Purchases you should always put on Credit Cards

There are some purchases you should never put on credit cards. For example, using a credit card at a casino is a very bad idea. So is charging expensive events like lavish weddings and vacations you couldn't otherwise afford. However, there are some purchases that you should charge to credit cards, because of consumer protections and promotional interest rates that can save you money compared to a personal loan. Here are some examples of things you should put on your credit cards.

Services

When you have work done on your home or your car, you may think everything turned out fine when you pay the bill. But what do you do a few days later when your car starts making an unusual noise, or you realize the workmanship on your house was substandard? If you paid with a debit card or cash, you have little recourse. However, if you paid with your credit card, the service provider has to prove that the work was done properly. Service providers who take credit cards have to abide by the terms of the credit card companies, and you can initiate a charge back if the provider refuses to make things right.

Expenses while Traveling

While you should never use a credit card to finance a vacation you can't afford, using a credit card to shop while on a vacation that's within your budget is smart. Many credit cards include automatic travel insurance and car rental insurance, and some even have coverage for lost luggage. Additionally, consumer protections offered by credit cards can help you out if you discover that your hotel is not what you expected or some other vacation purchase goes awry.

Appliances and Computers

Many credit cards offer automatic extended warranties on top of the warranties that come with the product. Price protection is another perk of many credit cards. If your card offers price protection and you find a lower price on the identical item within a certain time period after your purchase (usually 60 days), you can be reimbursed for the difference. Additionally, if you take out a credit card with a long 0% purchase APR, you can buy that computer or refrigerator and have a bit of breathing room for paying it off. Just be sure you don't exceed the 0% purchase period even by a day, because interest charges hit hard after that.

Recurring Purchases and Fees

If you use your credit card to pay for recurring charges, such as fitness club memberships, consumer protections can help you out when you experience a customer service problem. For example, if you can't get your gym to stop charging you a monthly membership fee even though you've canceled your membership, you can ask your credit card issuer to stop the payments.

Fragile Items

Many credit cards offer purchase protection so that if you happen to drop your new laptop or break that expensive crystal vase you have some insurance protection. Generally, this protection is secondary to your homeowner's or renter's insurance, but it can compensate you to some extent, whereas if you had paid cash you would simply be out of luck in many cases.

Sources:

http://www.ftc.gov/bcp/menus/consumer/credit.shtm
http://www.creditcards.com/credit-card-news/six-expenses-never-put-on-credit-card-1267.php
http://www.creditcards.com/credit-card-news/6-purchases-always-charge-credit-card-1280.php
http://www.fdic.gov/consumers/consumer/news/cnsum09/Summer09BW.pdf