Two years ago, I began tracking my expenses using an application[Money Manager] where I manually updated each transaction. The primary reason was to gather data to understand my needs and requirements better, enabling me to plan a budget accordingly. Since data is crucial for making informed decisions, regardless of the context. In this blog, I will delve deeper into my journey with credit cards and how it has shaped my financial management.

One of the main reasons I started tracking my expenses was to find a credit card that matched my spending habits. By analyzing where my money went, I could identify the type of credit card that would offer the best rewards and benefits for my specific needs. I conducted thorough research, asking colleagues and friends for their opinions. Each had their own recommendations, with some advising against getting a card if I was new to creditcard. This made me pause and reflect on my spending habits before making a decision. After months of analysis and research, I concluded that as a beginner, I should go for a card with no joining or annual fee but with rewards and benefits that suited my needs.

So, in my quest for a credit card, my first card was from Slice, which was the easiest to get since most cards require a CIBIL score of 700 or higher. This card marked the beginning of my journey to build a decent CIBIL score. Unfortunately, my time with the Slice card was short-lived, as the company had to shut down its credit card business. However, the few months I spent using the card were enough to generate a decent CIBIL score, which helped me qualify for another credit card.

After extensive research and analyzing my spending data, I determined that the Amazon Pay ICICI credit card was the best option at that time. It was a free card with no annual maintenance or joining fee, so I applied for it. Unfortunately, my application was rejected due to my weak credit history twice. To build a better credit score, I then opted for an IDFC credit card, which was UPI enabled. I chose this card because most of my transactions were conducted via UPI, and it would help me establish a solid credit history. Additionally, to manage my credit card bills and ensure timely repayments, I started using the CRED app, which also offered some cashback benefits.

Last month, it became clear that I needed to upgrade my credit card strategy after encountering some large transactions where cashback offers could have reduced costs by up to 5%. After re-evaluating my options, I discovered that the SBI Cashback and HDFC Swiggy cards were ideal for handling substantial purchases and maximizing offers. Although both cards came with fees, I was lucky to find a promotion in the Swiggy app that offered the HDFC Swiggy card with no annual charges. Consequently, I replaced my IDFC UPI credit card with the Jupiter credit card, which provides 2% cashback on selected categories and has no annual fee. Additionally, I'm considering adding the Airtel Axis Bank card, which offers 25% cashback up to ₹250 each month on Airtel products and services, to further optimize my rewards.

In conclusion, tracking my expenses and understanding my spending habits have been pivotal in navigating my credit card journey. From my initial experiences with the Slice card to the strategic choice of the Jupiter credit card and the upcoming addition of the Airtel Axis Bank card, each step has contributed to optimizing my financial management. By leveraging data and aligning credit card features with my needs, I’ve been able to make informed decisions and maximize the benefits of my credit cards. I hope my journey offers valuable insights and encourages you to take a thoughtful approach to managing your own credit and finances.

Here's how the yearly stats of my spendings look like in the Money Manager app for last year and this year.