5 reasons credit cards are better than cash

Using a credit card may soon become a need more than a choice, what with the pace technology is advancing at coupled with societal progress.

There are many reasons to own a credit card. In case you are not convinced, here are some good reasons for you to apply for a credit card today.

1. Safer to carry around

Compared to cash, a credit card allows you increased safety and peace of mind if or when fraud or theft takes place.

By contacting your bank immediately, you can stop someone from using your credit card and safeguard your wealth. With PIN & Pay implementation as well, it is harder for crooks to use your credit card.

It is the exact opposite with cash, if you lose cash in your wallet today, it is nearly impossible to get the money back. This is even more true for those who travel overseas with loads of foreign notes.

2. Makes life easier

Rather than walking around with a wallet filled with cash that is hard to store in your pocket or bag, you can just keep two credit cards or even store them in your smartphone using digital payment apps such as Visa payWave, Samsung Pay, or Alipay.

Paying with a credit card means you won’t have to carry a large amount of cash with you, especially when making big purchases.

But that’s not all, with your credit card you also get to make big purchases and spread out the payment through instalment payment plans.

Learn how you can take advantage of instalment payment plans to help you make bigger purchases with ease.

3. Provides emergency funds

Regardless of how wise and careful you are, emergencies are unavoidable. Situations which need you to spend more money than you have initially planned, like a health problem or a car accident, will require a sum of money that you may not have at the time of occurrence.

A credit card will allow you to spend first and pay later. It also saves you the hassle of rushing about to find a ATM machine or borrow money when needed urgently.

4. Enjoy perks

A savvy shopper can make the most out of the reward programmes available and turn the points they have earned towards vacations, cash vouchers, or more shopping trips.

Reaching a certain point threshold will entitle you to valuable gifts and other benefits. With the right credit card, you may also earn up to a whopping 15% cashback on purchases, while receiving promotional discounts from associated stores.

5. Enjoy a 0% interest instalment plan

This is another great plus for using a credit card and not cash. If you are planning to buy a new TV, smartphone or laptop for better cashflow, you can opt for a 0% interest instalment plan which many banks offer with their credit cards at various stores and markets these days.

Depending on your financial capability, you can choose to pay back your bank from six months up to 36 months.

This article first appeared in thenewsavvy.com

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