In some places, people often consider debit or even cash payment method while shopping instead of using credit card. If you think credit card is too burdening you with all of the tax, convenience fee, and threat of paying debt for months or years later, it means you are not literate enough with how credit card works.
Actually, there are many benefits you can get from using credit card. The essential keys are, you have to obey the rules of payment deadline and manage you own spending.
Enjoy your reward
Maybe it is the biggest reason why people love using credit card. Only with limited exception, you will get reward through every payment made. Compared to debit or cash, you will get nothing besides that payment. You can get either or both of this perks: cashback and reward points. This reward will be beneficial for your further travel planning.
Check the policy of your bank. Some of them offer more advantage in certain retailers. Take an example: the common bonus you will get is 1 point each 1$. But if you shop in partner retailers, you will get 3 points each 1$.
Minimize the risk if something happened into your account
Worst case scenario, if somebody is stolen your credit card number, it is easier to handle the trouble compared to debit card. Because, people will easily access your account and money right in the moment they get your debit card information. Unless you give notice to the bank very soon to block your account, the thief can drain your money. Reimburse is possible, but it takes weeks or months.
Various Visa, Mastercard, and American Express offer you protection from many cases, encompassing:
- Extended warranty coverage. When you purchase a product, the original warranty will be automatically extended
- Price protection. Just in case the exactly same product suddenly gives lower price than you paid before, credit card will cover this
- Purchase protection. Covering you from any stolen case or unintentional damage
- Flyer miles and complimentary travel insurance
Do you love travelling? You can spend your earned points for flight, concierge service, or lounge. Upgrade flight from economy into business class also possible. There are countless positive testimonies on google you can find about how happy people because their holiday feels like “free” thanks to miles.
Not only benefits in the form of miles, you can enjoy travel insurances as well as rental car. In this millennial era, turns out many people search for these perks.
Dispute transaction is possible and easier
Online shopping is always followed by risks, like your product does not delivered well or the product you get do not live up with the picture. Indeed you can complaint to the e-commerce. Just in case you do not get proper response, you should dispute your transaction. Your credit card issuer will handle it to ensure there is no money out from your account. Usually, they try their best effort to accommodate your problem to maintain the brand image and quality experience.