5 Reasons Why You Should Get a Credit Card

A credit card is not as evil as people portray it to be. In fact, it gives people huge benefits and convenience. How you use it will determine whether it’s advantageous or not. You don’t believe us? Read on. 

Credit cards allow users to shop now and pay later. For those who know how to budget their money and just spend within their means, this is such a good deal. Throw in convenience and some discounts and freebies, getting a credit card is a no-brainer. Here are six reasons why credit cards are the bomb!

Security

Credit cards can help you dodge frauds because your purchase only reflects on your account when the product or service you have availed is already on-hand. You can cancel payments made to a seller anytime.

Convenience

These days, carrying a thick wad of cash isn’t a good idea. With a credit card, you can make purchases, even in other currencies. This is very convenient when you are traveling abroad and you do not have the local currency.

Money in advance

With a credit card, you get to make purchases before you even get the money. This allows you to plan purchases. Some banks also offer installment payments at zero percent interest.

Book-keeping

Banks keep track of your spending via a monthly statement of account. This comes in handy for people who want to know just how much they spent for period of time.

Credit Accumulation

If you’re a responsible user and you pay your bills on time, you’ll most likely have a good credit history. This will help you when you apply for loans. Banks prioritize people with good credit history. They also give them lower interest rates because they see these people as less of a risk for the bank.

Rewards, Discounts, and Freebies

Banks and credit card companies offer special rewards for people who spend certain amounts via their plastic cards. Some use the point system while others give instant rewards when certain amounts are spent.

Shopping online

With a credit card, you can purchase items online. You can shop for items abroad and have them shipped to you. You can even buy an insurance! FWD Life Philippines, for instance, sells its Peace plan online. All you need to do is fill up the form and pay with your credit card.