Credit cards usually have bad reputation, but it’s not because credit cards are bad for you, it’s because people have a bad habit of overspending and being irresponsible. Credit cards can be either a gift or a curse, but it all depends on the person who is using them. By having a credit card, you may feel like you can buy anything, but in reality, you can’t. A good thing about credit card is that you have your money secured and in a way, have it with you at all times, you can even go into minus and spend more than you’ve earned this month, but when you’re doing so, you’re getting a credit card debt.
The reason why some people hate credit cards is because they got way too deep into a credit card debt and they didn’t know how to get out. They felt like they were using someone else’s money, and just like that they’ve gotten into a huge trouble. The interest will pile on, the same as if you’ve taken a loan from a bank, so if you can’t pay what you spent in the upcoming month, you will have a problem.But if you are responsible and spend responsibly, you won’t have any problems, furthermore, you will have a lot of benefits.
First of all, having a credit card is great because you will be able to monitor all your spending. All you will have to go is go to a website and download for free every purchase you’ve made for the desired month. Like this you will be able to see where to cut off and how to actually save money by knowing what not to buy next time. Impulsive purchases usually cost the most, so make sure you don’t do that.
But what other benefits, like we’ve mentioned above?
Well, with credit cards, you will be able to earn money as well. There are these hidden benefits a small number of people know about which will in fact save you a lot of money.
First of all, you will get an extended
warranty automatically of up to 1 year. This means that you won’t need to buy extra warranties at Best Buy.
The next feature you might be looking forward to is that for every rental car you’re getting a free insurance and also collision insurance. If you’re frequently renting a car don’t buy extra insurance because you already have one through your credit card, this way you will be able to save a lot of money. And lastly, but certainly not the least, whenever you cancel your holiday, you will get reimbursed by your credit card company, which means you will have a trip-cancellation insurance.
Imagine how much money you would have lost if you paid everything for a holiday and haven’t gone. Thousands of dollars. Now, you can simply call your credit card company, explain the situation and you will save all the money you almost got left without.