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It is next to impossible to escape advertisements for credit cards. This is because we are constantly staring at applications in banks and our mailboxes are filled with these same applications most of which come with the words “pre-approved” or “low interest rates”. While there are really nothing wrong with these advertisements/applications many people hold somewhat negative opinions towards credit cards because these cards are generally treated in the media as serving a single purpose: making leisure purchases. This, of course, is not always an accurate assessment.
There are a number of positives in regards to owning a credit card and some of these advantages are not always what immediately assume. For many, the sole purpose of a credit card is to make purchases. Sadly, for many other, the sole purpose of a credit card is to purchase items we can not afford. Needless to say, this is not always the wisest of financial choices to make! It also overlooks a number of the positive benefits of owning a credit card.
Credit cards provide the ability to make purchases without having to carry a large amount of cash on one’s person. Remember, if you lose you wallet the cash in it is gone forever. A credit card can be cancelled and replaced. If someone uses the card without authorization then a dispute on the purchases can be made and the charges can be dismissed. Clearly, this is better than carrying cash around. Also, a number of credit cards come with travel reward, cash back or airline mile plans which can be redeemed for merchandise after a certain amount accrual is earned. Obviously, cash doesn’t work this way. Then, many cards also offer insurance on purchases in case one suffers a rip-off from a faulty product. Again, this is a far better deal than paying with cash!
There are also credit cards available for pretty much everyone. Yes, even those folks with bad credit can apply as secured cards or higher interest rate cards can be offered to those who may not have the best credit histories in the world. So, there is no reason to feel excluded from the realm of credits cards as there is a card for pretty much everyone.