Stop Using Credit card with UPI or you may fall in Debt Trap

[Shubham Chhapariya]

Hi shubham here,
Recently there are many banks which are coming up with Rupay credit card and my experience says this can bring many of new cardholder or impatience card holder into debt trap cause now paying from credit card has became super easy you just need to scan and pay and I fell this will generate many wrong habits if you as an spender is not aware.

I myself has seen my credit card utilisation has increased from 4% to 6% in last 3 months and fater which i have stopped using upi with credit card.

What's your view on it?

 

[prati086]

maintain the Financial Discipline and self-control

 

[Chotu]

Hi shubham here,
Recently there are many banks which are coming up with Rupay credit card and my experience says this can bring many of new cardholder or impatience card holder into debt trap cause now paying from credit card has became super easy you just need to scan and pay and I fell this will generate many wrong habits if you as an spender is not aware.

I myself has seen my credit card utilisation has increased from 4% to 6% in last 3 months and fater which i have stopped using upi with credit card.

What's your view on it?

It depends on how people utilities it, not everyone will use like but I agree to your point because many people will use like that.

 

[anuragmukherjee28]

I also feel that , if you miss uses your credit card limit,it's your fault,not anyone else's

 

[Pahulpreet Kaur]

True, Credit Card can a boon as well as a curse. It depends how smartly an individual can utilize its benefits. On an average, if one spends even 10k regularly monthly through UPI then with using Credit Card he can get an additional interest on that amount by simply keeping it in savings account or any short term FD and cherry on the cake is the additional rewards that you can get from using Credit Card which in case of simply UPI from bank account is null.

 

[sayantan.ghosh]

Agree with others, if you don't have control over your spending, you should not go for credit cards at all.
Rupay UPI credit cards are excellent option for those who pay for chai etc on UPI everyday. This actually declutters your bank statement, removing hundreds of transactions. I felt the need while getting a statement printed from a branch for visa application. It was embarrassing when the printer was giving a long, very long print out.

 

[Manoj Kohli]

Agree with others, if you don't have control over your spending, you should not go for credit cards at all.
Rupay UPI credit cards are excellent option for those who pay for chai etc on UPI everyday. This actually declutters your bank statement, removing hundreds of transactions. I felt the need while getting a statement printed from a branch for visa application. It was embarrassing when the printer was giving a long, very long print out.

Apart from your decluttering your Bank Account statement, there is 1 benefit which is being missed out - Usually you don't get any cashback if you pay directly using UPI. If you link your Rupay Credit Card with UPI - you start getting 1-2% cashback on all your UPI Payments (some Credit Cards even offer a flat 5% cashback like SBI Cashback). This, in my opinion, is a big win.

 

[sayantan.ghosh]

Apart from your decluttering your Bank Account statement, there is 1 benefit which is being missed out - Usually you don't get any cashback if you pay directly using UPI. If you link your Rupay Credit Card with UPI - you start getting 1-2% cashback on all your UPI Payments (some Credit Cards even offer a flat 5% cashback like SBI Cashback). This, in my opinion, is a big wi yes

Apart from your decluttering your Bank Account statement, there is 1 benefit which is being missed out - Usually you don't get any cashback if you pay directly using UPI. If you link your Rupay Credit Card with UPI - you start getting 1-2% cashback on all your UPI Payments (some Credit Cards even offer a flat 5% cashback like SBI Cashback). This, in my opinion, is a big win.

Yes Manoj I completely missed the Cashback point. This is another major reason to opt for this card.

 

[Mahesh]

Hi,

The option of paying via UPI using your credit card is beneficial as you keep your bank balance the same till you have to pay.
The idea to pay your daily needs with UPI was revolutionary straight from bank to bank and now using a CC is also great.
One has to keep spending on their needs as usual using this feature.

Just ask yourself if :
1. purchase is your need or want..?
2. Would you pay for this from your bank Acc..?

Hope this helps.

 

[palmadhotra]

Hi shubham here,
Recently there are many banks which are coming up with Rupay credit card and my experience says this can bring many of new cardholder or impatience card holder into debt trap cause now paying from credit card has became super easy you just need to scan and pay and I fell this will generate many wrong habits if you as an spender is not aware.

I myself has seen my credit card utilisation has increased from 4% to 6% in last 3 months and fater which i have stopped using upi with credit card.

What's your view on it?

Depends upon indl as you must use only upto that amt which is already with you in savings account, otherwise every online spend like G/pay, phone pay, credit card etc other than debit card make you habitual to spend more

 

[Skylar]

my credit card utilisation has increased from 4% to 6%

As you regular UPI spends are now on credit card upi
That 2% you use to do on Savings account UPI now got into the credit card spend and it became 6% spend on cc?