Just a small point of clarification here, the "record as credit card payment" option gives you the option to choose a vendor, but does not require it.

If there isn't any real difference between recording as a transfer and recording as a credit card payment, then why have the two options? Unless I just missed it before, the record as credit card payment option has not always been around. Surely there is a case where it is better, or was there really no point in making a new option?