Should you get a new credit card just for the Amazon and Flipkart Festive Season Sales?

With the festive season around the corner, Flipkart and Amazon are gearing up for their sales! If you’re eager to make the most of your budget, using credit or debit cards is a smart move. Banks like HDFC, SBI, ICICI, and Axis are rolling out discounts and cashback deals. If you don’t have one of these cards that offer great discounts, now might be the perfect time to sign up!

Consider signing up for a card

You might be thinking if it is necessary. Even if there’s a joining fee (typically ranging from ₹500 to ₹2,500 for non-premium cards), it could still be worthwhile. Along with the cashback and discounts during sales, many cards offer welcome bonuses such as free vouchers. For instance, the SBI SimplyClick Credit Card charges a joining fee of ₹499 plus GST, but you can receive a welcome voucher on selective purchases. The iPhone 13 is now selling at Rs 49,900 for the base 128GB model, which is expected to be available for just Rs 39,999 (including bank offers) during the Amazon Great Indian Festival sale. The e-commerce site has already announced that buyers can avail of a 10% instant discount on SBI Bank card transactions. In addition, there will be an exchange offer, which will bring the price of the iPhone 13 as low as Rs 39,999.

Reward points and other perks

Beyond immediate savings, credit cards offer numerous advantages. They help you build a credit history, which is particularly beneficial for younger individuals planning to buy homes or cars in the future. A solid credit history can obviously improve your credit score.Credit cards also serve as excellent tools for cash-flow management. By adjusting your billing cycle, you can use your card for monthly expenses and pay it off when your salary comes in at the start of the month.

Don't overlook reward points! Many credit cards provide accelerated rewards on specific categories, allowing you to earn points that can be redeemed for cash, travel tickets, or electronics. For example, HDFC Bank credit cardholders can now earn up to 10x Reward Points on flight and hotel bookings. To qualify, a minimum spend of ₹3,000 is required. Cardholders can earn 5x Reward Points (up to 500 points) for spending ₹3,000, while spending ₹6,000 or more unlocks 10x Reward Points, capped at 1,500 points.
Moreover, cardholders may benefit from features such as zero-interest EMIs, which allow consumers to spread the cost of larger purchases over several months without incurring extra fees.

Final checklist you shouldn’t miss!

Before you dive into festive shopping, make yourself clear about a solid budget. Figure out how much you can comfortably spend and make a fun list, allocating amounts for each. Know your credit limit to avoid any surprises, and if needed, ask for a temporary boost—just be sure you can handle it! Plan to pay off your credit card balance in full to avoid interest charges, or make sure to pay more than the minimum limit. Keep looking for cashback deals and discounts that your card offers, especially during sales, to score some great savings. Check your transactions regularly online to stay on top of your spending and catch any sneaky charges. And remember, festive sales can be tempting—stick to your list and make choices that bring lasting joy.

But remember….

While credit cards come with many benefits, it’s crucial to use them wisely. High interest rates can lead to debt if you don’t pay your full balance at the end of the billing cycle. If you find it challenging to control your spending, relying on credit may not be the best option for you.

So, as you gear up for the festive shopping frenzy, keep these tips in mind and make the most of the savings available. Happy shopping!