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4 Reasons Why You Should Always Use Your Credit Card Before Your Debit Card
A generally safer choice as long as you are responsible
When used responsibly, a credit card is one of the best items to have in your wallet at all times. It is always important to remember to never spend more than you can afford. As long as you remember that, you will be able to witness the long-term benefits of using a credit card over a debit card. The following are four key reasons why you should always use your credit card before a debit card:
1. Protect Your Checking Account
2. Build Your Credit History
3. Purchase and Travel Protection
4. Earn Rewards
1. Protect Your Checking Account
When you use a credit card, you have an extra layer of protection from fraudsters accessing your checking account. Your debit card is linked directly to your checking account, meaning if someone is able to access your account to make purchases, your money will be gone instantly. Once you report this to your bank, it may take weeks to get your money back. With a credit card, your line of credit is only affected if someone is able to use your card to make purchases. None of your hard-earned money will be at stake while an investigation takes place with your credit card issuer.
2. Build Your Credit History
Your credit history is used to determine your creditworthiness when it comes time to get a loan, whether it be for something such as a car or home. By being a responsible user of credit by only making purchases you can afford and paying your full monthly statement balance on time, you will be able to witness the benefits of having a strong credit history.
3. Purchase and Travel Protection
Many credit cards come with things such as purchase protection and travel protection. Purchase protection involves offering protection for something you buy that is damaged, lost, stolen, or otherwise unusable within a specific time frame of making the purchase. Travel protection involves offering protection for trip delays that can assist you with covering the costs of hotels, clothing, food, and toiletries. It is important to know which…
