Credit cards make life convenient. By now, we all know that, right? But with the summer now in full swing, they become more convenient than ever. How so, you ask? Well, firstly people like to wear less during the summertime. And, as a result, they have fewer pockets to carry their cash around in. You may not think this is a big deal, but when it comes to being comfortable in the warm weather, walking light is very helpful.
A credit card – unlike a wad of cash – takes up very little space. It’s lightweight and is barely noticeable in one’s pocket. But, truthfully, the real heart of the matter has a lot more to do with more important issues than how light and easy it is to walk around with a credit card in your pocket. People like the convenience that paying with credit cards gives them. Not walking around with cash is only the tip of the iceberg.
On HCPLive.com, Michael Sheehan writes that there are several benefits to using credit cards to pay for your purchases. As a business owner, such points are important because they encourage customers to use their credit cards in your store. Naturally, you’ll want to ensure that you offer such a payment option so that you can also take full advantage of all of the great benefits that credit card usage brings. Here are five of the best.
1. Cash Back Rewards. Sheehan notes that credit cards are especially convenient for customers who are looking to purchase big-ticket items. Obviously, it’s best not to walk around with thousands of dollars in cash on your person. But it’s also beneficial to use credit cards that offer cash-back capabilities as they end up saving customers money. Such rewards are often put towards free travel or lodging, he points out.
2. Purchase Protection. One of the most popular reasons that people use credit cards – other than the rewards, of course – is the fact that they offer warranties on purchases. Furthermore, as Sheehan describes, “card issuers typically will reimburse you if an item bought with a credit card is lost, stolen or damaged. Most cards have reimbursement limits, typically $500 to $1,000 per occurrence and up to $50,000 in a calendar year.”
3. Extended Warranties. As well, credit card usage provides customers with the ability to extend warranties on their big-ticket purchases. Often, warranties are doubled when items are purchased via credit, says Sheehan. In addition, return protection is also a benefit. “Most card companies allow you to return unwanted merchandise without charge, even if the vendor doesn’t take returns or the retailer’s pre-determined return period is up,” he writes.
4. Insurances. Credit cards are well known for the insurances they offer people who choose to place their travel-related purchases on them. “Freebies” such as travel delay insurance and car rental insurance are often included in credit card agreements, says Sheehan. If you offer travel-based services, your customers will greatly benefit from being able to pay you with their credit cards. The benefits, as you know, work both ways.
5. High Credit Scores and Good Rates. As long as a customer is paying his or her bills on time, he or she will be building credit. In addition, Sheehan also points out that “using your credit card regularly in your practice will keep card issuers from raising rates on you for using the card too infrequently, another annoying tactic card companies have employed recently to boost revenue.” Are you offering your customers all of these great benefits?
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