Reasons to Use a Credit Card
Build Credit
- Using credit builds your credit history/report.
- Your credit history on your report yields a credit score.
- A good credit score shows lenders you are a trustworthy borrower.
Convenience
- It is easier to use a credit card than cash.
- Ease of payment, you don't have to pay immediately.
- Easy to set up automated payments and spending limits.
- Most credit cards have user-friendly apps.
- Many credit cards allow you to track your credit score on a monthly basis.
Security + Fraud Protection
- With a credit card, money is not drawn directly from your account leaving time for banks and credit card companies to detect fraudulent charges.
- There is little or no liability for stolen cards.
- Credit cards are safe for internet transactions and have added security through use of virtual card numbers.
- Ease of setting up security alerts and card lock
Points, Cashback, + Rewards Programs
- Some credit cards have reward systems that allow you to accumulate points for specific transactions which can be converted to cashback
- Some credit cards offer travel benefits including accumulation of airline miles and travel insurance and perks related to rental cars.
