Cash or card? Which is the best option?

Excuse me, ma'am. Cash or card? Read the text and find out!

What are the advantages and disadvantages of paying in cash?

Of course, paying for a purchase in cash is great, but if the price is too high and you're not a Jade Picon, you probably won't be able to purchase that item or it will weigh on your budget.

Always buying and paying in cash is the ideal way to avoid debt, however, our income doesn't always allow for this feat, so this option ends up becoming unfeasible.

We will simply be left without the item.

Another disadvantage of paying with cash is security. It's not very safe to carry cash, due to the risk of robbery, theft, or even loss.

Another disadvantage is hygiene; a banknote that passes through several hands can accumulate thousands of disease-transmitting bacteria.

Not to mention that money can be a bridge for the transmission of Covid-19, despite its very low rate, it is important to be cautious.

The advantages of paying in cash will depend greatly on where you are. For example, if you live in a small, underdeveloped city, or even if you're there for a trip, you may have difficulty finding many establishments that accept credit cards.

Therefore, it is always important to count on cash or card, especially with money, in these cases.

What are the advantages and disadvantages of a credit card?

I always like to say that a credit card is an ally in our financial life, the villain is us who don't know how to use it correctly and lose control of the situation.

Therefore, I will highlight the advantages and disadvantages of using this item as a form of payment.

First, let's talk about safety and hygiene. With a credit card, you don't need to carry large amounts of cash to make purchases.

Therefore, you don't need to worry about the security of your money. Furthermore, there's no risk of losing it.

A credit card is less dirty than cash, firstly because you're the only one holding it. You can even use it to pay. contactless payment.

Other than that, it's possible to sanitize the item without damaging it. Click here and check out Mastercard's tips for properly sanitizing your card.

If you plan to make purchases online, a card is the most convenient option. If you choose to pay in cash, you can only pay with a bank slip, but not all stores accept this payment method.

With a credit card, you can also purchase items at higher prices and pay in installments.

I'll take this opportunity to highlight one drawback: interest. When you pay in installments, your purchases accrue interest. The longer you pay in installments, the higher the interest.

Therefore, it is important to always pay in small installments and choose cards with a low interest rate.

However, there's still an option to pay with a card, avoid paying interest, and simply enjoy the benefits. Want to know how? Stay tuned to the next topic.

Debit or prepaid card

Cash or card? Debit or prepaid card!

That's right, comparing the advantages and disadvantages of paying with cash or credit card, we conclude that it is better to pay with a debit or prepaid card.

Before highlighting the advantages, I will mention one disadvantage: they have no credit limit, so you cannot pay for your purchases in installments.

There is not much difference between a debit card and a prepaid card, so the advantages mentioned apply to both versions.

With these cards you don't need to carry cash, sometimes not even the card, because you can pay through the app via QR Code or Pix, however this functionality also applies to the credit version.

Plus, it's more hygienic, and you get all the benefits of a credit card, including cashback, a referral program, promotions, discounts at partner stores, and card brand benefits.

In addition, you have better control over your spending, as you only use the available balance in your account, so you don't run the risk of getting into debt or paying interest.

A prepaid card is seen as a credit card, so using it frequently can also help improve your credit score.

Shall we come to the conclusion?

So, cash or card? Which is the best option?

Based on our assessments, we concluded that a card is the best option, however, not necessarily a credit card.

If you don't want to get into debt or can't keep track of your expenses, always pay for your purchases in cash, but avoid carrying large amounts of cash. Use a debit or prepaid card.

With them, you can easily pay for your purchases, including online purchases. Simply generate a virtual card or use your account balance to pay a bill, for example.

Nowadays, many online stores also accept Pix as a payment method.

Conclusion

Certainly, having different options to choose from is great! However, it's important to evaluate which option is most advantageous and practical for each situation.

You can pay with cash or card, However, avoid unnecessary expenses and do not compromise your budget.

The problem is not necessarily with the items, but with who controls them.

Finally, don't leave yet, you might like to find out which digital account does not need to send documents.

Credit Market

Nara

Writer and aspiring Virtual Assistant. Passionate about the Digital Financial Market and its various aspects. Certified by Rock Content and HubSpot. ANBIMA student.

January 31, 2022