Upgrading your Credit Card? Here is the checklist

A salary hike or a promotion is like a symphony to the ears. Everyone dreams of going up the professional ladder and growing financially. However, as your income goes up, so does your standard of living. Hence, you would require the right financial tools with a high credit limit to help you embrace your new and improved lifestyle seamlessly. One of the things that you may want to focus on is to upgrade credit card.

Here’s a quick checklist that can help you choose the right credit card:

Evaluate your spending habit

It is important to get a credit card that caters to your unique spending habits. For instance, if you travel a lot, you can get a card like the IDFC FIRST Bank’s Select Credit Card that offers air accident cover of Rs. 1 crore and a comprehensive travel insurance cover of Rs. 22,500. Likewise, if you enjoy spending time with your friends and family outside of home, you can look for credit card offers like rewards at restaurants, movies, etc.

Try to get a higher credit limit

When your salary increases, your expenses do too. You may have a long list of to-dos and must-haves that you can now buy with your surplus income. Further, your social commitments can grow as you move up the professional hierarchy. No matter the reason, getting a credit card to accommodate all of these changes is imperative. So, when you upgrade your credit card, draw up a rough new budget based on your new income and select a card with a high credit limit accordingly.

Check the associated fees and charges

High-interest rates and annual fees may sometimes accompany an upgraded credit card. Now, you wouldn’t want to lose a significant portion of your salary hike to credit card charges, would you? Thankfully, there are some credit cards like the IDFC FIRST Bank’s Wealth Credit Card that do not levy an annual fee, joining fee, or interest on cash withdrawals. Getting such a card can help you enjoy privileges and premium benefits like amazing discounts on movie, dining and at online merchants, complimentary Domestic & International airport lounge and spa visits and complimentary Golf rounds in leading golf clubs.

Reward points and various other benefits

The role of a credit card has significantly evolved in today’s times. Credits cards are not just an instrument of credit but also an opportunity to earn discounts, rewards, travel benefits, insurance covers and more. Look at the list of rewards that a card offers. Additionally, see if there is an expiry date for your rewards program. It can help to opt for a card that does not have such limitations.  

With the overflowing features and benefits of credit cards, it can be challenging to make the right choice. However, assessing your requirements can do the trick. You can keep these points in mind when you upgrade your credit card to one that can elevate your lifestyle as per your liking. Also, remember that you can build a good credit score with your credit history, so the more useful and appropriate you find your card, the better it can be for you.

Disclaimer

The contents of this article/infographic/picture/video are meant solely for information purposes. The contents are generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. The information is subject to updation, completion, revision, verification and amendment and the same may change materially. The information is not intended for distribution or use by any person in any jurisdiction where such distribution or use would be contrary to law or regulation or would subject IDFC FIRST Bank or its affiliates to any licensing or registration requirements. IDFC FIRST Bank shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information mentioned. Please consult your financial advisor before making any financial decision.