9BesteFordelerKredittkort You Should Know

9 Beste Fordeler Kredittkort You Should Know

Have you lately been wondering if it would be a good idea for you to start using a credit card? You have heard a lot of people talking about it already, and you probably also know a lot of people that are using these financial tools, claiming it is much easier than carrying cash. Well, it most definitely is a lot easier, but that is not reason enough for you to decide if you want to apply for your own solution or not.

Of course, you may have also heard some “horror stories”, so to speak, of people using these cards and winding up getting in huge debts. We cannot deny that this happens, but it is not the fault of the financial tools. Poor money management can get you in debt whether you have a credit card or not. So, it is important to understand that those “horror stories” have much more to do with the people themselves and with their financial skills, rather than with the cards.

Once again, though, this probably isn’t enough to lead you towards deciding whether you want to get one of these financial tools for yourself or not. It is a good thing that you aren’t rushing into anything and that you aren’t making any decisions based on just your hunch and nothing else. Clearly, when you are not familiar enough with a certain topic, the right thing to do is try to learn as much as possible about it before passing any judgements and before taking any concrete moves. Therefore, this means that you have the task of getting better acquainted with credit cards.

What you are probably wondering the most is what the benefits of using these financial instruments are. Well, if you are ready to find out about those, then what you should do is continue reading, because I will list some of the beste fordeler of using a kredittkort that you should know about. By understanding those benefits, you will get a much clearer idea on whether you should apply for one of these solutions or not. So, without any more ado, let us check the benefits out.

  1. Free Borrowing

If you have talked to anyone who is using this financial tool already, then this is probably the thing that they have talked about the most. Basically, when you have a credit card, it essentially means that you can borrow money for free. How does that work precisely, though? I know it sounds a bit unusual, and you may, therefore, be kind of suspicious, but you’ll realize that there’s nothing weird about it once I explain how it works.

In short, you get a line of credit for a certain sum, and you can take the money if and when you need it at no additional costs. Sure, there are interest rates to consider, but interest will be charged only if you don’t repay the full amount back within a specific period of time. Usually, you will have between 45 and 60 days to repay the amount without needing to worry about interest at all. So, essentially, this is like taking out a very short-term loan, but without having to pay interest on it, unless you are late with repaying the balance.

  1. No Limits to What You Can Spend the Money on

Since I’ve compared the cards with loans, let me tell you about another thing that makes them quite different. Basically, there is no limit as to what you can spend the money on. Certain loans, such as mortgages or some other secured solutions, impose such restrictions. If you borrow through a credit card, though, you will be able to use the money in any way you want. Another quite useful thing, isn’t it?

  1. Sign Up Bonuses

Another thing that makes credit cards appealing is the fact that they often come with some sign up bonuses. Of course, the amount you will actually get depends on the provider you will choose, and then there are often some requirements to meet so as to qualify for the bonus. For instance, if you spend X within a certain period of time, you’ll get Y. Anyway, the requirements will also be different from one provider to another.

A lot of providers offer substantial bonuses, though, which is why this is quite an appealing feature that often incentivizes people to finally apply for a card. The bonuses can be in the form of miles, points of cashback, which, once again, depends on the provider and the type of card you’re getting. So, think about the bonus that would be most useful to you when you decide to get a card, and then check the requirements for getting it as well, so that you can choose the solution that you’ll be able to take advantage of.

  1. Reward Programs

Most credit card providers have realized that offering certain reward programs can incentivize people to get their cards. So, they have found a way to offer the right programs that will be extremely useful to people, while also gaining more clients in the process, which is basically a win-win situation for everyone. The reward programs are, thus, another huge benefit to take into account when trying to decide if you want to apply for a kredittkort or not.

Clearly, the programs will be different from one card to another. Some come with the cashback option, allowing you to get a percentage of the money you spend on certain products back. In short, this is the option that allows you to earn money while spending money, so it is no wonder that people find it so appealing and useful.

Apart from that, there is also the program allowing you to earn points or miles for the money you spend. These points are later redeemable for various kinds of things, such as travel, gift cards, merchandise, and many other things. There are, naturally, specific types of products and services that can earn you the points, as well as specific categories that you can redeem them for, so the best thing to do is talk to the provider about that, aiming at figuring out precisely what you can get.

  1. Fraud Protection

Fraud protection is also a rather significant benefit to take into account here. When you visit kredittkortinfo.no/fordeler-kredittkort/ and read some more about the benefits of credit cards, you’ll realize that these financial instruments can protect you against various kinds of frauds. For one thing, if your card, or your card information, is stolen, and someone defrauds you of money, the bank will cover the losses.

Then, you will get your money back if you order an item online and it never arrives. Furthermore, if a certain store charges you more than the product you bought actually cost, the bank will also reimburse you for the difference. All of this is especially useful when traveling and when spending your money abroad, given that the fraud protection feature applies to international spending as well.

  1. Better Overview and Control Over Your Spending

When you carry cash with you, it is easy to keep paying for stuff and then forgetting later where your money went and what you have spent it on. On the other hand, when you pay for everything with your credit card, you will get a clear overview of your spending, and thus know exactly where the money went. This will also help you gain more control over your spending and possibly make some positive changes in your spending habits, which can all lead to saving some money.

  1. Low or Non Existing Annual Fees

Now, this particular benefit doesn’t come with every card, but it is important for you to know that it exists, so that you can use it to your advantage if you can. Basically, some of these financial instruments come with rather low, or even non-existing annual fees. This can certainly be extremely useful. However, I advise you to always compare the rewards you will get and the fees you are charged, so as to ultimately decide it paying the fee is worth it. Most usually, it is, because you often get better rewards opportunities on cards that charge annual fees.

  1. Insurance Coverage

Here is something that a lot of people don’t really know. Some cards can offer certain insurance coverage, such as travel insurance, rental car insurance, extended warranties, as well as other types of coverage that could be quite useful. This allows you to not worry about, for example, buying additional insurance when traveling abroad or when renting a car.

  1. Safety and Convenience

Last, but not least, credit cards offer the safety of not carrying cash around – meaning you won’t have to worry about your money getting stolen. Furthermore, they are quite convenient, as they can come in handy in certain financial emergencies, as well as serve as the perfect payment method for pretty much anything you want to buy. And, on top of all that, you get to build your credit score when using the cards, which is certainly going to come quite in handy when you decide to take out a loan in the future.

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