These days, credit cards come bundled with a raft of benefits you can take advantage of as a cardholder. Traditionally credit card purchase protection only covered you if your goods were lost or stolen within a given time frame.
Now, however, there are even more free features for you to take advantage of, such as:
- Travel insurance covering you for your medical expenses, lost luggage and property damage
- Protection if your goods are stolen, lost or damaged
- Extended warranties
- Cover to get you price protection
Travel Insurance
If you have a passion for travel, you will love the complimentary travel insurance and purchase protection that typically comes with your credit card. These cover travel and items you purchase on the card including:
- Overseas travel insurance
- Interstate flight inconvenience insurance
- Transit accident insurance
- Rental vehicle excess in Australia insurance
While free insurance cover is not an invitation to launch yourself on a shopping blitz when you are on holiday, paying for that special purchase with your credit card can give you additional peace of mind.
Protection If Your Goods Are Stolen, Lost Or Damaged
One of the perks of a credit card is its ‘purchase security insurance.’ This provides cover for theft, loss, or damage for an extensive sweep of products. Moreover, it is valid for purchases in Australia and overseas.
Remember, certain limits may apply to the total amount you are covered against. Check your card’s Terms and Conditions for more details. Similarly, there may be a cut off date for making claims on your purchases.
Extended Appliances Warranties
Extended warranty insurance can increase the warranty cover on your treasured appliance that you bought using your card. There are usually eligibility criteria so your card’s Terms and Conditions for clarity. If your appliance is faulty or dies after the warranty period expires, your free credit card protection may cover it, yeah!
Cover That Delivers The Sharpest Retail Therapy Prices
Ever been shocked and dismayed to see that special something on sale just a few days after you took the plunge and purchased it somewhere else? Infuriating, isn’t it? Well, happily, many cards now come with price guarantee cover bundled into their package of free benefits these days.
Complementary price guarantee cover is a great way to ensure you don’t over-pay for your retail therapy. It covers items for personal use that you purchase using your credit card.
Naturally, some limits and conditions apply. Essentially, the concept works as follows. If you spot the very same item at a lower price shortly after you bought it, you can submit a claim for the difference between the two prices, usually up to a maximum price difference of $300, depending on your card.
Note: As every card offers different benefits, you should check the details of what’s covered by any complimentary insurance that’s included on your card.
What Is Purchase Protection And Why You Should Care?
What if you could be guaranteed to never miss out on that very special something you have lusted after for months at a sale? Now, thanks to purchase protection cover, you will always get the best price on your buys.
Some cards now allow you to claim back the difference in price if you buy an item then see it on sale later. Some cards limit your claim window to just one week, others allow you to claim up to three weeks after your initial purchase, while still others allow you to claim much longer.
If you buy some designer jeans at Myer, then the next week you see the exact same designer jeans on sale for $75 less. You simply contact your credit card company, use their credit card purchase protection and hey presto you will be refunded the $75 difference!
How fabulous is that? Even if some cards charge a small monthly fee for this cover, you will still come out well ahead, so it’s so totally worth it.
Even larger items like TVs, fridges, washing machines are included under purchase protection. This could save you hundreds of dollars if you pay with your credit card and keep an eye out for sales to see if your previous purchases happen to be on sale later on.
What is very cool is it is all tracked online. So, as long as you keep track of what you buy and how much you pay, it is simple and straightforward to make the perks of your credit card work for you.
What Is Covered Under Credit Card Purchase Protection?
We all know the devil is in the detail when it comes to the Terms and Conditions attached to your credit card. Sometimes it’s simpler to focus on what’s excluded, rather than try to work out what has been included, thanks to the impenetrability of some credit card policies.
Many credit cards are admirably clear about their exclusions. Generally, services, entertainment and sporting tickets and perishable items aren’t eligible. Meanwhile, boats and cars are usually ineligible for your purchase protection cover. Mostly they are covered by separate insurance policies.
Moreover, many credit card companies are reluctant to cover items that experience significant wear and tear in the normal course of their daily usage. However, some items that may be covered include:
- Clothing
- Consumer Electronics
- Home Décor and Garden Items
- Personal Care Items
How To Claim On Purchase Protection
For most claims under your card’s purchase protection cover, you’ll usually need to submit:
- A copy of your credit card statement showing the purchase
- An itemized retailer receipt clearly showing the purchase
- Provide details of your claim including proof of any subsequent lower sale prices
Make Your Credit Card Work For You
Purchase protection provides you with additional value and greater peace of mind when you pay for your purchases with plastic. Unfortunately, many shoppers have yet to learn to tap into the full benefit of their credit card purchase protection. Take the time to read the Terms and Conditions attached to your card and learn how to out your credit card to work for you.
Final Observation
Today’s credit cards typically come packaged with a host of bundled benefits. Initially, these were limited to travel insurance but recently we have seen these benefits expanded to include extended appliance warranties, protection if your goods are stolen, lost or damaged and purchase protection. Purchase protection offers sensible short-term cover for your purchases to ensure you always get the best deal going. As every credit and reward card offers different benefits, you should check the details of what’s covered by any complimentary insurance that’s included on your card.
