The Top 5 Reasons You Need a Credit Card

need a cardNow, you got it right. That’s a lot of good reason to take a second look at this heading, and then find a lot more as you read through. When most of the money advocates and personal planners would do almost everything to make you cut that credit card to pieces or punch it into multiple dots and holes, here is one that says you deserve the credit, and the card that goes with it!

Of course, we won’t blame the good guys. The credit card has been so used and abused that it has led many to unwanted debts (deaths to some!), and they are just doing a service to their fellowmen. But in reality, deep in the hearts of these advocates, a credit card is a very useful tool of our generation if only its purpose is understood and its use is properly regulated.

But let us put this one up first: You don’t get a credit card just to have one, or just because everyone else is using one. If you are convinced that you have the discipline to keep to your cash when you are holding a credit card, or that your card cannot charm you into blandishing its magnificence and induce you into indiscriminate flaunting of your signature at every high fashion store or high value specialty outlet, or that no matter how much money you have in your name as back-up for your possible credit purchases, you can still implant a firm “no” to splurging temptations -  then go ahead, take out a card (of course, not just any card unless it carries the reliability of, say, a Citibank Dividend Card or a Citibank Clear Platinum Card or an HSBC Visa Platinum), and enjoy sharing your signature’s value with the world.

And to make your ownership and possession of a credit card a source of immense value and pride, here are the recognized top 5 reasons, the right reasons, you are using a credit card:

  1. Frequent traveling. If you travel often by reason of your work or business or simply as a pre-occupation, it is not wise to be bringing along a lot of cash or even a lot of checks when you can just have a card for all destinations in your wallet. For one, having plenty of cash is not advisable when traveling internationally because of the differences in national denominations. What’s practical is to keep just some cash on the local currency in your pocket and have your international card ready for any other financial transaction. Most international cards are accepted for settlement of travel expenses such as hotel accommodations and vehicle rentals.
  2. Expense Tracker.  Save for small expenditures in the local outlets, use of a global card allows you to automatically track your expenses as these are captured and summarized by dates and locations and sent to your place of origin after a while. With cash payments, you need to keep those receipts as you spend and identify their utilisation which is not only boring but time consuming.
  3. Personal Security.  When you thought that having much cash would save you from the trouble of not having enough cash, what sets in is a feeling of insecurity for the cash you bring. A card is all you need to put you at ease in bills payment and to make you feel confident that hooded men won’t run after your wallet with just a few hundred in it. Even if you lose your card, your protection is assured just by a simple call to your provider. But if you lose your money, say by your carelessness or inadvertence, you can only pray that your money is returned back to you by a miracle.
  4. Personal Convenience. Your card can be considered an all-nation currency, because of its adaptability to the major currencies of the world. It is therefore a point of high convenience to own and use one.
  5. Credit Worthiness. If you are a frequent buyer of big ticket items, such as a house or a car, and you are securing these through mortgage, a card is your evidence of your credit standing or credit worthiness. It would pay then to have in your possession a reliable credit card that can establish your financial reputation in the business community.

There may be other ways a credit card would serve the needs of its possessor, such as the perks and rewards that go with frequent use of the card. Most holders would be familiar with the frequent flyer miles, or the discounts that go with frequent gas purchases, or the point accumulations that can be redeemed as gift checks 

These are of course benefits that come after a card is owned and used. With the right reasons in place, your card can now pamper you with the rewards and perks that go with the facility. The important thing to remember is this: Your card is supposed to perform a function that is meant to make your life meaningful and worthwhile. If you got your card for that reason, isn’t there more reason to enjoy life?


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