After some debate between paying by cash or by credit card, I decided to pay $750 in cash to fix my car fan instead of paying $1,004 with a credit card to get points and peace of mind.
By paying $750 cash, I’d save $254 and still get a one-year warranty and receipt. By paying $1,004 with a credit card, I’d only get 1,004 Chase points equivalent to about $10 – $30 depending on how I use them.
The savings difference should make paying by cash a no brainer. However, I always like the convenience of paying by credit card along with its accompanying purchase protection.
I’ve bought some bad products or paid for some bad service before. Once you pay by cash, it’s harder to get your money back. But if I pay with a credit card, I’ve had the credit card company credit me back payment while they invested what happened for me.
How much would you be willing to pay to have someone fight to get your money back? I’m always going to be appreciative of a large financial institution for crediting me back $2,000 after my kidnapping in Beijing. If I was just carrying around $2,000 and had it stolen, I’d be SOL.