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Why are Credit Cards Important?

For most people a Credit Card is their first experience with credit.  To develop a good credit history and a good credit score this is usually the first step.  

Credit Cards also offer a convenient way to make purchases online or over the phone.  They can provide protection against fraudulent charges too.  

Credit Cards can also offer purchase warranties, cash back, or points on certain purchases. 

As the first step in building your credit score it is very important to always make the payment on time.

You cannot rent a car if you do not have a credit card.  

Credit cards are great for paying for unusual large expenses that may come up that you have not planned for.  However it is really expensive to allow your balance to grow and not be paid off monthly.

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