many people still don't understand benefits of credit card if used in the correct manner.

Pros
a) Bang for your buck - promotions/Discounts specific to issuing bank and also specific to Mastercard/Visa itself
b) Loyalty programs - earn points or rebates
c) Convenience & Safety - Don't need to carry cash around
d) Money management - you can automatically analyze where your money is going as everything is statemented.
e) Leverage on no interests period - which facility borrows you money without any interest for a month? Technically you can leverage on that cash to earn interest in a saving account first or for other investments
f) Fraud protection - For suspected fraud unauthorized transactions or even goods not received related claims, you can raise a dispute without having to pay first. Furthermore the bank is in the power to recall back the payment from the merchant, so it's much easier to "get" your money back instead of giving the merchant hard cold cash in the first place.

Cons
a) causes those with bad money management to overspend
b) Bad forex rates if swiping overseas (Foreign currency to US$ to Local currency billed to you)

please feel free to contribute to the list...

correct, but a silly thing to do... you overpay your credit card, you don't earn interest. As for your debit card, money sitting in the account earns interest.