Whether you are new in town or have been around for some time, there is always the question; should I get a credit card? Will I end up spending more than I can afford? Is it really useful to own a card?
Here are the top 5 reasons why we believe you should opt to apply for a card and we can help you navigate that maze of options that lie ahead.
- Credit history
A credit card can help you build a solid credit history. When you swipe your card and pay off all your bills within the stipulated timeframe, it creates a great credit history. It decides whether you get a loan or not. In fact if you have a bad credit history, some credit cards can help you improve it. Though they may have lower credit limits and higher interest rates initially, once you prove that you can pay your credit card bills when it’s due, your credit limit will increase thereby improving your credit history
Carrying cash and wandering the streets is not something you want to do, it is really worrisome and frightening. You have no control over it in case it gets lost, however that is not true in the case of credit cards. One simple phone call can help you cancel the card as soon as it is lost. Identity theft becomes increasingly difficult with a credit card as compared to a debit card. Credit cards also protect the consumer when making major purchases. Buying huge electric products or similarly big investments, it’s recommended to use a credit card, since it’s easy to claim a refund for faulty goods.
- Bill payment is a hassle of the past
Paying bills has never been easier! No more fishing for cash or making online payments. It’s as easy as registering your credit card and voila! All your bills get charged to your credit card, so all you need to worry about is paying one bill, namely your credit card.
- Clear Debt
If you find yourself with a long overdue credit card bill, you can use what is known as a balance transfer card. You can spread your debit over a few cards and reduce the stress of that huge bill, by paying the amount over a longer period without interest. These balance transfer cards can also help you consolidate all your payments into one card, instead of paying several bills a month.
- Get some benefits
If you are religiously paying all your credit card bills as and when they are due, you can avail many benefits from these credit cards. Most credit cards have exciting offers and rewards for just such customers. Make sure you pick the card with offers that appeal to you. These offers could be something as basic as discount vouchers to something as useful as free miles. Sometimes the discount vouchers might not be very helpful if it’s for a store you don’t visit often, in this case you could always look for credit cards that offer cash back vouchers instead.
To name a few:
- Concierge Services
- Reward Points
- Purchase Protection
- Insurance Options at favourable rates
- Airport Lounge Access
- Dining Privileges
- Cinema Ticket Offers
- Road Side Assistance
- Valet Parking Facilities
And many more to choose from.
It’s time to charge your credit card and do away with cash!