With Christmas right around the corner, you’ve probably started to buy the presents, food, and everything else, or will start at some point this week. Around Christmas time, lots of people choose to apply for credit cards to cover the extra expense of the holiday. It’s probably too late to apply for a credit card this year, but if you’ve already got one, then why not use it to pay for your Christmas shopping. Even if you can afford to pay for Christmas yourself, there are lots of benefits of paying with plastic. Here are some for you to consider before you start shopping.
1. You’re Protected
In general, credit cards offer a lot more protection that a debit card or cash. Depending on how much you spend, if something goes wrong with a product or service, you could be refunded in full. This will cover you if the company you’re buying from goes bust and doesn’t provide what you’ve paid for, a product that you’ve bought is faulty, or it isn’t what you thought it was. You might also get an extended returns policy and warranty, so check your terms and conditions.
2. You Stick To A Budget
You are a lot more conscious of how much money you are spending when you know that money isn’t technically yours. When you’re paying with your debit card, especially when you are paying contactless, it can be easy for small payments to add up and for you to massively overspend. Having a credit card helps you to stick to a budget a lot easier than paying with your own money. http://www.lifehack.org has some more great ways to help you stick to a budget if you’re struggling.
3. It’s Convenient
Credit cards are a lot more convenient than paying with cash or your debit card for several reasons. The biggest reason is that you can spread the cost of your purchases over a set amount of time, and make smaller payments each month, so you don’t have to lose a big chunk of money all in one go. It’s also a lot easier and safer to carry a credit card than it is to carry large amounts of cash in your wallet or purse.
4. Earn Rewards
Depending on the type of credit card you have, you could receive a variety of different rewards. You can compare some rewards options at https://best.creditcard/. These rewards could include cashback on your shopping, reward points for supermarkets, rewards that you can spend on a range of different things, and even tickets to sports events. As long as you make your payments on time, you shouldn’t be charged interest, so you’re essentially just getting free stuff.
It’s always important to be sensible with your credit card, as misusing it can easily get you into debt and hurt your credit score. However, as long as you are sensible, and make sure you make your payments on time, there is no real reason not to use your credit card this Christmas (but there are four great reasons why you should).