Is it safe to buy crypto with credit card or is it good to buy crypto with credit card? These are some of the popular questions asked by millions of people when debating what type of payment methods to use to buy cryptocurrency. With cryptocurrency being the milestone in investing in world wealth, a lot of people are interested in buying cryptocurrency. However, before taking any step in buying, there are certain things to consider which include what type of crypto to buy, what is the most secure cryptocurrency trading wallet and how do I buy crypto.
Due to the fact that purchasing or buying cryptocurrency can be done online, some of the most acceptable payment options include credit cards and PayPal. However, a lot of cryptocurrency trading wallets accept the use of credit cards as one of their payment options but it comes with a risk. Using credit cards to buy cryptocurrency is more convenient and faster than the use of bank transfers. The disadvantage of using credit is that it comes with unique risks and incurs high fees.
Is It Possible to Buy Crypto with a Credit Card?
Yes, it’s possible to buy cryptocurrency like bitcoin and others with a credit card on various crypto exchange platforms. Credit cards are one of the major payment options on various trading platforms like Binance, Coinbase, and others. Moreover, there are still other payment options like bank transfer, PayPal, and Google Play, but not all accept these.
To use a credit card to buy crypto, all you need to do is find the best-secured crypto exchange platform to buy coins or bitcoin. Binance still stands as one of the most recommended best-secured cryptos trading platforms to buy and store your coin.
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What Are The Different Types of Credit Card Fees?
The disadvantage of using a credit card to buy cryptocurrency on any trading wallet is that it comes with a lot of fees. Here are the following type of fees you might incur while using the payment option to purchase crypto.
- Transaction fees: yes, you’ll be charged a transaction fee on each exchange your make from the cryptocurrency exchange platform on your debit or credit card.
- Cash advance fees: mostly you’ll be charged cash advance fees which indicate borrowing cash directly from your credit card provider.
- Foreign transaction fee: if you buy crypto with USD via a credit card on a cryptocurrency exchange platform outside the United States, you’ll be charged a foreign transaction fee.
There are lots of fees to be charged when you use credit card to buy cryptocurrency on various crypto exchange platforms.
Why Should I Buy Crypto With a Credit Card?
Aside from the incurred fees that come when purchasing cryptocurrency with a credit card, there are reasons why it’s better to use a credit card than a bank transfer. Here is the benefit when one use a credit card to buy crypto
- It provides easy access to make payments without having to pay in cash. However, this is the fastest and most secure way to make payment in investing in crypto.
- Also, it’s fast and instant which means you don’t need to wait. Once the payment if confirm, your coin will be stored in your digital wallet.
- It’s beginner-friendly for beginners by providing an easy way where you can add a credit card as a payment option when purchasing crypto.
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Risk of Buying Cryptocurrency with Credit Cards
Also, you need to know that there are risks involved when you use your physical credit card for crypto purchases. The number one risk s that your credit card information can be at risk. Right now, there are lots of scam cryptocurrency exchange platforms. Hence, you need to be careful not to provide your financial information to those platforms.
Another risk involved is concerning your credit score. Credit utilization is simply defined as the amount of credit usage. Therefore, this poses an important factor in the scale of your credit score. The more credit usage, the higher your credit score, but too much usage can affect your credit score.
Where to Buy Crypto with a Credit Card
Here is the following best cryptocurrency trading platform where you can buy crypto with a credit card:
The following are the most popular and secure cryptocurrency trading platforms worldwide where you can buy bitcoin and others with credit cards.
Which Credit Cards Allow You to Buy Crypto
Just like I mentioned earlier, not all banks allow the use of credit card for purchasing cryptocurrency. However, some banks like the following mentioned below allow you to use the payment option to buy crypto from any trading wallet.
- American Express
- Capital One
- Wells Fargo
- Bank of American
- SoFi Credit Card.
- Brex Card.
- Venmo Credit Card.
- BlockFi Rewards Visa® Signature Credit Card.
- Upgrade Bitcoin Rewards Card.
- Bitpay Mastercard.
- Coinbase Visa.
- CRO Visa.
- Monolith Visa Card.
- Nexo Mastercard.
- Plutus Visa Card Swipe Visa.
- TenX Visa Card
- Wirex Visa
- Venmo Credit Card
- Bitcoin Rewards Visa
- Gemini Credit Card
How to Buy Crypto with Credit Card
These methods on how to buy crypto with a credit card is similar to all cryptocurrency exchange platform. Each platform has a payment setting on your account to add a payment option. Therefore login to your account and add a credit card as a payment option.
- Log in to your crypto trading platform.
- Go to your account settings.
- Then, select Payment or Add a Payment.
- Enter your debit or credit card details.
- Finally, click Save or Submit.
Finally, you can confirm your payment for the purchase of any crypto coin like Bitcoin, Ada, and others.
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How to Buy Crypto with Credit Card Without Verification
For a secure cryptocurrency trading app or website, there is always a new for verification. Because verification is used to secure your account from any unauthorized transactions. Therefore, only the authorized user can be able to complete the purchase. Do not buy cryptocurrency with a credit card without verification, this is not advisable for any investor. a