5 benefits of using a credit card

Credit cards are not only ideal for the everyday purchases such as grocery shopping or trips to the cinema, but they also come in very handy when it comes to purchasing more expensive items, such as new furniture or a state-of-the-art TV. Acting in a similar way to a loan that needs to be paid back, credit cards allow individuals the opportunity to purchase items that they may not have the funds for in their current accounts. 

So, what other advantages come with owning a credit card? 

Pile of credit cards on table, closeup

Earn rewards

Some credit cards come with added benefits, such as the opportunity to earn rewards. Individuals that fly frequently, for example, will love the fact that they can earn air miles as they spend, while frequent shoppers to certain stores will appreciate cashback or gifts after a certain amount spent.

Perfect for emergencies

No matter how much cash we try to put aside in case of emergencies, we can never predict what might happen — and what amount of money we may have to pay out for when catastrophe strikes. Luckily, owning a credit card means that individuals will be able to pay the necessary amount immediately, before making reasonable monthly payments. 

Build your credit rating

By using a credit card for your purchases, it can offer a way to improve your financial situation by building your credit rating. By consistently paying off your balance, you’ll have the opportunity to boost your credit rating, as you will have proved that you can responsibly borrow money — and pay it back — over a period of time.

Spread your costs out

When it comes to making larger, more expensive purchases, it can often be daunting thinking about how much they’ll cost. With a credit card, users will have the ability to make larger purchases that they might not otherwise be able to afford.

Limit fraudulent activity 

Offering fraud alerts to users, some credit cards companies may contact individuals in the case of potentially fraudulent activity. Because the users will have been warned in advance, they can often stop the transaction. 

By staying financially organised, individuals can benefit from the many advantages that come with owning a credit card. 

Editor of Flush the Fashion and Flush Magazine. I love music, art, film, travel, food, tech and cars. Basically everything this site is about. You can follow me on Twitter HERE or on Instagram HERE

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