Reasons to Use Your Credit Card: Joseph Wilk of NJ on the Benefits of Electronic Transactions

There are many reasons for using your credit card that go beyond the convenience of electronic transactions in comparison to carrying cash or checks. Buying on credit has many additional benefits, which Joseph Wilk knows all about.

One of the first rewards you might receive in using a credit card is the sign-up bonus. Many credit cards offer cash back, gift cards, or frequent flyer miles when you sign up and have good credit. This is not the only time you can earn such rewards, though, as Joseph Wilk explains.

If you are paying with the right kind of credit card, Joseph Wilk knows that there are all kinds of benefits you can earn. One of these is cash back. Some credit cards provide a kind of return on investment in the form of cash back. Others do it in the form of frequent flyer miles. Cards that offer frequent flyer miles are often the ones you can sign up for on flights. At that time you are likely to be rewarded a large sign-up bonus that could translate into a free flight with only a few purchases. Credit cards that don’t offer cash back or frequent flyer miles might offer a points system. Points are often redeemable for gift cards to various stores.

Of course, these are only the most tangible rewards that credit card usage offers, explains Joseph Wilk. From the most basic perspective, credit cards give their users a grace period that no one form of payment offers – namely, you don’t actually have to have the money to pay for things at that time. And when you use your credit card and pay it on time, you build a solid credit history that makes you a better candidate for things like a mortgage on a house or school loans in the future.