Financial Tip of the Day:
I love shopping online. I love it SO much that that I’d venture to say that I do it just about every week. And I’ve learned one important thing when doing it: ALWAYS use my credit card.
In fact, there are two situations especially, where I ALWAYS ALWAYS ALWAYS use a credit card while shopping online (and urge my clients to do the same):
- When buying from a company for the first time
- When buying something that costs more than $100
Using my credit card when shopping online has saved me tons of money. Not in the “traditional” sense of saving money. But in the way of helping me GET BACK my money when there’s an order error, or when I’m dealing with a vendor or company lacking in integrity.
For example, this past week I purchased an item from a company that I’ve never bought from before. As is my policy, I used my credit card. When I got my order, the wrong item was shipped to me. This particular company has a very STRICT no refund and returns policy. Except when it comes to shipping errors on their part. Which this is.
So far, when I’ve reached out to the company, they have been slow to respond. And when they did, their response was terse. The bottom line is, if the company refuses to send me the correct order or return my money, I will be out more than $100. Honestly, I’m not big on losing money – ANY amount – but definitely not $100+. And I’m sure you’re not either. Right?
Needless to say, I don’t plan on ever buying from them again (based on the level of customer service they’ve exhibited so far).
But most of all, I am SO glad that I used my credit card to make the purchase.
Why, you ask?
Because I know that if the company refuses to resolve the issue fairly, I can rest easy with the assurance that other resolution options are available to me through my credit card company. Such as, disputing the charge.
With a debit card, the money would have been immediately taken out of my account. And the likelihood of getting my money back or undoing the transaction DRAMATICALLY decreases (even if I disputed it with the bank).
Long story short: Save money by not losing hundreds (or more) when an order or service delivery goes sideways. Use your credit card when shopping online to protect your money – and get it back – when you rightfully should.
What about you? How do you usually pay for your online purchases? Have you had online shopping experiences where you lost money?