In the past few weeks, I’ve been reading some articles, along with their comments, about people cutting up their credit cards. There are multiple rationales behind this decision. One such rationale is that the credit card companies act immorally by preying on the “weak” who fall into the trap of credit. Another rationale is that it encourages bad decision making because of the disconnect between plastic and cash. I’ll address those issues throughout the article.
Photo by Paalia via Flickr
Three Benefits Offered By Your Credit Cards
Often times people overlook the protections they are offered by using credit cards.
1) Warranty Extension
One of the most dreaded lines at Best Buy, for me at least, is “Would you like a service plan with that?” Or maybe my most dreaded line is the third time they’ve asked it even after I mentioned the fact that my credit card automatically extends my warranty.
Not all credit cards offer this protection, though. You can usually read through your card member agreement (that long document they send every so often when they make changes) and it will make some mention of a warranty program. Any questions should be directed towards the credit card company (Visa, MasterCard, American Express, Discover Card, etc.), not the issuing bank.
Do not assume that you are not eligible just because the card member agreement makes no mention of the warranty. Call the company to be sure.
Warranty Info & Phone numbers to check eligibility:
- VISA (USA) – Doubles the time of the manufacturers warranty up to 1 year as long as the original warranty is 3 years or less – (800) 882-8057
- MasterCard (USA) – Doubles the time of the manufacturers warranty as long as the original warranty is 1 year or less – (800) 622-7747
- Discover (USA) – Doubles the time of the manufacturers warranty as long as the original warranty is 1 year or less (Unverified) – (800) 347-2683
- American Express (USA) – Doubles the time of the manufacturers warranty up to 1 year as long as the original warranty is 5 years or less – (800) 225-3750
Once you find out whether you have warranty coverage, there are a few pointers I have for you: You must charge the amount in full to the credit card, keep documentation for proof of purchase (invoice, cc receipt, warranty printout), keep a copy of the current card member agreement, keep the card active even if you don’t use it.
This is all a moot point if you are the kind of person who will wind up in a shopping rehab when you get a hold of a credit card. However, …