here now gio benitez. >> reporter: high interest rates, late fees and hidden costs can make credit cards seem overwhelming. we uncovered some little-known advantages. >> hidden rewards. >> perks that many can put to use with the help of jason oxman. first guaranteed returns. >> the merchant says i'm not giving you your money back you have back up available to you. >> that backup, the power of the credit card company. some cards will fully refund your purchase if the store refuses. in most cases extending the return period 90 days. >> little pieces of glass sticking out. >> reporter: he dropped his iphone but was smart taking advantage of the second perk on the list, cell phone replacement insurance. >> i had to go get a notarized letter that said i didn't have any other form of insurance and they refunded my money. they cut me a check for $200. >> reporter: americans spend $1.6 billion every year on extended warranties. with your credit card, guess