Even through there are some problems of having a bank card, for example late fees, high interest, Etc., it still has a whole lot of advantages in having one. I will be going over a lot of the advantages of owning a credit card within this article.
The benefits of having a credit card will be the free things they give out to encourage the user to use that card. Credit cards companies do not like to compete in lowering their interest rates, so instead they give out free things, which comes out a whole lot less expensive than lowering interest rates.
The free thing they give out comes in many different forms, such as cash rebates. When you make a purchase on any item, you are certain to get 1% on regular purchases, and some offer 3 to 5 percent for buying gas and shopping at a supermarket. As soon as you reach $50, they will send you a check, and $250 is the maximum you may earn in each year.
Discount on future purchase (this one is done by stores). The way this works is, if you sign up for a credit-card at the shop, you are certain to get discounts on future purchases. And bonus points for using the card, that you just could get a gift certificate.
Frequent Flyers - You get miles for every dollar you spend, that will result you getting free trips, and upgrade your seat. But do not think that the miles mean, the number of miles it can fly to. For example it doesn't mean should you have 5,000 miles, you can fly five thousand miles anywhere within the united states, it can take 45,000 miles to fly to some part of USA. The miles you get are often worth few cents for every dollar. A lot of airliners are getting strict, if your account is inactive, you will lose your miles. Also keep in mind, you need to make sure to book in advance.
Point Reward - For every dollar you spend, you could possibly get one or two points. Once you reach the specific quantity of points, you are certain to get free merchandise, which ranges from free tickets, DVD to electronics. Some even offer free nights at a hotel or cvv site upgrades.
When your using your credits card, you can be more organized financially. You shall have a complete record of everything, that may be very helpful during tax time.
You can dispute items with credit-card. If you purchase something over the internet or smart phone, and also you never received it, you may dispute it, that will result you getting your money back. You cannot do that with debit card or checks.
Increased credit score - when you use your credit card and pay your balances on-time, this is going to help you build credit. When you have good credit, you may get good rates on mortgages, auto loans etc . . . But if you pay your payment late (more than two to three months late) it can lower your credit rating.
Many credit-card have extended warranties on some purchases. If you break your purchase or someone steals it, and if you still have the original receipt, the card will repair or replace the item for you. However they do have complex rules, which is time consuming, such a getting police report, estimate on item, filing out paperwork, mobile phones calls, etc..
The benefits of having a credit card will be the free things they give out to encourage the user to use that card. Credit cards companies do not like to compete in lowering their interest rates, so instead they give out free things, which comes out a whole lot less expensive than lowering interest rates.
The free thing they give out comes in many different forms, such as cash rebates. When you make a purchase on any item, you are certain to get 1% on regular purchases, and some offer 3 to 5 percent for buying gas and shopping at a supermarket. As soon as you reach $50, they will send you a check, and $250 is the maximum you may earn in each year.Discount on future purchase (this one is done by stores). The way this works is, if you sign up for a credit-card at the shop, you are certain to get discounts on future purchases. And bonus points for using the card, that you just could get a gift certificate.
Frequent Flyers - You get miles for every dollar you spend, that will result you getting free trips, and upgrade your seat. But do not think that the miles mean, the number of miles it can fly to. For example it doesn't mean should you have 5,000 miles, you can fly five thousand miles anywhere within the united states, it can take 45,000 miles to fly to some part of USA. The miles you get are often worth few cents for every dollar. A lot of airliners are getting strict, if your account is inactive, you will lose your miles. Also keep in mind, you need to make sure to book in advance.
Point Reward - For every dollar you spend, you could possibly get one or two points. Once you reach the specific quantity of points, you are certain to get free merchandise, which ranges from free tickets, DVD to electronics. Some even offer free nights at a hotel or cvv site upgrades.
When your using your credits card, you can be more organized financially. You shall have a complete record of everything, that may be very helpful during tax time.
You can dispute items with credit-card. If you purchase something over the internet or smart phone, and also you never received it, you may dispute it, that will result you getting your money back. You cannot do that with debit card or checks.
Increased credit score - when you use your credit card and pay your balances on-time, this is going to help you build credit. When you have good credit, you may get good rates on mortgages, auto loans etc . . . But if you pay your payment late (more than two to three months late) it can lower your credit rating.
Many credit-card have extended warranties on some purchases. If you break your purchase or someone steals it, and if you still have the original receipt, the card will repair or replace the item for you. However they do have complex rules, which is time consuming, such a getting police report, estimate on item, filing out paperwork, mobile phones calls, etc..