The Benefits of a Credit Card in Ireland

There is a very simple and clear distinction between a credit card and a debit card. The former involves borrowing money from the credit card company, paying interest after the grace period, repaying the amount borrowed and using it over and over again. A debit card is no different than a personal cheque; you are not borrowing money off anyone, but using your own out of your bank account, although if you have no money in your account, your debit card becomes useless, in fact you may go into an overdraft you haven't agreed upon and instantly get charged a penalty and then interest per day you are still in there!

Your credit card can be used as much as you want within your credit limit and as long as you pay back what you have spent on it by the end of the month, there will be no penalties or interest charges.

Simply put, a credit card is a much safer bet in Ireland to help you tide over any emergency. It is a short term preapproved loan that you can extend provided you have a good credit score.

Credit cards now have a much wider acceptability in Ireland; they are convenient, and more popular for the safety net they provide, not only in terms of online transactions, but also theft and fraud prevention. There are numerous websites that offer premium services that you need to pay online to obtain. Not all websites will accept debit cards to activate these features.

Lastly, your credit card will have a positive impact on your credit rating. At some point in your life you may need to apply for a loan or a mortgage, if you do not have a good credit score, you will most likely get a raw deal, and will not even be considered for the low APR credit card deals.

You should borrow money, repay the debts on time so you have no interest to pay and prove that you are responsible as far as your finances are concerned.

You can't achieve this with a debit card because you will simply be spending your own money. It is only when you spend money that belongs to others will you establish a reputation. This may not seem fair but that is how the system works. If you want to enjoy a stable financial life, you will need a credit card in your hand.