How shopping with credit cards can protect you

 

Get ready, get set, start your shopping carts.

The busy retail holiday season is finally here. Yes, the time of year for all those big shopping days – Black Friday, Small Business Saturday, Cyber Monday, and Giving Tuesday.

You’ll have plenty of opportunities to buy and give.

But before you take out your debit card or hit up the ATM to grab cash, there’s something important you should know: credit cards are the safest way to shop.

Sure, you might not love the thought of receiving a bill later, but the benefits of shopping with a credit card during the holidays can far outweigh the worry, especially when you use your card wisely.

Here are a few reasons why it’s better to shop with your credit card:

Zero liability fraud protection
The holidays are a time for joy and cheer. Unfortunately, they’re also a peak time for fraudsters to take advantage of busy shoppers. If your card is compromised and unauthorized purchases are made with it, your credit card offers zero liability protection. That means you won’t be held responsible for those charges if you report the fraud in a timely manner.

Debit cards also offer zero liability, but there’s one major difference: the funds for unauthorized purchases are withdrawn directly from your checking account. So, it can take more time to get your money back even when you give notice in a timely manner.

Purchase protections and warranties
Missing, damaged, or lost items happen, especially during the rush of the holiday season. Many credit cards come with built-in benefits that can protect you, such as purchase protection. You may also get the benefit of extended warranty coverage on eligible items, giving you extra peace of mind when purchasing more expensive holiday gifts like electronics.

Grace periods
Credit card issuers usually give you a window of time (a grace period) between the date your statement closes and the payment due date. If you pay your balance in full by the due date, you won’t pay interest on your purchases.

Earn rewards while you shop
Like the idea of getting paid to shop? If you choose a credit card that offers rewards, you can. Depending on the card, you may earn cash back or points that can be redeemed for travel, gas, merchandise, or other perks.

Use credit cards wisely
With all the deals and the convenience of shopping by credit card, it’s easy to end up spending more than you planned. These tips can help you stay on track:

• Don’t charge more than you can afford. Before you swipe your card, ask yourself if you have the cash available to cover the purchase.
• Pay off your balance in full. Carrying a balance into the new year can lead to high-interest charges, which can kill your budget. It can also impact your credit score and affect your ability to borrow for other goals.
• If you can’t pay the full balance, always pay more than the minimum monthly payment.

 

More tips to protect you

• Monitor your credit card account regularly for unauthorized activity.
• Report suspicious or unauthorized activity immediately. If you see a charge you don’t recognize, contact us so we can protect your account.
• Act quickly if your card is lost or stolen. At Avidia, we can cancel your card and instantly issue you a new one at any of our branches.
• Use secure payment methods like contactless payments that offer the added protection of chip technology

 

Avidia may have a credit card with your name on it

Ready to enjoy a convenient and secure way to shop? Avidia offers a variety of credit cards to help you shop during the holidays and all year long. To learn more, contact us at (800) 508-2265.