You are missing out on benefits worth thousands of rupees! Here's how to get the full advantage of credit card reward points..

The use of credit cards is on the rise in the country. Every time you swipe your credit card, you earn reward points. But are you truly making the most of them or deriving their full benefit? In reality, most people overlook these points, leaving them to go to waste. Some fail to redeem them before they expire, while others impulsively spend them on low-value options right away.

The real value of a credit card lies not just in earning points but in redeeming them effectively. Banks offer various options such as cashback and air miles. If you know the right strategy, you can double the benefits from the same amount of spending.

**Understand the mechanics of reward points**

Typically, banks award points for every ₹100 or ₹150 spent. However, remember that not all points hold the same value. You might redeem points for a low-value item (like a watch or earphones), whereas the same points could secure a complimentary flight or a high-end hotel booking. Therefore, always assess the value before spending them.

**Don't spend points without comparing options**

Avoid the mistake of immediately redeeming points just because you see a gadget or item in a catalog. Often, flight tickets, hotel bookings, or branded gift vouchers offer better value than merchandise. Some banks even allow you to adjust these points against your credit card bill. So, take the time to compare your options.

**Use the right card for the right purpose**