The article advocates for using credit cards over debit cards for individuals with good credit scores who pay off balances monthly. It emphasizes the benefits of accumulating rewards or cash back versus the drawbacks of debit cards, which lack essential consumer protections. While users should avoid accumulating debt, responsible credit card usage can lead to significant annual savings and travel rewards. The author encourages finding the right card to optimize everyday spending without incurring debt, positioning credit cards as valuable financial tools when used correctly.
For someone with good financial hygiene and a credit score north of 700, using credit instead of debit is beneficial to earn rewards.
The key is not to demonize credit cards; they can be immensely helpful for those who use them responsibly and can earn money back.
Optimal credit card usage can lead to significant perks, including cash back and travel rewards, effectively providing benefits on purchases you would make anyway.
Debit cards lack the essential consumer protections that credit cards offer, making credit a safer option for transactions.
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