If you know how to use your credit cards wisely, it can help you save a lot of money. Often, we keep a credit card just to make transactions and fail to make full use of its features and offers that are available on our credit cards. However, you must know the features of your credit cards and when you are eligible to use more discounts and offers online and offline.

Here are ten things you can do with your credit cards to maximise your savings:

Pay your bills on time

Avoid late payment fees and interest charges by paying your credit card bills in full and on time every month. It is crucial to ensure that you pay your bills on time to avoid delay charges and defaults that can have a bad impact on your credit score.

Choose the right credit card

Select a credit card that offers rewards, cashback, or discounts on categories you frequently spend on, such as groceries, dining, or fuel. These days lenders offer you several options to choose credit cards as per your usage and spending habits.

Adhil Shetty, CEO, Bankbazaar.com, says, “It is very useful to choose a card that aligns with your lifestyle. For example, if you travel frequently, look for a card with travel rewards or lounge access. If you’re a frequent shopper, cashback or discount cards might be more suitable.”

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Use balance transfer offers

Transfer high-interest balances from other credit cards to one with a lower or 0% introductory APR to save on interest charges.

Take advantage of rewards

Almost all credit cards give you reward points and cashbacks. Accumulate reward points or cashback on your credit card purchases and redeem them for discounts, gift vouchers, or statement credits.

Opt for EMI options

Convert large purchases into equated monthly installments (EMIs) with lower interest rates compared to personal loans or store financing. This can help you pay your large debts in EMIs without putting pressure on your financial health.

Monitor your credit score

Maintain a good credit score to access better credit card offers and interest rates, which can save you money over time. A credit score higher than 700 can also help you get credit cards with more features and rewards.

Shetty adds, “A high credit score, typically above 750, reflects responsible credit usage and payment history. It enhances your creditworthiness, making it more likely for banks to approve your credit card applications.”

Avoid cash advances

Cash advances on credit cards come with high fees and interest rates. It’s better to withdraw cash from an ATM using a debit card.

Use promotional offers

Many credit cards offer promotions and discounts on online shopping, dining, travel, and entertainment. Keep an eye on these offers and take advantage of them.

Track your expenses

Use mobile apps or online tools provided by your credit card issuer to monitor your spending, set budget limits, and receive alerts for unusual transactions.

Annual fees and interest rates

Contact your credit card issuer to inquire about reducing annual fees or lowering your interest rates, especially if you have a good payment history.

Avoid carrying high balances and prioritise paying off high-interest debts when using your credit card to ensure you make the most of your credit card benefits. These tips can significantly enhance your savings and help you make good use of your credit cards.