“Can I pay by credit card?” As often as not, the customer asking this at the checkout register sounds half-apologetic. The word “Credit” triggers mixed feelings in Switzerland. Many associate it with debt – something to avoid at all costs.
Unlike in a consumer's paradise like the USA, credit cards are hardly used in Switzerland. The majority of credit cardholders pay their bills on time, so interest is never even charged. Strictly speaking, credit cards are payment cards with many additional services such as a bonus program (like UBS KeyClub) and insurance services. But primarily, credit cards can help you control your spending. How so?
How do you spend your money?
Numerous personal finance books tell us to keep meticulous track of all our spending, from coffee to go to our fitness studio memberships. This, they claim, will show us what's digging that gaping hole in our budget and help us rethink our spending habits. But if you regularly pay by credit card, you can spare yourself the effort of this naïve and childish bookkeeping.
First, your monthly credit card bill already lists all of your spending. Second, UBS Digital Banking offers features such as the Personal Financial Assistant, which allows you to define a budget for each month. A quick check in UBS E-Banking or the UBS Mobile Banking App and you’ll see instantly where your money went.
Unlike your own, hand-scribbled record, the Personal Financial Assistant assigns individual expenses directly to certain categories such as “Gym” or “Vacations.” And if you need a more detailed breakdown, the transactions can be assigned manually.
Personalized notifications and limits