My personal experiences with a credit card

This blog is not a general post on the pitfalls of using a credit card, but rather my personal experiences (highs and not-so-highs) with the credit card.

I got my first Standard Chartered credit card 19 years back, on my second job. Right, credit cards have been around for so long. 19 years of credit card experience!! That should make me a pro in handing out any advice regarding credit cards, right? So, here are some of my do’s and do not’s based on my personal experiences.

Let’s start with the do not’s. Do not:

• Get trapped in the minimum revolving balance cycle: You may have read this many times, but this is the basic golden rule of using a credit card. You completely lose the benefit of interest-free period (52 to 60 days depending on the card) if you have any outstanding (it could be 100/- for that matter). The way it squeezes you out is suppose you have an outstanding amount of 100/- from the previous cycle. In the current cycle, you decide to go on a shopping splurge and spend let’s say, 5000/-, which you plan to pay back when the bill comes, as you have got a raise and are expecting extra cash in your bank account. So you would be thinking of paying 5000/- + 100/- + the interest on the 100/-, right? Wrong, you will be paying 5000/- + 100/- + the interest on 5100/-. This is where the credit card company benefits and makes money from you. Now, imagine when that 100/- becomes 1000/-, and you find yourself in the debt trap. On my first card, I had run up debts to around 30,000/-, which was way above my monthly salary then.
• Use the credit card in an ATM: Do not use credit cards to withdraw cash from an ATM. In the case of cash withdrawals, there is no interest-free period, plus banks charge you a cash withdrawal charge and an interest, which makes cash withdrawal more expensive than a personal loan. There is an alternative, which I have opted for, in times when I have needed small amounts of cash. I would only suggest this if you need small advances of cash (25K to 50K), and you have a decent credit limit on your card. Credit card companies offer you cash-on-call, using which you can take a loan, with the loan amount deducted from your credit limit. You can paid back the loan on a monthly basis with your regular credit card payment. The advantage is the interest rate is around 1% per month (depending on the bank). So, for a loan of 50K and a tenure of 12 months, you will end up paying back 54K (including interest), which makes it cheaper than using credit cards in the ATM or taking a personal loan.
• Buy an army of credit cards: I am comfortable using 3 credit cards (1 master and 2 visa) cards. The number of credit cards you should have really depends on how frequently you use them. There is no point having multiple credit cards, if you use any of them occasionally. Many banks withdraw the issued credit card, when they find that you are hardly using them.
• Pay an annual fee: There is a common complaint among users, that companies are charging an annual fee or joining fee, even after committing otherwise. In instances when I have been charged any such fee, I simply call their 24-hour helpline and request them to withdraw the same. It has worked almost every time, as no company likes to lose a customer.
• Use a credit card when overseas: As a precaution, you should carry a credit card when travelling overseas, but use it only in an emergency. You will be reluctant to carrying a lot of foreign currency, so a better option is to use a forex card, which you can get from your savings bank, or any other bank. For international transactions, credit card companies charge their own conversion fees. Additionally, the chances of credit card fraud are higher when used overseas.

So, enough of the do-not’s with the credit card. Let’s now look at the dos with a credit card and how we can use it as an effective tool. Do:

•  Plan your monthly usage: To get the most benefit, I would say the best time to use the credit card is immediately after the card statement date. In my case, the statement date for each of my credit cards is 15^th of every month. So, all my purchases and usage would be from 15^th to 25^th (maximum) of every month. For the rest of the month, I religiously stick to using my debit card.
• Make your payments on time: As a rule, I have only opted for credit cards, which offers the most convenient mode of repayment. So, no repayments by cheque and drop-boxes for me. Most credit card companies enable you to make repayments through online net banking, or by linking payments only if you have a bank account with the same company. This is important, as credit card companies are known to charge you hefty penalties for late or missed payments.
• Pay your utility bills using credit cards: For the past few years, I have been using credit card to register and pay for my utilities including electricity, telephone, and gas bills. You can add up to 3 utilities with each credit card, which makes the required monthly payments automatically every month. The advantage is you do not need to remember to pay your bills on time every month; the card does it for you automatically and also on time.
• Use for Internet transactions: In this Internet age, you must be comfortable using your credit card online, despite the chances of fraud. I have used my credit card to book train and flight tickets, and also to pay insurance premiums. I guess it is a matter of trust that you develop with sites over years after making payments to them using your credit card.
• Utilize your reward points: As a rule, opt for a credit card that gives you more reward points for every transaction. Also, remember to redeem these reward points after you have accumulated a sizeable number. In several cases, I have opted to use my credit card instead of debit card for high value purchases, simply for the sake of getting reward points.

