Credit cards often come with benefits other than cash back or other rewards that we forget about long after signing up for the cards. Avoid paying extra for benefits like trip cancellation insurance, roadside assistance or extended warranties if your card already covers you.
More than half of consumers in a recent study by MasterCard weren’t familiar with the benefits offered by their credit cards, and some paid for benefits their cards already offered. Forbes identifies 10 common benefits offered by credit card issuers, most of them related to protecting you when you travel or to insure your purchases from theft or damage.
For example, as we’ve mentioned before, using a good credit card can help you skip the extended warranty, since many cards double the manufacturer’s warranty for up to a year.
When you book your next holiday, check your credit card benefits first before buying extra travellers insurance. Many credit cards offer car rental loss/damage insurance, travel accident insurance, trip cancellation insurance, lost baggage insurance and/or travel emergency insurance.
Your benefits and terms will vary by type of card and issuer. Don’t remember the perks your card offers? Time to dig up that welcome packet.