Should I Use My Credit Card for Everything?
Many people now carry very little cash. Instead, they use their credit cards for all of their purchases. But is this a good idea?
It just may be. Credit cards are safer than cash, they offer special perks, and you’re protected if your card is ever lost or stolen. The following are several advantages to using your credit card for all of your purchases.
Credit Cards Are Universally Accepted
Nearly all businesses accept credit cards, even very small businesses thanks to modern technology. Many vendors use small card readers that attach to smartphones. This allows them to complete credit card transactions even when they are away from their places of business.
It Can Help Build Your Credit Score
Using a credit card for all of your purchases can help you build your credit because your monthly credit card payments are reported to the credit reporting bureaus. As long as your payments are made on time, they will help your score.
If you need to establish credit or rebuild a low credit score, a secured credit card, like San Francisco Federal Credit Union’s Visa® Classic Secured Card card can be used. With a secured credit card, you make a deposit with a bank for the credit limit you need.
This collateral “secures” the card and your deposit is returned when you close the account or upgrade to an unsecured card.
You Can Earn Rewards
Perhaps one of the best reasons to use your credit card for everything is the opportunity to earn some great rewards. Some credit cards — like San Francisco Federal Credit Union’s VisaⓇ Platinum Rewards Card — offer 1% cash back on every purchase you make. You don’t even have to think about it! Every June, your cash back reward is deposited into your savings account.
It’s Easy to Track Your Spending
Keeping track of the things you purchase each month is a great way to identify areas where you are overspending. Small daily purchases, like eating out or buying snacks and drinks, can add up over time if you aren’t careful.
If you keep track of your spending each month, you can review your purchases to see if there are some things you can either cut back on or eliminate. If you use your credit card for all of your purchases, everything you buy is documented on your monthly statement so you don’t even have to keep a notebook and pen with you to write everything down.
It’s Safer Than Carrying Cash
Walking around with a lot of cash in your pocket isn’t safe. Money could fall out, you could lose your wallet, or someone could rob you. After cash has been lost or stolen, your chances of being reunited with it are usually very low.
If your credit card is lost or stolen, you can contact your credit card company and tell them it’s missing. They will immediately cancel the card and issue a new one. This helps protect you from unauthorized purchases.
This is also why credit cards are great for college students who are constantly on the go. Having one less thing to worry about lets you focus on your education instead of stressing over lost cash. San Francisco Federal Credit Union’s VisaⓇ Student Platinum Rewards Card is ideal for this purpose.
Credit Cards Offer Stronger Protection Than Debit Cards
Although credit cards and debit cards look identical, they work differently. With a debit card, money is instantly deducted from your checking account when you make a purchase.
With a credit card, however, you receive a statement each month for your purchases. You then make a payment on your account after reviewing the transactions to make sure they’re all valid. If you see something on your account you don’t recognize, you can contact your card company and tell them you suspect a fraudulent purchase.
Our Card Offers Insurance
Many credit cards provide insurance for various things. The coverage happens automatically when you make certain purchases. At San Francisco Federal Credit Union, our card comes with rental car and travel insurance, for example. This is a good reason why credit cards are ideal to use when traveling. Our card also provides additional coverage for certain products you buy that go beyond the manufacturer’s warranty.
Credit Cards Offer Fraud Protection
Fraud is big business. In 2020, there was approximately $11 billion worth of losses due to credit card fraud in the US alone.
But here’s the good news: if someone steals your credit card information and goes on a spending spree, your GPK电子游戏 card offers fraud protection. This means if you receive your statement and you see charges for purchases you didn’t make, you can contact usand have those charges removed.You won’t be responsible for paying them.
Credit Cards With San Francisco Federal Credit Union
If you like the idea of using a credit card to pay for all of your purchases, San Francisco Federal Credit Union offers three Visa cards with no annual fees, competitive interest rates, and other benefits.
With our VisaⓇ Platinum Rewards Card, you can earn 1% cash back on every purchase you make. Our Visa® Classic Secured Card is ideal for those who would like to establish or build their credit. And for college students, our VisaⓇ Student Platinum Rewards Card also allows you to earn 1% cash back on all purchases.
Click on the following link to learn more about our credit cards.