Some cards offer more cashback. More cashback is given on buying oil or taking groceries.
2- More profit on household expenses
Suppose Ramesh bought groceries with a credit card and paid the electricity, water and phone bills of the house. Ramesh felt that he had spent more than the credit card. In such a situation, cashback helps him a lot. Let’s say that Ramesh spent Rs 15,000 in a month by credit card. If 1 percent of this is added, then Rs 150 gets cashback in the credit account. As Ramesh increases his purchases, his cashback will increase.
3- Is cashback available on every spend
Generally, cashback is available on every spend. Ramesh pays electricity, water or other household bills with his credit card, buys groceries, buys movie tickets. Being a cashback card, Ramesh gets money on every purchase. However, if Ramesh withdraws money from that card, he will not get cashback.
4- What is the benefit of cashback card
Some credit cards have tieups with grocery companies. In this way, more cashback is available from these companies on purchases. This amount of return can be up to 2-4 times more than the normal return or cashback. Therefore, it is beneficial to buy goods from these brands or buy oil from petrol pumps on offer for profit. Some cards offer a sign on bonus feature. If Ramesh spends more than a certain amount in the first 2-3 months, he gets cashback at a higher rate.
5-Is there any annual charge on such card?
There are many cards on which there is a rule to pay annual fees, while some cards are free. While taking the card, you should ask the bank whether the card is free or chargeable. But keep in mind that cards that come with annual fees, get more cashback on them. If Ramesh takes a cashback card with annual fee, then there is a chance to earn more on more shopping.
