Sep 30, 2022 / Money Tips
Credit cards get all the credit—and for good reason. They offer a convenient and rewarding way to make purchases. They also get all the commercials, the rate and rewards comparisons, and the small-talk conversations about which card is best. But there’s another side of spending that deserves more attention—credit card’s less famous financial cousin—the debit card. It might not be as flashy or financially in fashion, but the best debit cards can have big benefits too.
With a debit card, you know exactly what you get. There are no terms and conditions and no interest rates to make your monthly payments fluctuate. You just make purchases and your money comes directly out of your account. This simple approach to spending can be especially helpful for those trying to stick to a budget. Instead of keeping track of every credit card expense and lining up your purchases with available funds, you always know exactly how much money you have. That means less temptation to blow your budget and spend beyond your means.
Everyone knows that credit cards and rewards go hand in hand. You spend money on credit, you get rewarded in return. But did you know that your debit card can offer the exact same rewards? Some debit and credit cards work together, as two parts of the same team, to reward you, no matter how you make a purchase. Utah First offers a debit card that shares the same rewards system as your credit card, so you can get something back every time you buy. In fact, you earn rewards points for every dollar you spend using your Utah First debit card that you can redeem for gift cards, travel, or cash back.
A debit card comes with every checking account. You don’t have to apply because there are no credit consequences for using a debit card. That’s a benefit in and of itself. Another big reason to use your debit card is that you’ll never have any extra interest charges. You don’t have to remember to pay a card balance or calculate how much extra you’ll owe at the end of the month. For many, that means automatic money savings. With a debit card, you get the convenience of using cash without actually having to carry cash.
There are definite advantages to using all forms of payments—credit cards, debit cards, and cash—but you should always have a choice when it comes to your money. If you’re trying to stay on top of your budget, avoid interest, and earn rewards along the way, the best debit cards can have big benefits beyond convenience alone.