The following points are clear from this Hadith:
First, supplicating for safety and asking in the Name of Allah is endorsed.
Second, if a person begs in the Name of Allah, he should not be turned down. He must be given something to honour the Name of Allah. However, if one is sure that the petitioner is a professional beggar and does not stand in need of what he is begging, then it is better to turn him down in order to discourage the evil of begging in the society.
Third, one should return kindness, with kindness but if one is unable to do so then one should wholeheartedly pray for the benefactor because this is also a form of returning a kindness.
Fourth, one must accept invitation to a feast provided it is free from all things forbidden by Islam.