In a previous post: Credit Card vs Debit Card, I explained the basic differences between credit cards and debit cards. Unless you have trouble controlling spending, credit cards are a much better choice for your regular method of payment. If my previous post didn’t twist your arms, I’m offering you more reasons to favor credit cards over debit cards (and cash, of course!)
Credit cards help build credit
Credit cards give you better fraud protection
Credit cards give you the ability to dispute charges previously paid for
Credit cards cover warranty extension
Credit cards offer 60-day return on most merchandise
Credit cards cover rental car insurance
Credit cards cover travel insurance
Credit cards cover luggage delay reimbursement
(Some) Credit cards provide free concierge service
(Some) Credit cards offer rewards on purchases
What do you think? Are you convinced that you should buy everything with a credit card now? Let me know if you’re still looking for justification… 😉
Usual warning: none of these reasons applies if you can’t control your spending. 😐
Many young folks, especially those that haven’t been in the US that long, conflate debit cards with credit cards. Debit cards have almost nothing in common with credit cards despite their similar physical appearances.
Unlike Visa and Mastercard which only process but not issue credit cards, and like Discover, American Express also issues credit cards. The origin of American Express is also very distinguished from those of the competitors. They started out as a domestic express mail service back when the US Post Office did not yet deliver packages. They made a lot of money, and very quickly established the American Express brand as a premium service provider. Later on, American Express gradually transformed itself into a financial services company while skillfully retaining and enhancing the brand nationwide and worldwide.