Most credit cards come with perks, like prize points or frequent flyer miles. But did you know your credit or debit card may offer benefits that could save you hundreds, even thousands of dollars? We're talking potentially priceless perks just in time for shopping season.
Savvy shopper Kimberly Rose always scours the fine print of credit cards to make sure she only applies for the ones that offer her money-saving benefit. She said, "Over the years I've saved thousands of dollars, by using the credit card benefits."
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Kimberly remembers when her phone broke, after the manufacturers' warranty expired. Luckily, she bought the device with her American Express card, which offered an extended warranty. Mastercard has a similar policy it doubles the manufacturer or store warranty for up to a year.
"Most card holders don't know the services and benefits that their, the card in their wallet or their digital wallet hold," according to Diana Robino with Mastercard. That includes price protection. If you buy an item but find it cheaper somewhere else, some cards will reimburse you the difference. No trip to the store needed. And if you miss a return deadline at the store, some cards allow you to fill out a form, ship the item to them, and get your money back.
Robino said, "We have cardholders that are actually in the store, and actually call our call center to find out if that type of purchase is covered by their credit card."
Then there are the travel perks. Kimberly has two cards that double the amount of money she can get if an airline loses her luggage. Chase Bank reimburses some card holders for clothing and necessities when luggage is lost and pays for meals and hotels if your flight is delayed for more than 12 hours. Plus, what if you have to back out of a trip? Matt Schulz from CreditCards.Com said, "Some cards offer protections where if you're sick and you can't travel. You know- you can cancel your uh, your reservations."
American Express works with some car dealers to give special discounts, claiming cardholders are saving thousands. If your car breaks down, some cards hook you up with roadside assistance. Experts caution that it's important to read all that fine print to find out which perks apply to the specific card you have. Of course, you also still need to watch for things like interest rates when you swipe.
Ultimately, it's all about what works for you. Schulz said, "Whenever you're looking for a credit card you should absolutely be thinking, 'What's in it for me? Can I save? Is this a good deal?'
Industry insiders say banks and card companies offer these benefits to attract your business. Kimberly says, for her, it works! "That's how I select which card to use is based on what benefits I think I'll need."
In addition to perks that pay, there are convenience benefits too. Some cards will help you replace a passport or find English speaking doctors in a foreign country. There are also concierge services to help make you dinner reservations, find concert tickets and even locate hard to find gift items. Most banks and card companies also list their benefits online. Experts say also pay close attention to any notices you get in the mail about changes in benefits-and make sure you understand all the rules.
