Self-made millionaire Ramit Sethi uses these 3 credit card hacks to save time and money

You should be taking advantage of these 3 secret credit card hacks
You should be taking advantage of these 3 secret credit card hacks

Many people know the usual benefits that come with owning a credit card — from getting cash back to accumulating points that can be redeemed for travel or a shopping spree.

But, Ramit Sethi, a self-made millionaire and personal finance guru, reveals more ways some credit cards can help you save time and money. 

"[There are] a lot of benefits for credit cards that most people don't know about," Sethi, author of "I Will Teach You to be Rich" and the founder of, tells CNBC Make It.

Recover money for damaged or stolen purchases

"One of my favorites is something called purchase protection," says Sethi.

Basically, if you buy something with your credit card and that item then gets stolen or damaged (or, sometimes, lost) within a few months, you might be able to recover money from your credit card company.

"This happened to me," Sethi tells CNBC Make It. "I bought a brand new laptop, I'm sitting there in the coffee shop two weeks later — boom, I drop my entire cup of coffee directly in the keyboard. Oh god, why did I do that?"

When Sethi went to get the laptop repaired, it "cost a ton of money," he says. "I called my credit card [company], they said 'Send us the bill.'"

"So, think about that," Sethi says. "If you buy something and it gets destroyed, lost or stolen within 60 to 90 days, your credit card [company] will often reimburse you for the full [cost]."

Credit card companies do place caps on how much money customers can get per purchase, ranging anywhere from $500 with Chase Freedom to $10,000 for cards like the American Express Premier Rewards Gold Card, according to personal finance blog The Points Guy.

Get extended warranties for free

"Another benefit is extended warranties," Sethi says.

Personal finance experts are often very skeptical of consumers buying extended warranties to deal with possible repairs down the road, and Sethi says credit card owners shouldn't pay for them.

"If you buy an item with your credit card, [the credit card provider] will often extend that warranty. They'll often double it for up to a year," he says.

Some credit cards will automatically give you as much as two additional years on a product warranty when you make a purchase with your card, as CNBC has noted previously.

"That means a lot of the money you're spending on extended warranties — don't spend it, you can save it," Sethi says.

Use the services as your our own personal assistant

One more credit card hack that Sethi recommends is to take advantage of any concierge services your card might offer that can help you plan a trip, find concert tickets or even land a sought-after restaurant reservation.

"This is really cool," Sethi says. "You can call [the concierge service], you can ask them to book certain reservations for you, and they will do the work for you. So, if you don't have your own personal assistant, call up the credit card, make them do the work for you — they're happy to do it."

Cards like Visa Signature or World Mastercard have such perks.

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