The Best Credit Cards Offer These Hidden Benefits!

Type in the words “credit card” into an internet browser, and you’ll be inundated with exciting offers. In fact, internet algorithms will trigger a barrage of advertisements and marketing strategies designed to sway you. You can anticipate seeing zero-interest promotions, cash-back, and seemingly attractive rewards programs. But the best credit cards offer more than these flashy promotions. The best credit cards provide consistently low interest rates and secure benefits that truly matter. If you’re considering applying for a credit card, the following information can help you make an informed decision and find the best credit card for your unique needs.

The Best Credit Cards Typically Have These Common Benefits

Credit cards continue to grow in popularity and are quickly replacing cash. That’s largely because e-commerce platforms only take plastic and swiping remains far more convenient. With a credit card, people tend to swipe, insert or tap their card without a thought, and just like that, the transaction is effortlessly complete. With cash, consumers stand in line counting dollars and waiting for change. To say the American culture favors credit cards over cash would be something of an understatement.

The average American possesses 3-4 credit cards, and residents of Georgia come in at 3.76, with residents of South Carolina not being too far behind at 3.62 cards, according to the Experian 2020 Consumer Credit Review. The report also indicates Baby Boomers have the most credit cards at 4.61 on average, with Gen X at 4.23, Millennials at 3.18, and Generation Z not possessing enough to effectively build a robust FICO score at 1.91.

The best credit cards allow people to purchase everything from necessities such as groceries and gas to big-ticket items while offering peace of mind to cover emergencies. Perhaps the following benefits are why community members would be well-served to research and apply for the best credit cards available.

Peace of Mind

Although people routinely use credit cards for a variety of purchases, there was a time when these lending products were reserved strictly for emergency spending. Families once put credit limits to work, buying only expensive items that improved their quality of life and then quickly paid down the balance. Other uses involved the ability to pay for things such as an emergency room visit, car repairs, or cover monthly bills after suffering a financial setback.

The best credit cards gave people a sense of security and peace of mind knowing they could cover expenses in a pinch. That benefit still holds true today.

Increased Purchasing Power

Getting approved for a credit card automatically increases your financial bandwidth. The revolving limit effectively adds to the amount of revenue at your disposal at any given time. Without the flexible use of credit, families would likely have to put the purchases of big-ticket items on hold until they saved enough and budget ahead to enjoy dinner at a good restaurant or a night on the town. Working exclusively with cash also proves limiting in terms of convenient purchasing and spending abilities.

To learn more about how to increase your purchasing power with good credit, review our blog, “How to Build Credit with a Credit Card.”

Keep Your Hard-Earned Money Safe

The best credit cards provide an added layer of financial security not possible with checking accounts or cash. Visa Credit Cards are backed a zero liability that guarantees its cardholders will not be held responsible for unauthorized purchases.¹ This extra level adds peace of mind knowing you’re protected if your Visa Credit Card is lost, stolen or used fraudulently.

Credit card misuse can usually be reversed as long as the individual promptly reports the theft or loss. The added benefit of having a secure credit card stems from the fact it’s not linked to your checking or savings account. That makes a credit card the best possible option for online shopping. If you lose your credit card, simply contact your financial institution or credit card company, and a replacement can be swiftly issued.

Build or Repair Your Credit

As the Experian study demonstrated, young adults lag behind in credit card use, which negatively impacts FICO scores. The three major reporting bureaus – Experian, Equifax, and TransUnion – weigh specific metrics to calculate each person’s three-digit credit score. Repayment history counts for 35 percent and the average age of credit represents 15 percent. These two factors account for 50 percent of everyone’s FICO score. Applying for credit cards and utilizing them early will help establish a consistent repayment history for young adults, which will prove helpful when they seek auto loans and mortgages later in life.

By that same token, a credit card for people with “bad credit” can help rebuild their FICO score. The best way to offset missed payments or an old bankruptcy is to re-establish creditworthiness with frugal credit usage and timely payments.

To discover how a credit card for less than perfect credit can impact your credit, review our blog, "5 Ways Credit Cards For Bad Credit Can Improve Your Credit Score."

Consolidate Debt with a Balance Transfer

One of the little-known benefits the best credit cards offer involves the potential for additional savings. People that secure a low-rate Visa Credit Card can transfer the balance of a higher-interest credit card or personal loan onto their new, low-rate card. In many cases, those who learn about this perk open a low-rate credit card as a strategy to reduce wide-reaching debt.

