Why Use Credit Cards Online
1. Fraud protection. While many debit card issuers promise fraud protection on par with credit cards, including limited liability, fraudulent activity typically results in an investigation before the questionable charges are eventually reversed. Would you like to have your bank balance tied up while things get sorted out?
2. Rewards. While some debit cards offer rewards of various sorts for making purchases, the most generous programs are generally tied to reward credit cards.
3. Building a credit history. It’s hard to build a credit history without actually using credit.
4. Freedom to borrow at 0%. You can make a killing using 0% balance transfers to get your hands on free money that you can then stick in a high yield online savings account. Just make your minimum payments and then kill it off before the 0% period ends. The interest that you earn is yours to keep, free of charge.
5. No holds on your hard-earned cash. Whenever a merchant (e.g., a gas station) decides to place a hold on your funds, your otherwise spendable cash will be locked up until they decide to release the hold if you made the mistake of using a debit card. If you had used a credit card, on the other hand, they’d have just locked away a portion of your credit line.
Click here for reasons why you should use Electronic Fund Transfers.