6 Good Reasons to Finally Get Your Own Credit Card

6 Good Reasons to Finally Get Your Own Credit Card

Okay, for starters, I really don't want to get my own credit card because let's face it, it's basically creating a debt when you can (or cannot) already pay in cash. We have this mindset that having a credit card means the owner is well off and too rich to have cash on hand. Sometimes we even think that having credit card means no control over your shopping splurge. But all these stuff that I mentioned are all before I was managing my own finances. I have learned that it's all in your discretion.

Those myths aren't true. At least for me. I see credit card before as the root of all evil. As I had my first job and receiving decent payslip, I was still thinking that I won't apply for a credit card. I don't want to be in debt when I can pay for it in cash already. Also, I have my own debit card which functions the same as credit card. And I thought debit cards are way, way, better because it's already your cash in process instead of the debt/loan type where you have to pay in the bank after the transaction. There also comes the interest part where your debts are getting bigger just by not paying on time. So what made me apply for a credit card even after all the negative stuff I just wrote?

1. Convenience of online transactions. Most especially booking a plane ticket and hotel rooms. In a generation now where everyone wants to travel and budget airfare tickets are a hot steal, we have to be the fastest to act in terms of promo seat sales. As we all know, seat sales sold out faster. And while we're fast in terms of booking, it is nothing when you do not have a mode of payment on hand. Sure, I do have debit card, but I only deposit there whenever I have to buy something that's not time pressured. And I only deposit there the exact amount. So when booking a plane ticket that's on sale, debit cards as payment won't do the drill for me.  For hotel bookings maybe yes, but if you're really that serious on booking that sale airfare ticket, credit card is a must.

2. Over the counter payments for when I forgot to withdraw from my ATM. Sure, I can use my atm as mode of payment too. But some establishment still don't honor ATM cards as mode of payment.

3. Convenience of paying credit card bills online as well. So how do I explain this? Long before, you can only pay your credit card through cash. And by physically going to the bank. This is time consuming and negates the purpose of cashless payment. So now when everything is done on smartphone, it's more practical to pay your credit card bills by swiping on your phone instead of physically going to the bank. You can connect your ATM card that's associated with your payslip so that whenever you have to pay, you just need to set up your mobile app to pay your credit card bills. This is doable provided that your payslip bank is the same as your credit card bank.

4. Rewards, rebates, and points. It's not necessary that you use your credit card often just to gain rewards or points for freebies. But at least something can come back to us no matter how little just by using it from time to time. It's just a little added bonus. I personally chose the Cebu Pacific Get Go card of Unionbank to earn more getgo points faster.

5. Waivable annual fees. Because annual fees aren't cheap and it's a good thing it can be waived when you prove that you're using your card from time to time. It's like using the bank's services for free.

6. And lastly, for emergency purposes. So this is the top deciding factor. As a traveller, I have come to conclusion that credit cards aren't needed but is a must have whenever something wrong happens. We never know what might happen on the road so it's better to be prepared when your cash doesn't make it.

6 Good Reasons to Finally Get Your Own Credit Card

Ofcourse all of these won't mean a thing when I am not a disciplined credit card holder. We all know the consequence of misused credit cards.  There can a lot of temptations but it is still up to the card holder on how to handle such powerful card. :)

How about you? Why did you decided to get or not to get a credit card? :) Tell us in the comments below! 

CONVERSATION

20 comments:

  1. I couldn't manage without a credit card. It is just so convenient and I'm never organised enough to have cash on me. Even though there is an ATM just about everywhere somehow it becomes just one more thing to remember. (Is that just me? :-o) My only tip would be to set up a direct debit to pay the card off in full each month. That one you don't have anything to remember (or forget) and you won't get into debt.

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  2. I totally agree with everything you've mentioned. For online transactions though, I think there are top up cards that works the same way as credit cards like Pay Maya or something. The primary reason though that I'll get a credit card is for traveling. We never know what happens on the road so we'll need emergency money. Happened to us a few times that we ran out of cash. Good thing my dad has a credit card so we still could eat. We just have to be wary also of our usage both online and offline. Recently, my mom's credit card was charged for FlixBus (Europe) when she was just in Canada.