By bringing outstanding loans and balances under one roof, you’ll only have to manage a single monthly payment. Along with reducing interest costs, it also frees up money for quality-of-life spending. And by drilling down on that sole balance, you can be debt-free and can enjoy improved financial freedom. The best credit cards allow users to transfer other debts and typically do not charge a fee for the transaction.

With all these great benefits, there are a lot of credit card options to choose from. Review our blog, "Which VISA Credit Card is Right for You? Discover Your Perfect Match" to find the best card for your lifestyle.

The Hidden Benefits The Best Credit Cards Offer

As a consumer trying to make informed decisions, wading through all the offers and incentives makes seeing the best options difficult. Too many promotions lure consumers who believe they’re getting a great deal. Months later, interest rates spike, and the upfront benefits run dry.

It’s essential to select a credit card from a reputable local lender who works diligently with their consumers. With intentions to provide the lowest possible interest rates and a goal to increase borrowing opportunities for everyone, be sure to support your local credit union by reviewing their credit card options. When you apply for a credit card with your local credit union, you can be sure you’ll be matched with a card that fits your needs, not a sales goal. Discover the hidden benefits only the best credit cards offer.

Only the Best Credit Cards offer a Substantial Grace Period

Credit card companies aren’t required to offer a grace period, which is the period between the end of a billing cycle and the date your payment is due. Many don’t include this benefit that effectively allows cardholders to make purchases and avoid paying interest as long as they pay off the balance in full by the due date. Only the best credit cards offer their cardholders a grace period. Peach State provides a 25-day grace period as a standard benefit that comes with each credit card option.

Cash Advances Are a Great Benefit

A substantial number of credit card companies allow users to withdraw cash advances. Most set cash advance limits and charge a separate fee for this transaction. It seems wrong to charge cash-strapped customers fees when the money will be repaid, and likely with interest. Peach State’s Visa Credit Cards don’t charge a transaction fee when you need an emergency cash advance.

Auto Rental Collision Damage Waiver or Roadside Assistance Are Forgotten Perks

Certain credit card companies offer click-bait perks prompting people to sideline the best benefits that will save them money and only result in a headache in the long run.

Auto rental collision damage may not sound as exciting as an introductory interest rate offer, but when your rental car sustains damage due to a collision or theft, this ranks among the top money-savings benefits the best credit cards offer. Roadside assistance is another credit card benefit that has lost traction. When selecting the best credit cards to meet your goals and cover unexpected expenses, check if these are part of the package. Be sure to ask Peach State about the auto rental collision damage waiver that comes with every Visa Credit Card.

Emergency Card Replacement Is A Great Option

Losing a credit card can prove something of an ordeal, particularly because so many people have pivoted away from cash in recent years. Contacting a large credit card corporation and verifying your account information only to be told a replacement could take weeks doesn’t solve your short-term problems. That’s why the best credit cards have streamlined the process and provide quick replacements in an emergency. Peach State offers emergency card replacement for every one of our Visa Credit Cards.

Emergency Cash Disbursement Is a Reliable Safety Net

Although cash is no longer king, as the saying goes, some areas still prefer dollar bills. Some retailers, restaurants, and service providers require cash or checks to avoid credit card processing fees. When an emergency arises, or you need last minute cash for an unexpected event, the ability to make a prompt cash withdrawal using a credit card may prove invaluable. Peach State is proud to offer emergency cash disbursement across the board for all of our credit card options.

No Annual Fee Adds Up

Many great credit card programs charge annual fees on top of interest rates. All of those fees add up, making credit cards a lucrative enterprise for large corporations. It almost seems unfair to trickle off the funds of working families a few dollars at a time. Local lenders are more likely waive such fees because the goal isn’t to garner high profits.

As a local credit union, Peach State strives to provide access to loan products and credit cards at the lowest possible rates without tacking on unnecessary fees. Because of this, none of our credit card options require an annual fee.

Ability to Build or Repair Your Credit Score is a Powerful Forgotten Benefit

Choosing a low-interest credit card positions you with the opportunity to establish and rebuild your FICO scores. Young adults may not realize just how powerful that three-digit creditworthiness score proves until they get a good-paying job.

With a steady paycheck coming in each week, hardworking people usually want to purchase a reliable automobile and a home of their own. Building a FICO score that opens doors to low-interest vehicle loans and home loans takes time. It also involves creating a responsible repayment history. Getting approved for a low-rate Visa helps to prepare you for those life-changing loan options down the road.

With so many great benefits offered by only the best credit cards, we find ourselves asking how many credit cards should we have? Review our blog, "Wondering "How Many Credit Cards Should I Have?" Here’s Your Answer" to help solve this common question.

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