Do you know that credit cards can be like a blessing from above? If you consciously pay your bills early, they can serve as an interest-free loan in the short term. Credit card companies help you to monitor your spending better than when you use cash only. When you use cash, you must make sure you record all your transactions by yourself – and sometimes, this can be really tedious. In fact, using a credit card allows you to retrieve your credit report for free. And you can easily track, categorize and monitor your expenses.
Although credit cards can become subtle enemies when you don’t pay back early or you overspend, there is a bright side of using credit cards. Let’s dive in and get more details about the perks you can enjoy when you own and use a credit card.
Several perks come with most popular credit cards. You’re probably not aware of them. Or you are not making full use of them.
Dedicated Personal Concierge Staff: When you travel to any part of the world, you can enjoy a dedicated local concierge service. Someone will be attached to you for 24 hours to assist with dinner reservations, buying tickets for events, organizing business arrangements, and find gift items.
Different Types of Insurance and Protection: You enjoy car rental insurance against theft or collision when you decline the rental company’s loss/damage or collision waiver insurance. And you charge the car rental to your credit card. Some companies offer up to $50,000 for secondary coverage.
Most credit cards also come with protection for the retail purchases you make with the card against accident, theft and fire. This protection lasts for 90 days from the date you buy the item. This is great for electronic items like iphones and flat screen TVs etc. You can also enjoy extended warranties. So instead of the normal 1-year warranty or less offered by U.S. manufacturers, the warranty period will be doubled for you when you buy the item with your credit card.
- Trip Interruption/Cancellation Coverage: You are entitled to a consolation fee when you are not allowed to take or continue a trip that was billed to your credit card account. Companies offer at least $1,000 or more as trip interruption/cancellation coverage.
- Coverage for Lost Luggage: Just charge your common carrier fare to your credit card and you will enjoy a cover of at least $2,500 (amount may vary depending on the card company) on lost luggage for the entire family. This covers stolen or lost baggage and any personal items checked in with the same carrier.
- Protection Against Unauthorized Use: You are not liable for any unauthorized purchases either offline or online. And you will be notified if there is any suspicious activity on your account. This is one advantage you can’t enjoy when you use a debit card.
Other benefits you will enjoy when you use your credit card properly include: a high credit score which qualifies you for lower interest rates on mortgage and car loans. You also enjoy the convenience of paying for emergencies with ease anytime they arise. In fact you can make purchases online or offline anytime you want whether or not you have cash or access to an ATM machine.