Debit cards? or Credit cards? 1

I make purchases about 99% with my credit cards (even $1-$3 purchases). I found some co-workers and friends only use debit cards and cash. I can understand why some people use cash or debit card instead of using credit cards as using debit or cash gives you more controls over your spending by living below means and may give a physiological impact as credit cards are way too easy to spend your hard earned money.

If you can control your impulsive purchase habit, credit cards can give so many benefits

1. Cash, mileage rebates- Some offers up to 3-5% cash back in gas, grocery etc… I get like at least $300 of cash back for my own spending and around $200 for my company expenses every year. I am in a managerial position and use my credit cards for paying my team’s overtime meals or other necessary company expenses and get reimbursed and they really adds up pretty quickly.
2. Credit history- If you pay the outstanding amount every month then this will build your credit history which will come in handy if you are planning to buy a house or a car.
3. Credit card protection and security- You can always dispute and get your money back for expenses that you did not spend.
4. Credit card spending keeps track of your spending habit
5. Credit card companies always give additional benefits such as car rental insurance, life insurance, additional discount benefits, additional warranty etc…

You can see the following links for best cash back credit cards listing for US and Canada.

 What do you use the most? Debit or Credit? Why?

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