Nowadays, you can not only use your credit card to pay bills, book travel tickets and buy groceries, but also to shop online. This is one of the most convenient ways to shop, as you can do it from the comfort of your home.
In this article we will discuss what a credit card is, the best credit cards for online shopping, how to use a credit card for online shopping, and the benefits of shopping with a credit card.
What is a credit card?
A credit card is a thin, rectangular-shaped piece of metal or plastic issued by banks or financial institutions that gives the cardholder access to funds to be used to make purchases at merchants that accept card payments.
Credit cards generally have a credit limit, which is the maximum amount that can be borrowed, and a monthly interest rate applied to the outstanding balance if the cardholder does not repay the entire amount borrowed within the interest-free period.
The best credit cards for online shopping
There are many different credit cards on the market that can be used to make online purchases. However, not all credit cards are the same. Some credit cards offer great rewards and benefits for those who shop online, while others have high interest rates and fees that can negate the savings gained from using the card.
Some of the best credit cards for online shopping include the following:
- Target REDcard
- Amazon Prime Rewards Visa Signature card
- Alliant Cash Back Visa Signature Credit Card
- Visa Signature Cash+ card from U.S. Bank
- Wells Fargo Active Cash card
How to safely use your credit card for online purchases: Step-by-step guide
No one wants to be a victim of credit card fraud, but unfortunately it happens. There have been many high-profile cases of credit card fraud in recent years, and as a result, people are understandably nervous about using their credit cards for online purchases.
However, if you take a few simple precautions, you can shop online with confidence. Here is a step-by-step guide to safely using your credit card for online purchases:
Step 1: Check if the website is secure
Before entering your credit card information, it is essential to verify that the website is secure. A secure website has the words “https” at the beginning of the URL and a padlock icon in the browser window. If you do not see these signs, do not enter your credit card information on the site.
Step 2: Select the items you want to purchase
Once you have found a secure website, you can begin shopping. Select the items you wish to purchase and add them to your shopping cart.
Step 3: Click on “Checkout.”
Click on the shopping icon in the upper right corner of the site when you are ready to pay for the items. You will then be able to view the amount to be paid and the shipping charges.
Step 4: Enter your information
Enter your name, address, phone number and e-mail address. Some will also ask you to create an account after you complete your purchase.
Step 5: Choose a payment method
Most websites allow you to pay by credit card or PayPal. Choose the credit card option. You will then choose the type of credit card, such as Visa or MasterCard.
Step 6: Enter your credit card information.
You must enter the 16-digit number and name shown on the front of the card, the security code, and the expiration date. The security code is the three-digit number on the back of the credit card.
Step 7: Click “Submit”
Once you have entered your credit card information, you can click the “Submit” button to start processing your purchase, after which you will receive confirmation that your order has been placed.
Be sure to click the “Submit” button only once to avoid receiving a double charge.
Step 8: Extra security measures
Some websites may offer extra security measures, such as Verified by Visa or MasterCard SecureCode. If you see these options, we recommend that you sign up. These security measures add extra protection to your credit card information. It involves typing in a unique code that is sent to your cell phone.
Step 9: Save and print your receipt.
Once you have made your purchase, save and print your receipt. It will be useful in case you return items or have problems with your order.
Advantages of using a credit card for online shopping
The advantages of using a credit card for online shopping are many. Some of these advantages are as follows:
Reward earning
Most credit cards offer a rewards program that allows you to earn points or cash back on your purchases. You can use these rewards to offset the cost of future purchases or even redeem them for travel or other rewards.
Safety and security
When you use a credit card for online purchases, you are protected by the Fair Credit Billing Act. This means that if you do not receive the items you ordered or if they do not match the description, you can dispute the charge with the credit card company.
Convenience
Credit cards are accepted by most online retailers and allow you to make purchases without having to carry cash or checks.
Fraud protection
You are not responsible for charges if your credit card number is stolen and used for fraudulent purchases. The credit card company will investigate the charges and refund your money if it finds that you are not at fault.
Conclusion
The use of credit cards in online purchases has increased significantly in recent years, as many online shoppers find them more convenient than other payment methods.
By knowing the steps to follow to use your credit card online safely, you can enjoy the convenience of using a credit card in online purchases. Remember to keep your credit card information safe at all times to avoid any fraudulent activity.