10 Reasons Why Credits Cards Can Be Good for You

10 Reasons Why Credits Cards Can Be Good for You
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Most finance experts would tell you that credit cards are bad and they have good reasons to say so. Majority of people drown in debt because of irresponsible use of credit cards. On another end of the spectrum, however, are people who see credit cards as a financial tool that when used responsibly and with caution can actually make your financial life better. Rather than shun credit cards completely, you are better off knowing the right reasons to use the financial tool.

Below are some of the top reasons why credit cards can be good for you:


One of the best things about credit cards is the convenience that it offers. When you have it handy, you don’t have to carry a lot of cash all the time. Shopping is even more exciting because you get to purchase items online and in the mall without paying for it first. Credit cards also come handy during emergencies like when your car broke down or when you don’t have enough cash for groceries.

Sign-up Bonuses

Unlike debit cards, credit cards come with sign-up bonuses. There’s just one caveat. You need to have good credit in order to reap the rewards and bonuses. Applicants with good credit, for example, are offered bonuses from £50 to £250 or even more. Other cards, on one hand, offer awesome rewards programs like free air travel or gift cards depending on your points.

Rewards Programs

Credit cards come in different types and most of them offer rewards programs. As you continue to use your credit card, you earn points that you can redeem later on. The most common rewards you can redeem include gift cards and air travel depending on the credit points you’ve acquired over time.


Cash Back

Credit cards are also great for their cash back feature. When you use the financial tool, you can reap about 1 to 5% of cash back on your purchases.

Credit Points

Despite the high interest rate and annual fees, credit cards actually offer you something back in the form of credit points. For every purchase you complete, you get points according to your card’s point system. As briefly mentioned earlier, you can collect the points then redeem them for specific rewards that apply for your rewards program.


In order for credit card issuers to further lure consumers to sign-up, most credit cards come complete with a variety of consumer protection or insurance. Some options, for instance, have travel and rental car insurance. Others offer product warranties and more. The type of insurance will depend on the type of card you signed-up for.

Frequent Flyer Miles

If you’re a frequent flyer, credit cards have another perk that you’ll surely love. Majority of airlines today are now offering credit cards to let consumers earn frequent flyer miles. In general, you can earn one mile per sterling pound spent using the credit card. As you earn enough miles, you can redeem it for a plane ticket for free.


Credit cards also offer tighter security and safety on your money. Fraud is easier with debit cards for example. When your account has been compromised and was used fraudulently, the money will be immediately deducted from your account. With credit cards, you are not deducted any money. Instead, you simply notify your issuer that the card has been used fraudulently.

Credit Score Repair

While most credit card issuers favor those with good credit, people with bad credit are still able to avail of certain types of credit cards. There are options, for instance, which are designed specifically to help you repair your credit score. If you’re in the process of improving your score, you can apply for a credit card, use it responsibly then pay your dues on time. Your consistency as a timely payer will eventually reflect on your credit score.

Universally Accepted

Credit cards are also universally accepted. You can use it practically anywhere. Whether you want to pay for hotel reservations, rent a car shop for groceries or anything that comes to time, your credit card is a handy tool you can use anytime. It is also a convenient form of payment when you’re travelling abroad.

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