In today’s times, a credit card with a decent limit can help you in difficult economic times. You can treat it as a friend, only if you can take care of avoiding the pitfalls.

The futility of honking

I think the car horn is the most useless and outdated part of auto technology. Over the years, we have seen technology in our new cars improve to make car driving easier and comfortable, easy to maintain with affordable spare parts, increased mileage and safety. But, if there is one thing which has not changed in a car, guess what? Yes, I would say it is the horn. Seriously, it has more become louder and easier to horn, that’s it. Would you call that as improvements? No, I wouldn't.

I would prefer if the technology can be improved to direct our honking at the object for which it is meant to be. Currently, everybody can hear it, be it the car behind, the car on the opposite lane, and even the pedestrians walking on the side lane. So, if everybody can hear it, it is supposed to be meant for everybody, is it? And hence, everybody can ignore it, including the object that it is meant for. In this scenario, how does anyone differentiate between the honking meant for them and the general honking? I mean seriously, if I walk into a room full of people, and shout out, “Pomm Pomm,” the entire crowd would look at me with insane eyes, but no one would be able to fathom who I was crying out for. But on our roads, all acts of insanity are ignored or forgotten!!

The other problem is that of compulsive honking. The horn to announce that I am on the road, the horns 3 seconds after the signal turns green, and the horn when speeding on a green signal. Imagine the noise level if every driver decide to announce themselves at the same time. Congrats, you have arrived in life by driving your first car or bike, but seriously, who cares? Intelligent signals are a thing of the future, but in India, motorists already think the signal to be smart and not turn red before they cross. Sorry, guys, the traffic signal in India is still primitive, and no amount of honking will influence its colours. In Mumbai, I really do not have to look when the red signal turns green. I just have to wait when the cars behind me start honking!! The most irritating is the honking in the parking lots in malls. Are you trying to participate in an F1 in the parking circuit?

Honking is such a subconscious or involuntary act. It does not take any brain power, unlike let’s say, when to change the gears or apply the brake. It does not take any time or effort, nor does it cost you anything. Hence, the regularity of honking among drivers.

I think the problem of honking will exist as long as there is a human being behind the wheels. The future when driverless cars become popular and are accepted would be when we see the horn as a thing of the past in our vehicles. I may be forthright, but you must agree that honks are currently the dumbest component of the vehicle. I would love to see horns getting intelligent and not remain just a noise machine. How about horns that can be focussed on the target object? In this case, only the target object hears the horn, and not anyone else. Drivers would be in a better state to respond, when they know they are the target. Compulsive honking would also be reduced, as the honkers have to pick the target, and not just honk randomly. As this cannot be done subconsciously, it requires the honker to be alert, and this would reduce the level of honking.

But until then, we will have to put up with the menace of honking, whenever we step out on the roads, either as a pedestrian or as a driver.

10 obsolete gifts for Fathers

It is common knowledge that motherhood impacts most women physically and psychologically, but what is not so common is that fatherhood also impacts men, especially their psychological side. So this is a post for fathers in their thirties and early forties, whose priorities in life have evolved over the last 15-20 years. From personal experience, I can certainly claim that I no longer like most of the things, which I adored in my twenties, and in fact, have gone on repent some of the things (remember the Schwarzenegger and Sunil Shetty action flicks).

