Why Should You Use Credit Cards Instead of Cash?

Credit Cards have become a necessity for most of us nowadays, but some individuals find it difficult to understand why credit cards are better than cash. Apart from providing you with financial stability, credit cards make your transactions much more convenient and hassle-free. This is why credit cards have gained popularity very fast and became the primary method of payment for many people worldwide. Talking about cash, it is undoubtedly a trusted method of transaction, but once you understand the benefits and security offered by credit cards, you will hardly switch back to cash as your payment method. To understand how credit cards are much more convenient compared to cash, continue reading the article:

Reasons Why Credit Cards are Better Than Cash

The following are some of the most significant reasons why you should use credit cards instead of cash as a payment method:

Easy To Carry

Credit Cards are accepted almost everywhere nowadays and hence one can easily make transactions anywhere anytime using a credit card. Credit Cards are much easier to carry as compared to cash. It is because you might need to carry a lot of cash when you are going for some big purchases or when you are traveling. But, a single credit card can also perform the same tasks for you. So, credit cards are much more convenient and easier to carry compared to cash, which will not just take up a lot of space in your bag, but you will also have to think before spending every time.

Hassle-Free Transactions

With credit cards, transactions can be made really fast and without any hassle. You just need to insert your card into the swiping machine, enter the PIN and the transaction is done in seconds. It is even easier when the transaction is not so big as you can easily make it using the Tap n Pay technology without even entering the PIN. However, in the case of cash, you need to take out the money, count it, give it to the merchant and then take the remaining change back from them, which is a much more time taking procedure.

You Can Earn Rewards

Nowadays, almost all credit card issuers offer some sort of Reward to their credit card holders, i.e. you earn Reward Points/Cashback/Miles every time you spend using your credit card. These Rewards can later be redeemed against exciting gifts and even against the card’s outstanding balance. So, you are saving almost every time you purchase something with your credit card. But you don’t earn any such rewards when you purchase something using cash. This is why it is advisable to use credit cards for regular purchases as long as you are responsible enough to repay the bills on time.

Get Zero Liability Protection

Credit Cards generally come with zero liability protection that protects you from any fraudulent/unauthorized transactions on your credit card. In short, even if your credit card is lost/stolen, you will not be responsible for any transactions made on it after the loss if you have reported it to the card issuer in a timely manner. On the other hand, no such protection is there in the case of cash. There are very few chances of getting cash back once it is lost, but you can save yourself from such fraudsters in the case of credit cards.

Get Additional Benefits

Credit Cards don’t only offer reward points, but there are many more benefits that you may get with a credit card. Even some lifetime free credit cards also offer complimentary lounge access, exciting discounts on dining, and many more privileges. The rewards and benefits can be different for different credit cards, but you will surely get some privileges that are never offered when you make transactions using cash.

Bottom Line

Now, you might have understood that all points make credit cards a much better payment option than cash. From rewards to convenience and security, credit cards have an upper hand in most aspects. The best thing here is the zero liability protection offered by card issuers as you are not responsible for any unauthorized transactions even if you have lost your card, but in the case of cash, you lose your money once it is stolen. So, if you are having a credit card that you use only for EMIs or large purchases, change your habit and start using them for your daily requirements as well. In case of any further doubts, you can freely ask us in the comment section below!