My stance was, and still is, that everyone should be using a credit card for their purchases and then paying it off each month to avoid any interest payments or fees.
This is all under the assumption that you’re not actually using the credit card as a way to take on debt. I’m talking about using it as a convenient form of payment and as a substitute for cash and debit cards.
Oddly enough, less than a week after that discussion, an item I had purchased 2 months ago broke. I can only assume there was a manufacturing error, because this item would typically last for years.
I called the store that I had bought it from and they coldly informed me that it was beyond the 30 day return period. I told them that’s fine, and they’ll be hearing from my credit card company.
Most credit cards offer consumer protection guarantees, and allow you to dispute charges even if an item is past its return period. Fortunately for me (and you), most credit card companies are a lot bigger than your average retailer, and they’re essentially able to “push” them around to get what they want.
In the end, the credit card company chose to accept my dispute and refunded my card for the full amount of the purchase. They didn’t ask me for a receipt. They didn’t ask me to see the broken item. They simply refunded my money within 5 days of the dispute being filed.
So why not let your credit card company work for you…
One extra benefit: credit card companies often offer extended warranties on electronics and other items. Laptops usually come with a one year manufacturer’s warranty for example. Did you know that purchasing your laptop with some credit cards will automatically extend that warranty by a year?