There are several reasons I use CC despite the fact that they charge about 3.5% to retailers.
-- I get 1-2% cash back
-- Extra safety: Last year, I booked my hotel rooms through one of the travel websites. I got the confirmation email which said non-smoking but when I reached to the hotel, the room was smoking and non-smoking vacancy were all suites at extra charge which I had to pay. The travel website refused to accept the fault initially denying that I had requested non-smoking and finally saying that non-smoking is just a request. I talked to my CC company and they refunded me the extra charge and reduced that from the original payment to the travel website. Will your bank do this?
-- Extra warranty: Once I had a $2000 laptop which broke 11 months later when traveling to India. The manufacturer told me to ship to USA location and told me that it can only be returned back to India and it will take 7-10 weeks. I decided to send them for repair when I came back to USA. Unfortunately, that was 12 months later and they refused to fix it under warranty. Fortunately, I had paid with CC which extends warranty by another year. Will your bank do this?
-- My CC limit is like my overdraft protection. Banks charge monthly service fee for this.
-- When my CC was hacked and someone tried to use it, I got a call from my CC company. They immediately canceled fake txn and issued me new card. Good luck if similar things happens with your bank money
I never carry forward balances, so never pay finance charges or interest. I still think CC fees are high, but the alternate solution of using ACH is good enough. Besides it will only increase retailers profit as they are not going to give you discount for using ACH.