Do You Know What Your Card Can Do?
Credit cards offer a lot of benefits to customers, such as air miles, reward points, cash back, online shopping deals, discounts, etc. However, there are some perks, which you may not even know about. In this article, we will talk about such hidden benefits that various credit cards provide.
However, you must be aware that these benefits are not available on all credit cards. Some provide just one of these perks and some provide two or more of them. So, have a look at some of hidden credit card benefits.
1. Fraud protection
Many people steer clear of credit cards due to the increasing online frauds. However, now you can leave such worries aside, as credit card firms now offer online fraud protection to their customers. Different credit cards have different policies in order to protect your online transactions.
Although all credit card companies offer protection against fake transactions after you inform them about the misuse or loss of your credit card, there are also some credit cards that protect you against fraudulent transactions even before you report the misuse or loss of your credit card. Thus, you need to properly check the terms and conditions of the specific credit card you are going to opt for.
2. Life insurance
Some credit cards offer free life insurance to cardholders, when they book their airline tickets through their credit card. A few credit cards also provide extra benefits like special insurance against unfortunate events such as hijacking. However, this does not mean that you can do away with your primary life insurance.
3. Loan on credit card
Want a loan? Get it against your credit card. Banks know your credit worthiness depending on your credit card usage and the credit limit of your credit card. If your payment history is excellent, you can easily and quickly get a loan against your credit card. However, you must only apply for a loan when you seriously need it.
4. Complimentary airport lounge access
You can get free airport lounge access through your credit card. You can relax at an airport lounge, while you wait for your next flight. Although entry to airport lounges is not free, you can still enter it free of cost if your premier credit card has the priority pass program that provides free access to lounges at airports. Nevertheless, this benefit is only provided by premier credit cards, such as Visa Signature credit card.
5. Lost baggage claim
Your credit card can provide you protection against lost baggage when you book your flight from your credit card. Through this benefit, you can claim the refunding amount of your lost baggage as per your credit card policy.
6. Low foreign transaction rates
Most of the credit cards come with low foreign transaction rates, which is generally at 3.5%. These cards offer the best Forex rates too. There are also some premier credit cards that offer just 2% rate on foreign transactions.
You can use your credit card whenever you travel abroad in order to save some money. Moreover, if you buy something from a foreign website, then also you can take advantage of the low foreign transaction rates on your credit card.
By using these perks, you can save a lot of money. So, choose a credit card according to your spending habits and lifestyle. And, do not forget to read the fine print before you sign up for one. You must use your credit card wisely in order to support your financial life and not destroy it. So, understand the benefits of your credit card, make your payments on time, and get the most out of your credit card.
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