Credit cards may be quite valuable when utilized properly and carefully. They may aid in managing your cash flow and erratic costs while also rewarding your spending. They are also safer than using a debit card swipe. But there’s a strong probability that your card provides extra benefits that you’re underutilizing.
Don’t overlook these 7 credit card benefits.
Frequently, credit card advantages go beyond cash back and miles. Check your card agreement again if you use credit often to determine if there are any additional benefits you may be taking advantage of. Here are seven often disregarded advantages.
Cell phone safety
You’ve undoubtedly already experienced the pit in your gut that comes from dropping your smartphone and seeing the screen break. Or even worse, finding out that when you weren’t looking, someone stole your phone. A phone’s repair or replacement may be rather costly, as you are aware.
Check your credit card agreement to determine whether mobile phone protection is offered in case anything happens to your phone. If such is the case, claims are often managed by a third-party benefit administrator. You make a claim for compensation up to the greatest possible amount after having your phone mended or replaced.
For instance, eligible American Express cardholders who have their cell phone line listed on a wireless bill and whose prior month’s wireless bill was paid by an eligible card account may be reimbursed for their repair or substitution costs following damage or theft, with a maximum reimbursement of $800 per claim, with an allowance of two approved claims per 12-month period (terms apply).
Depending on the credit card issuer and plan, a deductible can also apply. You must use that card to pay your mobile phone bill in order to get this perk, so keep that in mind.
Chase Freedom FlexSM and The Platinum Card® from American Express are two cards that provide this benefit.
Rewards for TSA PreCheck/Global Entry
Your vacation plans may become unnecessarily stressful if you have to deal with congested airports. You can speed through security queues with services like TSA Precheck or Global Entry, but they aren’t exactly inexpensive. The costs associated with these travel plans could, however, be covered by your credit card.
As per Jason Gaughan, head of shopper Mastercard programs at Bank of America, “for the joyriders, holding up in TSA lines is the final thing you believe that should do before your fantasy excursion.” whether you’re contemplating pursuing TSA Precheck or Worldwide Section, research whether your charge card offers any assertion credits you can put toward these sorts of movement related costs.
IHG Rewards Premier Credit Card and Bank of America Premium Rewards Credit Card are two cards that provide this benefit.
Coverage for rental cars
When you hire a car, the rental agency often offers to sell you extra insurance known as a “loss damage waiver” in case you get into an accident, the car is damaged, or it is stolen. It releases you from all financial obligations, even though this extra security is often costly and superfluous.
Your credit card could provide it for free if you’re concerned about having adequate protection in case the worst case scenario occurs.
You must pay for the rental in full using the card that offers rental vehicle protection, and you must reject the loss damage waiver offered by the automobile rental agency. Primary and secondary coverage come in two varieties. Primary coverage, which is more thorough but less popular, enables you to submit a claim with the credit card provider before turning to any personal vehicle insurance plans. The more typical secondary coverage requires you to submit a claim to your vehicle insurance provider first, and then contact the card company for any unpaid balances. The particular card and issuer will determine the precise coverage amount and plan specifics.
The United QuestSM Card (main) and Capital One VentureOne Rewards Card (secondary) are cards that provide this benefit.
Discounts on shopping
According to Sonali Divilek, Chase’s director of digital products and channels, many credit cards could also provide you discounts at your preferred merchants. We provide Chase Offers, which delivers discounts from the stores people love. There are no coupons, codes, or vouchers to memorize, and there is no need to register. In essence, you choose a promotion (such a % back at a certain business) and add it to your card through your online account, then use your card to make a purchase.
Amex Offers from American Express and BankAmeriDeals from Bank of America are two similar programs.
The United ExplorerSM Card and the Chase Sapphire Preferred® Card are two cards that provide this benefit.
No cost credit reports
It’s pivotal to monitor your FICO assessment. You may borrow money at cheap interest rates if you have good credit, and it can also help you be accepted for housing, create new utility accounts, and even get specific employment.
One of the few sources of free credit ratings is likely to be the company that issues your credit card. Some may publish your scores on your monthly bill or let you examine them via their web site. Remember to check if VantageScores or FICO credit ratings are offered by your credit card provider. Both are significant scoring models, but lenders like FICO more since it is difficult to discover for free and is used more often.
The Citi Custom CashSM Card and the Barclays World Mastercard are two cards that provide this benefit.
Travel is more costly than ever these days. Therefore, it would be dreadful if you invested time and money into preparing a beautiful trip, only for a sickness or a snowfall to destroy it. This is why choosing a card that provides trip insurance while booking your vacation could pay off.
The specifics may vary depending on the card, but this form of insurance often provides payment for airfare, accommodations, and more if your trip arrangements are postponed, shortened, or canceled because of certain circumstances that are covered, including illness or bad weather. If you used your card to make the trip arrangements, you and your traveling companions are often covered by this insurance.
The Capital One Venture X Rewards Credit Card and the Chase Sapphire Reserve® are two cards that provide this benefit.
It’s important to keep in mind that credit cards are only beneficial if you use them wisely. Any financial advantages your card could have will be soon eliminated if you accumulate debt and carry a load from month to month.
So be careful to just charge what you can afford to pay back each month to get the most out of your credit card. Then go through the terms of your credit cards to see if you can better match your spending patterns to the numerous benefits that each card in your wallet offers. You may as well receive something in return if you have to make some expenditures anyway, whether it’s a vehicle rental or a phone bill.