So as part of our evolution from bachelors to family men, our choice of gifts have also evolved over time. So, as a safe bet (there will always be exceptions) for all ladies, here is my list of gifts that you should not buy for your man:

• Deodorants: A definite “No” for a first-time (or occasional) user. And definitely not, if you are suggesting that your man “needs” it.
• Cartoon print clothing: We are done with wearing our attitudes on our sleeves, so please ladies, no T-shirts with cartoon prints or messages.
• Men creams and lotions: While it may be an in-thing to look “fair and handsome” and the “metrosexual,” it may not be such a “macho” thing for your man, as he has grown up learning that “tall, dark, and handsome” is what men are supposed to be.
• Gym memberships: Most men like their women to love them for what they are, not for their developed abs. Don’t get me wrong, health and fitness are important for us, but not by going for a gym regime. Believe me, most men think they are fit enough to climb Mt. Everest (agree that is an exaggeration!) till they go on a mountain trek. Moreover, our kids are there to keep us physically fit and active, so why bother?
• Spa treatment vouchers: While most women would love this, it is not such a happening thing for men. While it is true that men do fantasize about getting a spa and massage treatment service from women, practically, they prefer the “professional and complete” treatment. So, on a softer note, if you can afford it, make the spa treatment part of complete package (including other salon services, a 4-star or 5-star hotel stay, and/ or an exotic location). The last thing he wants is to get caught in traffic after a relaxing spa treatment.
• Self-help books: We don’t mind reading the occasional Rhonda Byrne or a “chicken soup” book, but not as a gift from our ladies. And please, after a career spanning 10 to 15 years, we are done with the Dale Carnegies and the Napoleon Hills of the literary world.
• Jewellery: Most men are the worst when it comes to flaunting jewellery, unless of course, you are over-decked with it à la a Bappi Lahiri. We are much more comfortable flaunting our latest watch, smart phone, or our camera. So then, what’s the point in buying an expensive jewellery gift, if your man does not show it off?
• DVD compilation of favourite movies: In the age of free movie downloads using Torrent or WebCrawler or streaming movies, a DVD compilation of your favourite movies can be used for posterity and long memory. But, believe me, with kids around, you can never be sure how long those DVDs will last.
• DVD compilation of favourite cricket matches: In the age of Twenty20 and new skills and improved clothing, would your man (even a die-hard cricket fan, if this one still exists) be interested in a DVD of old cricket one-day matches?
• Ties: If you have to buy this one as a gift, buy one with simple patterns. Nothing too loud and attention grabbing. You don’t want his colleagues at work to be looking at his tie, rather than him, do you?

So this is my list of obsolete gifts to buy for men. I guess “obsolete” would be too harsh a word, as we do appreciate the lady’s sentiment behind the gift, especially if it is not for any special day.

For the published article, visit yowoto.com.

Trends in Hindi film music

A few years back, I had the privilege of viewing a musical concert on "Trends in Hindi Film Music" presented by one Mr. Purushottam  Berde. The program was a tribute to the music trendsetters, starting from Anil Biswas (1945) till AR Rehman (2005).

These included music directors like Naushad, Ravi (who is supposed to be the pioneer in marriage songs and bidaaai-type songs... a trend which was continued later by Ram-Laxman in Rajshree films), Shankar Jaikishen (who introduced the orchestra in Hindi film music), and OP Nayyar & Chitragupta (who introduced fun-based songs). Vasant Desai (I think he was the music director for V Shantaram's hit movie Do Ankhen Baara Haath in 1958) created Hindi film's first meaningless word in the song, "Thaka thaka dum dum"... a trend which continued later on with the popular songs, “Yahoo” and “Aie aie ya suku suku” from Junglee (1960), , and “Oye Oye” in Tridev (1988).

Ashok Kumar was credited for singing the first Hindi rap song, “Rail gaadi” from Ashirwaad (1968). Madan Mohan was the pioneer in popularizing ghazal-based songs including the evergreen “Yeh Duniya Yeh Mehfil” and my favourite “Jaanam Dekh lo” from Veer Zaara (2003).

The presenter also lamented of magic-that-would-have-been, had noted music directors worked outside their preferred productions. If Shankar Jaikishen had provided music for a Dev Anand movie, or had SD Burman worked with Raj Kapoor. Kalyandji-Anandji is credited to be the first musician to provide music to superstars across generations... from a Raj Kapoor/Dilip Kumar to Rajesh Khanna and then to Amitabh Bacchan.

The first "item" song in movies was traced back to a Marathi movie in the 40s titled Maanus. Raj Kapoor started the item song trend in Hindi movies with the song, “Budda mil gaya” from Sangam (1960). Bappi Lahiri is credited with introducing the disco culture.

