There is no question that you’ve noticed most of the transactions in your store are done with credit cards. Or haven’t you? If you’re not yet accepting credit cards as methods of payment, you are undeniably missing out on a huge amount of revenue. Canadians don’t just enjoy paying for purchases with credit cards, they expect that they will be able to do so everywhere they go.
Here are three major reasons your customers prefer to pay with credit:
1. It allows them to build their credit scores.
As you’re undoubtedly aware, a strong credit score is vital if you want to make any major purchase. No one can buy real estate or a vehicle, as examples, without having a credit check. By using a credit card and making monthly payments on time, you build your credit score. As Sandra Quadros Bowles of Hanscom Federal Credit Union points out, one of the quickest ways to build credit is to use your credit card.
“Your payment history makes up 35 percent of your credit score,” she informs, “By using a credit card for purchase, you are actually helping your financial future. Of course, this comes with a huge caveat. When you put purchases on your credit, be sure to pay them off in full and on time. That keeps you out of the quicksand, on firm financial footing, and gives you a leg up on your credit score.”
2. It enables them to track their spending.
When you make purchases with cash, you have no easy way of documenting how much spending you’ve done in any given month. Of course, you could take it upon yourself to write down every purchase you’ve made. However, when you use a credit card to do your spending, all of that documentation is done for you. Credit card users enjoy being able to receive written proof of exactly what they spent and when they spent it. It makes bookkeeping very easy.
“Credit card statements are a built-in expense tracker,” explains Amy Bergen on MoneyUnder30.com, “Your purchases get recorded online with all the essential information—where, when, how much, and how often you’re spending. Some card companies keep your spending records around for years.”
3. It helps to keep them safe.
Believe it or not, credit cards give consumers great peace of mind. The cards ensure that, no matter what, your money cannot be lost or stolen. Once cash is lost or stolen, it is generally gone forever. A lost or stolen credit card, on the other hand, can easily be replaced. By using credit cards instead of cash, a person is at a much lower risk of experiencing theft.
“If a credit card is stolen or lost, immediately call your card issuer and report the loss,” advises Bowles, “Federal law limits your liability for unauthorized charges and the sooner you report the loss, the better. On the other hand: Lose cash or have it lifted from your wallet? Good luck ever seeing it again.”
Do you accept credit cards in your store?
At Unity Payments, we believe that the easiest and most convenient way for merchants to accept credit cards is with the Poynt Smart Terminal. To learn more, please don’t hesitate to call us at 1-800-661-3761. You may also email us at info@unitypayments.ca.
