Benefits of using credit cards
Considering applying for a credit card?
The advantages of using a loan are described below.
card to make purchases.
Receive rewards for the use of your credit card
Today, almost all types of credit cards available have
some kind of reward related to it. Offering benefits
and gifts is the number one method used by credit
card companies to solicit business. They never
go face to face, offering lower interest rates. When you
pay your credit card balance every month, you will earn
a tremendous amount of ‘rewards’. On the contrary, if
you refuse to make your payments in full, the amount of
money you end up paying in interest probably going to
it will cost you more than the ‘rewards’ you receive.
There are many different types of reward credit cards.
available.
Some of the most popular include:
Cash rebates on purchases – Common annual
Savings are 1% on all purchases. At the end of the year
You will receive credit for the full refund or a
a refund check will be sent to you.
air miles – You will earn a frequent
traveler mile for every dollar you spend. the miles are
they are typically worth two or three cents each.
gas rebates – When you use your credit card to refuel your car, you will have
receive a discount on gasoline when you use this type of
credit card.
Discounts in stores and restaurants – These types of credit cards offer savings when participating
restaurants and shops when used.
free goods – Many credit cards offer
seasonal rewards for cardholders.
Some more advantages of using credit cards….
Take the stress out of the airport – When you use a credit card to buy a plane ticket, it is
viewed as non-suspect by the FAA. As a result of terrorism,
using cash to pay for a ticket is considered very
suspicious and will likely result in you being detained and questioned.
Protection against bankrupt airlines – Using a
credit card to buy a plane ticket offers you
protection against losing money in case the airline leaves
spoiled.
Suspension of payment rights – One of the best
The advantage of using credit cards to make purchases is
the ability to stop payments in the event that an item
never received or broken. For example, let’s say you buy
something on the Internet, but you never receive it,
you can contact your credit card issuer and initiate a stop
product payment.
Improve or rebuild credit – It doesn’t matter if you have bad credit or no credit, when you use
responsibly, a credit card is one of the most effective ways to improve credit
ratings and scores. Responsible credit card use means making payments on time
every month and without exceeding your available credit limit. You do not have to
pay your balance in full, right on time. A good rule of thumb is not to spend
more than 15% of your available line.
Extended warranty, protection against theft and damage – Many credit cards offer additional collateral, protection against theft and damage to purchases made with the card.
