Rich people use credit cards as free money
Yes, rich people are very smart with their credit card usage. Since it gives them a repayment window of 30 days they use their cash/bank balance to invest and earn from it. It can be either an opportunity in the stock market or short term money market instruments like treasury bills.
On the other hand credit card usage of ordinary people vary from that of rich. The Rich only buy that much which they can afford to pay but non-rich or an average rich fund their lifestyle by taking credit card EMIs which let them fall in the debt trap. They just pay the minimum amount due to clear their bill and later end up paying 36-45% as interest on bills. For the ultra-wealthy, however, credit cards are used for accumulating perks, and rewards.
So many rich people take advantage of this to better manage their cash flow with earning extra money and saving it (the interest)
Another main reason for credit card usage is that all the luxurious credit cards come with purchase protection. So if anything is lost or stolen their credit card companies compensate them with it.
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