From being a taboo, credit card users have gradually increased in numbers with it currently being more than 30 million users in the country. Though debit cards are the preferred “plastic” by many with more than 800 million users, credit cards are gaining momentum due to the benefits provided by the card issuers.

Another big factor that helped credit cards to gain popularity is the rise of the online market or e-commerce.

E-commerce has grown leaps and bounds in India where people across the country have taken a liking to ordering online and getting it delivered to their home within just a day.

Credit cards have become a major source of payment for customers when buying online as they provide multiple advantages.

1.    Offers for online purchase

Many credit card issuers have started providing benefits like cashback or discounts from a consumer durables/ electronic or fashion e-commerce website as added incentive to buy products online. These type of benefits or features are not available on most of the debit cards.

2.    Easy EMI

Consumer durable loan is something that has been around for a long time now, but it was something that online retailers did not provide. But now a customer can get easy EMI based on their credit card. A person can take a loan for any product on their credit cards at nominal interest rates which they can repay in EMIs.

Additional Reading: How Can You Make the Most of Online Shopping with Simply CLICK SBI Credit Card

3.    Liability for fraudulent charges

There are many reports of hacking where a hacker steals the personal information of a person or the card details to rack up charges on credit cards or debit cards owned by the victim.

With credit cards banks provide theft protection,  a feature that is not available on debit cards; where post paying a very nominal fee the debt will be cleared from the victim’s card or if possible all the charges reversed there by getting back the money stolen.

Consumer protection

How many times has this happened to you – you bought a product online, it was defective, and the vendor is making you run around in circles when you ask for a refund.

When you pay with a debit card you do not have any leverage as the money is directly withdrawn from your account while in the case of a credit card banks and card issuers give the option of payment reversal where you can ask the card issuer to reverse the funds citing issue with the product. This way the consumer is always protected.

Additional Reading: 5 Best Credit Cards for Online Shopping

4.    Credit score improvement

Another very important point a person needs to remember is that it is only with credit cards that your credit score can improve. Since credit cards are a source of loan either secured or unsecured is a way a person can improve their credit score. This is an added benefit for the card holder.


Both debit cards and credit cards have their own pros and cons but when it comes to online purchase credit cards take the lead as they give a plethora of advantages over debit cards. As a consumer/card holder you need to take care when using your card online.