Hey! Understand all these can be confusing to you, I'd start off with a brief intro to how credit cards work: Let's say you have $1000 in your bank. You use your credit card to pay for this month's phone bill, food and transport ($225). What it means is that your bank will still have $1000 for the whole of October, and you only need to pay that $225 next month as a whole to DBS. Let's say in Sept you cannot afford to pay DBS that $225 you owe, that's where you would incur the monthly repayment of 3%, where you have to pay them interest. If you pay DBS on time every month, then you don't have to worry about this at all. So what are the benefits of getting a credit card then? 1. Monthly cashback 2. The higher interest rate in Multiplier account. For monthly cashback, you get 5% cashback on everything you spend on Paywave and online (capped at $20 each respectively). This means to maximise your cashback, you should aim to pay for your food with Paywave and pay your phone bills online. Otherwise, this segment could be quite redundant for you given your spending habits.