There’s a reason 63% of millennials ditched dollars and cents in favor of the plastic option.

Opting for a credit card over cash seemed like the riskier choice a few short years ago. But, these days the plastic or digital option is rapidly becoming the preferred option.

So, how do you decide whether cash or credit is right for you?

Here are five fantastic reasons why choosing a credit card over cash could be more beneficial to your financial success in the long run.

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1. Budget Better

Keeping tabs on your spending habits when you use cash exclusively can be a bit of a headache.

When using cash, you have to keep a record yourself of how much you spend and what your spending on. And you have to do this all while keeping tabs on your receipts and making sure you’re staying within budget.

But, there’s a much better option out there.

With a credit card, your spending habits track themselves. You can access a full report of where your money is going whenever you want. And, with the help of budgeting software, you can set up automatic alerts to keep you in line.

2. For Convenience Sake

Cash and coins can be a pain to carry around.

Loose bills and piles of pennies can choke out your wallet and make paying for day-to-day transactions a time-consuming hassle. With a credit card, all you need to do is swipe, sign, and continue with your day.

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On top of that, a card is much easier to carry around than a wad of cash.

3. The Power of Dispute

Say you pay for a service with cash, and it doesn’t wind up meeting your expectations.

You can request a refund, but there’s a chance the company you hired will say no. At that point, you can either try to pursue expensive legal action or settle on leaving them a nasty review.

When you pay with credit, you can dispute the charge and stand a much better chance of getting your money back.

4. Cash Back!

When you spend $100 in cash, you lose that $100.

But, if you spend $100 with a credit card, depending on the kind of card you have, there’s a chance you could get one of those dollars back. And, while that may not seem like an extraordinary amount, those dollars add up.

5. Travel Safe

What happens when you lose a wallet with $100 in it?

If the wallet winds up in the hands of a good Samaritan, you may get your $100 back. But, odds are you’ll wind up down $100 and a wallet, which can be financially devastating for some people.

But, what happens if you lose a wallet with a credit card in it?

The moment you realize your wallet is gone, you freeze or cancel your card. And, if any charges pop up, you can dispute them. So, it doesn’t matter if your lost wallet finds its way back to you, you won’t lose any money either way.

Cash or Credit?

There will always be a time and a place for good old-fashioned dollar bills like you can get from cash loans. But, for the most part, when given the option between cash and credit, it’s best to go for your card.

Now that you know the benefits of using a cash or credit card, it’s time to find the most suitable one for you.

Check out our review of the best cards of 2019 or any of our other articles on choosing a credit card to help find the right option for your situation.