    Anyway, I'm thinking of getting a credit card of my own soon for my solo travel.

    Me-An Clemente, http://yogoandcream.com

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    1. Debit cards work the same way as credit cards so you can definitely use it too but my primary concern that I got one for myself is what if my debit card doesn't have enough funds to pay my online transaction, right? hehe. and yes, it would be best to have your own when you travel. you'll never know what will happen in the road. :)

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  3. I agree with you. For new credit card holders, the challenge is doing away with the instinct of using the credit card. It is for convenience and emergency purposes, nothing else. Unfortunately, many people do not have the discipline and financial knowledge, which results in overspending.

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    1. I guess a pre-requisite for getting is self discipline. :)

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  4. While I do agree that credit card has advantages (one of them is it's easier to book flights), I have decided long ago that I am not getting a credit card anymore. That is because hard as I might I cannot trust myself with it. Owning credit cards had put me through so much debt and in fact I currently have a 5-year loan because I needed to clear my credit card debts before.

    I think CC is only good for those who have discipline and that person is not me haha...

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    1. It's really tough and you have to weight the pros and cons :)

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  5. I know it can be handy to have a credit card but unless you are very disciplined or rich, it is better not to as it can cause a whole load of other problems... I know because I saw how credit card destroyed my parents life...

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    1. That's very sad to hear. Self discipline should be there when you get one.

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  6. Five years ago I was deep in debt with 7 credit cards. yes, 7! I'm not sure how it happened. I had lots of work and could pay the first two and then things got out of hand. In the end I owed over 20 thousand dollars in credit card bill. How did I get that incredible debt? From traveling on a whim, from getting my kids the best toys and games on the market, from buying makeup supplies for my business without calculating how much I would really be able to pay pack. that year my parents received an inheritance and my cut went straight to paying those credit cards. I cancelled them all and haven't had a credit card again since then. I don't plan to ever again! I'm doing just fine with paypal.

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    1. To each his own. :) self discipline is the key.

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  7. Most of the things you've mention, except the annual fees , is applicable to debit cards. the only difference w/ a debit card is you're working w/in your budget.

    But you're 6th reason can be the most compelling reason for someone to get a credit card. applies to medical emergencies too/

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    1. Debit cards have been very useful to me.. but just as I mentioned, sometimes my debit card doesn't have enough funds so the tendency is to top it up first before I'll be able to use it. I know it's a problem that's still manageable that's why I still use my debit card more often.

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  8. I used to have 3 credit cards until I started to spend more than I earn. So, I decided to close my CCs and pay everything thru cash. I have to be honest and say that I regretted it a little because everytime I transact online, I have to hassle people to pay in my behalf then, I could just reimburse them. Maybe one day when I practice self control, I will apply for a credit card again. Thanks for this great article.

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    1. I used to ride in someone's CC too. hehe. Self discipline is the key. :)

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  9. I got my first card 12 years ago. Then i was given another one from another bank. And another again. I do not apply but they give me. I realized that after i open new bank accounts from new banks they sign me up for a card and just recieve it right away until i got 4! Which few years ago made me addictive to ahopping reason for me to cut it and left myself with only 1 card now. Just for emergency purchases. Advise though, just like cash- spend wisely :)

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    1. Thanks for the advice! My preferred payment method is still cash! credit card is for emergency purposes only. nothing else. :)

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  10. The credit card has been my life since I was 19 years old and able to manage my own finances. I have credit cards, but I never experienced being in debt that much cause I train myself when in comes to spending my hard earned money. This is such a good help for everyone to change their perception about Credit card.

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    1. That's good to hear! It really pays when you manage your own cash and you have practiced self discipline. :)

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  11. Such a good idea, because I get some more jobs now, while blogging. I don't have a good overview always and this is a great idea to have a better overview. I could use the credit card in that case only for my blog and the income for my blog. I'm going to check if it's possible to open a credit card / account for my blog, or if I need to first become a legal company, as now I'm just a hobby blogger.

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