ACCC Explains the Benefits of Having a Credit Card

Share Article

American Consumer Credit Counseling explains the advantages of using a credit card

News Image
It is important to know that a credit card acts as a low cost, short-term loan that needs to be paid back each month, ideally in full. If charges accumulate, you will be charged interest on the balance.

Credit cards are a key financial tool if they are used responsibly and paid in full each month. They can be utilized for everyday purchases as well as big purchases, such as travel or jewelry, where funds may not be readily available at the time of purchase. To help consumers, national nonprofit American Consumer Credit Counseling (ACCC) explains the benefits of having a credit card.

“Credit cards provide consumers with the opportunity to build credit, earn rewards and cashback and provides greater fraud protections,” said Steve Trumble, President and CEO of American Consumer Credit Counseling. ”It is important to know that a credit card acts as a low cost, short-term loan that needs to be paid back each month, ideally in full. If charges accumulate, you will be charged interest on the balance.”

According to ValuePenguin, the average person has 3.1 credit cards. The survey also found that 48 percent of consumers prefer to use a credit card when online shopping over a debit card. The J.D. Power 2018 Credit Card Satisfaction survey found that 47 percent of consumers switched credit cards in the last 12 months for better rewards. The survey also found that more than a third of card users don’t fully understand their reward programs and 36 percent say they don’t understand how to earn and collect their rewards.

ACCC explains the advantages of using a credit card.

1.    Rewards – A majority of credit cards have a rewards program, but it is important that consumers do their research and see which rewards cards work best for them. Consumers don’t want to overspend just to increase their rewards points. Depending on your card, points can be earned by buying flights or just putting gas into the car.
2.    Build credit history – Making purchases with a credit card and paying it off each month by the due date is a perfect way to build good credit. The better the credit, the more likely lenders will offer good interest rates.
3.    Purchase protection – Credit card companies don’t have direct access to the consumer’s bank account. If a consumer wants to dispute a charge or if their card has fraudulent activity, they are not missing physical money while this process is taking place – as they would if it had happened with a debit card. If there is fraudulent activity, credit card providers should refund all of the money lost.
4.    Signup bonuses – Credit cards offer attractive bonuses for consumers who sign up, such as a large number of bonus points, free flights, or reduced interest rates for a period of time. Consumers should do their research and see which card they can gain the most from.
5.    Safe for online shopping – Because most credit cards have fraud protection, there is little risk for consumers to lose their money when online shopping.
6.    Can be used in any currency – Credit cards can be used to make purchases in other countries. There will most likely be a small conversion fee with these purchases.

ACCC is a 501(c)3 organization that provides free credit counseling, bankruptcy counseling, and housing counseling to consumers nationwide in need of financial literacy education and money management. For more information, contact ACCC:

  • For credit counseling and student loan counseling, call 800-769-3571
  • For bankruptcy counseling, call 866-826-6924
  • For housing counseling, call 866-826-7180
  • Or visit us online at

About American Consumer Credit Counseling
American Consumer Credit Counseling (ACCC) is a nonprofit credit counseling 501(c)(3) organization dedicated to empowering consumers to achieve financial management through credit counseling, debt management, bankruptcy counseling, housing counseling, student loan counseling and financial education concerning debt solutions. To help consumers reach their goal of debt relief, ACCC provides a range of free consumer personal finance resources on a variety of topics including budgeting, credit and debt management, student loan assistance, youth and money, homeownership, identity theft, senior living, and retirement. Consumers can use ACCC’s worksheets, videos, calculators, and blog articles to make the best possible decisions regarding their financial future. ACCC holds an A+ rating with the Better Business Bureau and is a member of the National Foundation for Credit Counseling® (NFCC®). For more information or to access free financial education resources, log on to or visit

Share article on social media or email:

View article via:

Pdf Print

Contact Author

Marissa Sullivan
Visit website