Credit Cards

3 Important Reasons Why It’s Smart to Use Your Credit Cards for Everyday Purchases

Jeff Cuellar



It’s OK to admit that you only use your credit cards sparingly. There’s no shame in admitting that. In fact, it shows that you’re responsible enough to use your credit card for only what you need, and that’s a good thing.

That being said, although it’s good to use your credit cards cautiously, it can also be something of a waste because using your credit cards regularly and reasonably can be beneficial.

No, I’m not saying that you should go and max out your credit card(s). You still need to be responsible with your purchases.

What I’m saying is that it’s OK to use your credit card for everyday purchases that you were going to make with cash anyway.

Here are 3 key reasons why using a credit card for daily purchases makes sense:


#1 You Can Earn Great Rewards

Do you know what rewards and benefits your credit cards have to offer? Well, if you have no idea or worse – have a card that offers very little incentive for using it, you’re not maximizing the credit card’s usefulness.

Depending on what kind of credit card(s) you have, regular and responsible usage can get you great rewards and benefits such as:

Remember, if your current credit card(s) don’t offer any decent benefits, it’s nothing more than a glorified debit card that charges you interest on your balance.

If you want to ditch your current credit card(s) for something a bit more rewarding, just click here to get one that will!


#2 You Can Build Up Your Credit Score

Using cash (including your debit card) is great, but it won’t boost your credit score the way regularly using a credit card will.

Of course, to boost your credit score, you’ll need to avoid the following pitfalls:

  1. Don’t purchase more than you can afford to pay back
  2. Don’t fall behind on your credit card balance repayments
  3. Don’t use more than 30% of your credit limit

Honestly, you’re responsible enough to avoid the pitfalls above, you’re in good shape to get your credit card rewards AND build up your credit score.

After all, your credit score plays a HUGE role when it comes to financing your most important purchases such a property, car, or tertiary education expenses.


#3 You Can Make Purchases Conveniently

Seriously, there’s no better feeling than being able to get in and out of a restaurant, grocery store, or petrol station without having to fumble with coins or dollar bills. It’s Singapore after all, and NO ONE enjoys standing behind the guy who’s counting coins and $2 bills to buy groceries.

Convenience is a huge benefit of using credit cards regularly. Some credit cards even have ultra-convenient features such as Visa PayWave, which allow you to “tap and go” on your purchases.

I know that some wiseass is going to say “Well you can do that with a debit card too!” That’s true buddy. But will your debit card boost your credit score quickly or give you rewards when you use it?

Of course, another benefit is that you don’t need to carry lots of cash around, which will come in handy if you ever have the unfortunate luck to get robbed.

That’s because you can immediately cancel your credit card and contest any charges – UNLESS you happened to have a Standard Chartered credit card, as our dear Editor found out when he was robbed in Tokyo.


How has using credit cards regularly (and wisely) helped you? Share your thoughts with us on Facebook! For even more useful information on everything personal finance, visit MoneySmart today!


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Jeff Cuellar

I'm known by many titles: copywriter, published author, literary connoisseur, ex- U.S. Army intelligence analyst, and Champion of Capua.