If you have ever used a credit card, you are probably aware of the many different kinds of benefits they offer. Carrying a wad of cash around may seem impressive, but it is also full of risks such as being robbed or losing some of it along the way. It is also harder to pack enough cash for a considerably demanding shopping spree or buying something more expensive. Applying for a credit card may be truly annoying, especially as some people still hate having anything to do with banks, but nobody can’t deny that this way of paying simplifies so many situations. Besides this, there are lots of rewards, bonuses, etc. In this article, we will examine some of the key benefits of using a credit card for any kind of purchase, whether online or in your everyday life across the city.
It is safer
When you pull out your wallet, thieves usually look for cash. It is easier to spend it right away than to try and guess the pin code of your card or rush to a computer to buy something before you block your card with one phone call. Not only this but owning a credit card is usually a safer option in terms of fraud. When you use a debit card, you’re often at risk of losing money from your checking account. Someone who is experienced with simple card theft can easily and quickly empty your account. With a credit card, you are able to have fraud protection. Most leading credit card providers have fraud alert systems and services that help you detect suspicious activity quickly and put a stop to it. Also, there’s a need to enter a PIN code at most checkouts, which secures your privacy even more. To add to the security, you can add your card data to your mobile phone wallet and shop just with your phone. This kind of digital wallet provides a better, faster, and safer way to pay.
There are various benefits and rewards
If you are using your credit card to pay for everyday needs in bigger food and drink chains or for other goods and services, you may get some credit and rewards added to your card for the next time when you are there. If you use the biggest card providers like AMEX, check how many points their rewards credit cards could bring you. A lot of points are practically guaranteed in so many situations. It is always cool to get some free stuff, right? By using rewards credit cards, you can rest assured that you will have access to interesting perks such as travel miles and gift cards.
Take advantage of a good credit history
If you use your credit card regularly and make payments on time, you build a positive credit history, which is then shown on your credit score in the credit bureau. This will be of great help if you, at one point, decide to get a mortgage or any kind of bank loan. Many people have been in situations where they needed a loan and the conditions were not so good. That can put people off from taking a loan and achieving their dreams. If you play everything right, your credit card score can help you have better conditions and get a bigger amount of money for your plans.
Traveling is easier
When you decide to go on a vacation, a business trip, or even a romantic getaway for one night, a credit card can be of huge help. Many hotels don’t take cash and many of them don’t take debit cards. Also, this goes for some stores, travel agencies, car rentals, and even gas stations. Using a credit card will make these transactions easier and also make the businesses you are paying trust you more. If you exclude these benefits, it’s also not recommended to walk around with a lot of money, especially in a city or country you are not familiar with. When you travel on a vacation, you may want to spend a little more than usual. With a credit card, it’s much faster and safer. Besides, you can’t really bring a huge amount through the airport anyway.
You can keep track of your spending much easier
Sometimes, if we use cash often, we cannot really remember why we spent so much of it at the end of the day or month. If we wanted to keep track of everything, we would have to write down every purchase, every drink, gas station bill, etc. If we want to make it all much clearer, we can use a credit card and have every penny that we’ve spent listed on our bank phone app and monthly bank report in our email account. This helps us understand how much we are spending each month, so we can organize our finances better.
We hope this helps you decide whether you should get a credit card or not, if you still haven’t. The benefits are many, the risks are almost none. Everything is pretty much secured, so make your life a little easier.