Many people love to carry credit cards. There are many advantages to carrying this payment tool, but it is important to use it responsibly. You will enjoy the following benefits from credit cards:
Credit cards negate the need to carry a lot of cash. Many people are uncomfortable with carrying a lot of money on them. They may feel that they become a prime target for criminals. Also, if cash gets lost or stolen, it is very unlikely that you will get it back. On the other hand, if you lose your credit card you can immediate report it stolen so that you do not lose money on it.
You may not have all of the ready cash available but want to buy something. A credit card can allow you to do this. For instance, if you want to buy something when you do not get paid for another week, you can buy it on credit.
Some credit cards have cash back programs or rewards that save you money. For instance, you may get 2% back on purchases, which is like money in your pocket. Others give free travel items such as flights. There are many different rewards cards with different terms. Some stores and gas stations have credit cards that offer special discounts to the store or gas station.
Credit cards will often give you extra protection. For instance, if you buy something online and it never comes then you can charge it back on your credit card and you will usually get your money back. If you paid for it by cash then you will not get it back unless the vendor sends it to you. Also, some credit cards will extend the warranty on certain products.
Credit cards are also a convenient way to pay. It can be difficult to pay for online items with cash, for instance. It’s very easy to just put in a credit card number to pay for your items.
You also make out financially with credit cards if you do not keep a balance. You can keep your money in an account that bears interest until it is due.
Of course you should only carry a credit card if you can do so wisely. If you are going to spend more than you can afford and put yourself into debt then it may not be worthwhile. Generally the interest is sky high, thus it may be worthwhile to only have it if you know how to use it responsibly.