The concert also introduced a promising trend of non-filmi classical based musicians lending their services to film music. Like the case in Mughal-e-Azam where Bade Ghulam Ali Khan sang the Tansen-like rendition, a trend which never got popular although it stretches right down to Birju Maharaj choreographing Madhuri Dixit in Devdas (2002).

The 3-hour long concert was definitely worth very minute and concluded with the rendition of the AR Rehman hit, “Bharat Humko Jaan se bhi pyaara hain” from Roja (1993).

How the Internet has changed our lives

Change is inevitable in any field of life. As goes the popular maxim, “You cannot escape death and taxes,” I would add to that and say, “You cannot escape death, taxes, and changes.” Either it can be self-initiated change or a forced change, you can be sure it will happen.

In recent times, the Internet has heralded the most powerful medium of change in our daily lives. Gone are the traditional ways of doing things. The Internet has revolutionized daily tasks like getting the current news, and ordering groceries to monthly errands like paying our bills and transferring money.

Here is a list of areas, which have been positively impacted by the Internet:

• Banking: The Internet has transformed the way we do our banking. Banking has become so convenient, gone are the days when we had to wait to get our passbook updated. In this age of 24-hour Internet banking, it is much simpler to do cash transactions, check account balances, and transfer money, irrespective of where you are located. NEFT transfer facility allows you to transfer money between accounts, so much that the bank cheque book has become almost obsolete. 
• Networking and social media: In our busy lives, it has become a challenge to spend time with our friends and to pay social visits to our relatives. Social media sites like Facebook and Twitter has changed that. You can share what’s happening in your life (and also your thoughts) on your online profile, as well as know what’s happening in your cousin’s life!!
• Entertainment: Remember the times when you had to queue up for advance booking to watch the latest released movie. The more desperate ones could buy the tickets in “black.” Today, you can book a movie ticket on the Internet and select the theatre, the show timings, and even the seats. Streaming video sites like YouTube allows you watch your favorite movies, videos, and cricket matches at your time and convenience.
• Freelancing and virtual working: Today, we find multitudes of freelancers and employees working virtually from home. This has been possible only because of high-speed Internet. With increasing rentals of commercial offices and traffic problems, many companies offer the work-from-home facility to their employees, as it allows them to save operational costs. As a freelancer, it allows professionals to select the work (and company) that they want to work for, rather than being dependent on a single company. The Internet has facilitated companies to outsource their work to freelancers, and pay them only for the work done, rather than a fixed salary.
• Paying bills: The Internet has been a real savior in terms of convenience and saving time. Instead of queuing up to pay your electricity and other utility bills, you can do the same from the convenience of your home and office. You can make online payment for your electricity, telephone, and insurance premiums using online banking or credit cards. You can also book train and flight tickets without having to stand in any reservation queue. In fact, you can plan and book an entire family vacation package without leaving your home.
• Online shopping: With the advent of the telephones, you could call up your local bania or vegetable vendor to order and get it delivered to your home. With the Internet, you can now shop for your groceries and vegetables online and get them delivered to your doorstep. Online shopping sites for retail items like amazon, myntra, and snapdeal, which allow you buy clothes, books, electronics, and a host of other products, is the latest Internet fad in India.

I still believe that the Internet can impact our world in more ways than the ones listed above. So, here is my wish list of what the Internet should allow us to do:

• Education: I do admit that the Internet has impacted the education field through online education and as a source of knowledge and information. But there is still a lot of potential and scope left. With quality education still out of reach for most children, I believe that the Internet is the only medium through which we can educate majority of our children. With laptops and tablets becoming increasingly affordable, we should be able to achieve the dream of providing them to every child.
• Online voting: SMS voting is pretty common when it comes to selecting our favorite movie star or Indian idol. Using the Internet, it should also be possible to vote for our next government or preferred politician.
• Corruption: With online transactions and visibility of major initiatives using the Internet, Corruption can be reduced (if not, eliminated) to a major degree.

 The Internet is today available not just on PCs or Desktops, but also on multiple devices including mobile phones, tablets, and TV. It is truly exciting to see the next phase of the Internet evolution.