It’s exciting to get a new credit card. Maybe you want to use it to buy a new laptop, or maybe you want to enjoy the benefits of the pleasant offers on the card. Before you can begin swiping, there are a few things you need to do to set up and organize the cards.
Whether this is your first credit card or you’ve upgraded to a premium card, understanding the features and advantages of your credit card will help you to set it up properly and prevent costly mistakes in the future.
Things to remember:
Here are some of the things to must do when you get a new credit card.
Link your bank account to the card.
As soon as you receive the card, make sure to download the mobile banking app of the card issuer, and you may manage every aspect of the card using your mobile phone. If you already have a bank account with your card issuer, you can also link your credit card to that savings account. The following are some of the major benefits of using internet banking/mobile apps to manage your credit card:
You can monitor credit card spending
Look over your credit limit.
Make your credit card payments.
Freeze/Activate it.
If you lose your card, you can cancel it.
Activating your card
It is the most important thing to do and must do this as soon as you get a new credit card. Your card will not work until you activate the card. Many new credit card users make the mistake of placing their new card in their wallet, intending to activate it later. Then they subsequently forget the activation and only remember it when their card is declined when they need it.
To avoid this, make sure to activate a new card right away. You’ll find the activation instruction on the pamphlet included with the card. Also, you must set the card’s PIN number at that time as well.
Setting up Autopay
To use credit cards responsibly, making on-time, complete payments on a monthly basis is the most important thing to do. This will help in improving both your credit score and your repayment history. Thus, even one late payment can harm your credit, especially if you’re just getting started.
With a lot of bills to settle and a lot of everyday activities, it’s normal to forget to pay your bills on time. If you set up automatic payments, then your credit card bills will be paid on time each month without your involvement.
Checking For The Welcome Benefits
Every credit card has a unique reward scheme. With some credit cards, you receive reward points on every purchase, however, with others, you could only receive them for particular purchases. To get the greatest benefit, you can learn about the benefits offered by your credit card. On some purchases, you receive points that may be redeemed for attractive advantages like gifts, discounts, or cash credit.
Understanding the reward program
One of the main advantages of having a credit card is that it gives access to a reward program. Every time you spend using the card, you receive deals, cashback, and reward points. Before you begin using the new credit card, make sure to understand the advantages and features of the rewards program. Then, learn how to utilize the card wisely.
Bottom Line
Some people may find it difficult to apply for a credit card for the very first time due to the unfamiliar terminologies, terms, and conditions that go along with it. But if you’ve already decided that you want a credit card then you may learn more about it by researching it. In this manner, you can gradually increase your understanding of credit cards and apply for low-limit credit cards. After obtaining this card, you can raise your credit score and apply for the cards you want in the next six to eight months.
Additional Reading: 5 Best Premium Credit Cards In India