Three Reasons You Should Apply for a Credit Card

If you are like many people today you may be hesitant to use credit cards. Perhaps you are concerned that you may spend outside your means or you think that they are only for people who can’t afford to pay for their purchases. However, credit cards are a necessary tool for most consumers with many benefits that don’t have to include getting into debt. Here are three reasons you may want to consider applying for a credit card. 

1. Build Your Credit Score 

The responsible use of a credit card is a great way to build or rebuild your credit history and rating. If you plan to purchase a car or take out a home mortgage in the future, lenders will look at your credit rating to make determinations on whether or not to lend to you. Think of a credit card as a tool to build your credit. Use it for small purchases and pay it off each month. Secured cards are a great way to start building or rebuilding your credit when you have little credit or a damaged credit history. 

2. Convenience and Emergency Purchases 

Often times it is easier to put a large purchase on a credit card instead of having money taken out of your account immediately. Credit cards can give you some financial flexibility. In an emergency situation, like a car accident or health emergency, a credit card can get you out of a financial bind and give you the flexibility to spend when you really need to and pay later. Used responsibly credit cards can be a great financial tool in your life. 

3. Earn Rewards and Make the Most of Each Purchase 

A smart and savvy shopper can turn credit card reward programs points into cash for vacations, shopping trips and more. Competition is strong between banks vying for your business. Take the time to find the right card for you. Are you a frequent traveler and want to build rewards for future travel? Or do you prefer earning cash back points for your spending? Shop card programs wisely and you can earn rewards points that will stretch your purchase dollar into much more. 

If you use a credit card responsibly it can provide you with a great financial value and can help to build and strengthen your credit rating.