Credit cards, these days, are must haves for everyone. You don't need to carry much of cash with you if you have a card. Also, most online transactions happen only through credit cards. If used properly, you can get credit for upto 45 days without having to pay any interest.
But, it is generally advised to use credit card only when you need it . Moreover, one should not indulge in spending excessive amounts, so much so that you won't be able to pay back the amount later. But what if you can do away with the paying back part??
Recently I had a very funny (in fact an enlightening) experience regarding credit cards, or may be I was foolish enough for so many days for not understanding the trick myself. I was offered a FREE credit card by a particular bank. I said that I don't need it, since I already have a credit card of some other bank. But since the MADAM was insisting that it's free and that I have already been issued the card, I decided to take it. For verification, I needed to submit a few documents to a guy who was sent over to my office. However, later I again decided to decline the offer. I explained to that guy that I already had one credit card and did not need a second. But he kept insisting that a second card helps. His point was that currently I have to pay the credit card bill from my own pocket, but if I have multiple cards, I won't have to. HOW? Just pay the bill of one credit card from the other and vice versa and go on and on. No need to ever pay back in real money. Smart. Now I understand why most people and some Banks in US got bankrupt :)
One more thing that came forward was a nice marketing strategy that this particular Bank was employing. They call people saying that a credit card has been approved for them, but they need to provide contacts of at least 2 of their colleagues for verification. Once they get the contact numbers, they call them up and repeat the same thing, saying that a credit card has been approved for them, but they need to provide contact details of some colleagues for verification and the chain continues. Nice strategy I say, and more credit cards in the market...
Very true dude. Actually these credit card agents seem better than a MBA person. These people can make more profit in less investment. But they can even screw the banks or the consumers.
ReplyDeleteyes your are absolutely right ,same thng happend wth me last month, was offered credt card of hdfc bank ,but after i was delivered they got after me tellng that ishould take their health policy of 200/month by paying only through credit card , otherwise they wll cancel my credit card ,i told them to go ahead with cancelling
ReplyDeleteso nice blog dude and keep on writing
Hey Mayur, That HDFC guy told us that the credit cards were approved for all Marvell and IBM employees. So, I suppose you got that card under the same offer :)
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