5 Reasons to Give More Use to Your Credit Card

5 Reasons to Give More Use to Your Credit Card

Today, there are multiple payment options, some prefer to use cash, others write checks while some prefer to shop using their credit card or debit card. Much has been said of the care that must be taken with credit cards because their misuse could lead to bankruptcy, but there are good reasons to give greater use as long as you do it neatly.

1 – Convenience

The convenience of credit cards is that we do not have to carry around a lot of cash when we go shopping, especially if traveling. This also allows us to take advantage of a great opportunity to purchase with discounts as well, since cash can be limited if you do not bring enough. It also facilitates online shopping and we can make any reservations as hotel or rental car.

If you are a victim of loss or theft, it is very difficult to recover your cash while in case of credit card you just have to call the issuing company and they will arrange to close the account and send you a new card as replacement. In addition, there is a policy of zero responsibility in unauthorized charges.

2 – Rewards

Every time you use your credit card, it can accumulate points as long as the issuing bank offers a program of rewards. The rewards can vary, and therefore it is important to choose a card that offers a rewards program according to your needs or preferences.

If the bank offers a credit card rewarding mortgage, we can accumulate points which will be used to reduce mortgage.

3 – Disputes

Has it ever happened to you that the product or service for which you paid did not fulfill your expectations? If this happens, the first step is to contact the establishment to reach a satisfactory resolution. But occasionally there will be one or two unscrupulous merchant who refuses to resolve the matter.

If you paid by check or cash, it will be very difficult to recover the money unless you resort to the court, and this means more cost and time. But if you paid with your credit card issuer, it has a dispute mechanism to resolve a dispute between the customer and the establishment.

4 – Insurance

Many credit card issuers offer insurance that automatically protects customers at no additional cost, provided the card purchase is made. For example, if you buy tickets with your card, either plane, train, bus, or boat, protection against accidents can be up to $1,000,000.

When you rent cars, you will be protected against collision damage. This translates into savings, since it is not necessary to opt for collision insurance offered by the car rental company.

Protection can also get to cover up the loss of baggage up to a value of $3,000.

Other protection may be against damage or theft of the item purchased, extended warranty, and even price differential.

5 – No Cost Loan

If each month you pay the balance on your credit card in full, this is equivalent to having a loan of up to almost 60 days without interest, depending on when you make the purchase, the closing date of the statement, and the date of payment.

For example, the closing date of your statement is June 6, the next deadline is July 6 payable till August 3. If you make a purchase on June 7, and then pay the entire balance on August 3, you will have enjoyed a loan of 55 days without interest.

Credit card offers many benefits and you need to familiarize yourself with them requesting information from the bank that issued your card as it varies according to the card so that you can get the maximum benefits.

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