In our last blog, we detailed some of the main benefits that retailers receive when they decide to accept credit cards. As you can imagine, the list could be a lot longer. Just ask any Canadian shopper. In fact, ask yourself! What is your preferred method of payment as a customer? Credit cards and debit cards are widely heralded as the quickest, easiest and most convenient ways to pay for purchases.
The Canadian Bankers Association writes that “a credit card is a convenient and flexible payment tool accepted in more than 200 countries and at millions of locations worldwide.” Are you accepting credit cards at your place of business? If our last blog wasn’t enough to convince you that retailers greatly benefit from plastic acceptance, today’s blog is an important one for you. It’s important to consider the many benefits that credit cards provide consumers. Here are five.
1. Access to unsecured credit. The CBA notes that there is no collateral required against the amounts that are charged to a consumer’s credit card. That means that once an account is established, a customer may charge his or her card at will until the predetermined credit limit is reached. This gives shoppers a lot of freedom and peace of mind. Credit cards come in especially handy for big ticket items that need to be paid off over time.
2. Interest-free payment from time of purchase to the end of the billing period. As mentioned, credit cards give customers extra time to pay for their purchases. And there is always a window when it is interest free. As a long as payment is made in full by the due date listed on the credit card bill, a cardholder is not charged any interest. So, in many cases, credit cards give people the ability to borrow money for free for a short period of time.
3. Coverage for purchases. One of the most popular benefits of credit card use is that it protects the items that are purchased. This is a definite advantage over using cash. The CBA notes that if an item is damaged, stolen or not delivered within 90 days, there is generally coverage that is applied to the purchase so that the cardholder is not responsible for the payment. Often, investigations are set up with customer service representatives in order to reimburse the funds.
4. Fraud protection with zero liability to the consumer in cases of fraud. Have credit cards been stolen before? Sure, they have. Have they been used by thieves to essentially “steal” products? Unfortunately, yes. But thankfully, cardholders are not responsible for such purchases. You can’t get this benefit with cash. Once cash is gone, it’s gone. Cancelling a credit card and challenging fraudulent charges allows cardholders to breathe sighs of relief.
5. Rewards for spending. This generally tops the list of credit card benefits for consumers. The CBA mentions travel points as one of the key reasons people like to use credit cards to pay for their purchases. They more they spend, the more they earn. The more they earn, the more they are able to enjoy for free. In addition, many credit cards offer car insurance, damage and loss insurance and extended warranty programs, says the CBA.
Start accepting credit cards today! You’ll be providing your customers with opportunities to take advantage of all of the benefits that are provided to them by their credit card companies. Even if you already accept credit cards, you have the opportunity to upgrade to a top-of-the-line POS terminal by contacting Canadian POS Corporation. We also offer the most affordable rates in our industry! Call us at 1-877-748-2884.