Category: Credit Cards

Is it Worth Getting a Credit Card for Online Shopping?

Most of us have credit cards, but there are still some people that do not. This can sometimes make it difficult to make online payments. This is because using a credit card is a much more secure way of making an online payment and some companies will only accept payments by card, so you may consider whether you should get a card, just for this purpose.

It is worth noting that there are alternatives to using credit cards for some online purchases. There is Paypal, for example which is like an online bank account. You can put money into the account from your current account and then use it to make payments for items. This means that the recipient will not see your account details, just the email address that you have set up on the Paypal account. However, not all online retailers will accept Paypal and so this may limit where you can buy from. If your favourite retailers accept it, then you will be fine, but you will need to check this out.

Getting a credit card may just seem like a simple process for those people that have them. However, there are many reasons why people who do not have cards are reluctant to have them. If you are reluctant, then it is worth thinking through your reasons and deciding whether they really are valid.

Many people get worried that they will get into lots of debt with a credit card. This may have happened to them before or they might not trust themselves with having one, just in case. However, there are many ways that you can protect against this. Firstly if you set up a monthly direct debit to pay off the full balance on the card each month then you will never be charged any interest. This will protect you against the costs of borrowing on the card. More than half of credit card holders do pay off their balance in full each month and never end up paying any interest.

It is wise, of course, to make sure that you keep an eye on what you are spending each month so that you know that you will be able to afford to repay it. You should be able to check your card balance online in order to do this. If you do not like online banking, perhaps feeling that it is insecure or do not feel confident in using it, then this may not be an option for you. You could, just write down the values of the things that you are purchasing on it, or keep your receipts so that you can keep careful track of it.

Some people do worry that if they have a card, they will just get carried away using it to buy all sorts of things and then end up not being able to afford to pay it off and have all sort of debt problems or need to take out other types of loans to cover the repayments. There are people that are like this with credit cards; they see the credit they can use as money that they can spend and they quickly spend everything they can on it and just pay back the minimum so they end up paying a lot in interest. However, if you are aware of this becoming a problem, then you will either need to be really careful with what you are using it for or just not get one. If you want the card for online shopping only, then do not take it out of the house with you but in a secure place in your home to use solely for online purposes. You could leave it in a safe or locked drawer if you are worried about anyone else getting hold of it.

By having a card it could mean that you will be able to purchase things online a lot more securely. Online purchases can be cheaper than buying from the shops and you get a bigger choice which means there are advantages to be able to do this. Items will also get delivered to your door, which can be really great for anyone that finds it difficult to get out to the shops.

It is worth thinking through the pros and cons and seeing whether you think it is a good idea for you to get a card or not. Only you know whether you will have the discipline to pay it all off and not overspend on it.