The real truth about cashback, coins and rewards that will make you wise, if not rich:

Nowadays, we just take out our phones and do UPI everywhere, from vegetable vendors to malls. And the fun comes when after payment, a ‘scratch card’ or ‘reward’ notification appears on the mobile screen. We feel happy that “Hey, we saved some money!” But are you really saving?

Nowadays, most apps give you ‘Coins’ or points instead of giving you cash directly. And this is where the whole game happens. If you want to be a smart user, then you have to understand the mathematics behind cashback.

1. Identify the ‘true value’ of coins (The Coin Math)

Often apps claim that you will get 2% reward. You think that if you spend Rs 100, you will get Rs 2 back. But what do you get? ‘200 coins’Now here’s a catch,
in some apps 1 coin means 1 rupee It happens, which is great. But in many apps Price of 1 coin is only 40 paise or less it occurs.

That is, you will feel that you have thousands of coins lying in your wallet, but when you go to spend them, their value will be like a drop in the mouth of a camel. Therefore, before making any big payment, definitely check what is the ‘coin rate’ of that app. If you want to save money immediately, choose apps that offer ‘instant cashback’ and not future promises.

2. Where to spend more money?

Not every expenditure gives the same benefit. Experts say that if you make payments wisely, you can save a good amount in a year:

• Bumper Advantage: If you are booking a flight, buying a movie ticket, ordering food online or buying clothes and shoes, then apps open their treasure trove. Highest rewards and huge discounts are available on these things (Lifestyle Categories).
• A little less, but important: Companies give less cashback on things like electricity bill, water bill or mobile recharge as these are ‘essential expenses’. You’ll fill them anyway. Still, do compare because sometimes you get good commission on bill payments.
• Secrets of Online Shopping: You must have noticed that shopkeepers give more discounts on prepaid (UPI) payment in online shopping. The reason for this is that their risk and expenses increase in ‘cash on delivery’. So if you want a discount, then choose prepaid payment option.

3. Don’t forget safety in greed

Sometimes in the pursuit of freebies we make huge mistakes. Do not click on any unknown link to claim rewards.

• Golden Rule: Remember, to get cashback or money you have to You do not have to enter your UPI PIN. pin only money to give is for, to take Not for.
• Keep only trusted apps on your phone and keep them updated.

So the next time an app tempts you with ‘5000 coins’, first take out your calculator and calculate how much real cash you are getting!