Credit Card Benefits that just might Surprise You

Countries across the world are encouraging consumers to shift from the traditional payment method of cash transactions to card-based transactions. The change, while relatively slow in Sri Lanka, is still present across the island. But no matter how much you use your card, are you making full use of your credit card?

There are many benefits that come with a credit card; you can buy items and pay for them later if used responsibly, your credit card history can positively contribute to your credit score, and a credit card is far more secure than cash.

But the benefits that a credit card gives you do not stop at this point. They also provide a number of benefits that many credit card users fail to utilize because they aren’t fully aware of the power the little plastic card can carry.

Chargebacks

Sometimes you may find yourself at odds with a company if they don’t make good on a product or service that you paid for and refuse your request for a refund. But there is a good chance that your credit card company might refund you provided that you meet some conditions.

The process is called a chargeback where the money is refunded to the customer by the credit card company while charging the cost to the merchant. However, in order to do that you need to meet some conditions, as stated before. These conditions include disputing the charge within a given time period, making a sincere effort to resolve the issue with the merchant first, and providing a tracking number that proves you have shipped a lost return back to the merchant.

Purchase protection

The purchase protection policy protects your purchases should they be accidentally damaged or stolen. However, this service is not offered to every item, so discuss with your credit card issuer about which items are eligible for the purchase protection policy.

Extended Warranty

When you buy an item and pay for it with cash, you can be assured of the manufacturer’s warranty period and in some cases that is enough. But if you buy an electronic item or something equally similar, you might want to pull out your credit card.

Many credit cards offer an extended warranty period of one year beyond the existing manufacturer’s warranty. However, there are exclusions and restrictions that come with this benefit, so you should review them before making the purchase.

Return protection

If a retailer, for some reason, fails to accept a return, you can file a claim with your credit card issuer via a return protection policy. Some policies allow you up to 90 days to return the purchase.

Additionally, there are some other benefits such as price protection, cash without the cash advance fees, and airline credits that come your way along with your card. Most of these benefits are only available to you if you pay for the purchase in full with your card, and you may need to hang on to your original receipt.

Since these benefits may vary from one card issuer to the other, check the terms and conditions of your card to be familiar with the benefits it offers you.