The present we do need the things practical like credit card. but some people have credit card is a life style. And other people have a credit card because needed. In fact the credit card is useful for us. Suppose to make payments or reserves as required later. The people maybe use credit cards to pay the monthly bills. Must be smart if you have a credit card. Sometimes credit cards are very useful but sometimes the credit card can be direct to loss and difficulties for credit card holder.
What is a credit card?
the credit card is a card issued by banks to their costomers and can be used to make payments. This clearly different with the debit card. Costumer used a debit card to make payments or cash withdraw with the card but is available value of money owned. Debit card is an ATM card. While credit card the transactions are paid by bank before, than credit card holder pay to bank for credit card bill. Credit cards anf debit cards that have the same function can be used to make payments or transactions.
What type of credit card?
type of credit card the best known are : Master Card, Visa Card and American Express Card. On each card type has different limit. The limit is usually divided into normal limit credit cards, gold and platinum.
How to be smart use of credit cards?
Select the type of credit card
to select the type of credit cards one should measure the financial capability. Do not exceed the limits. By looking at your financial limits can be determined the credit card that fits. Smart chose credit card so as not to be in financial trouble later.
What proper use of credit cards?
Generally three functions of credit card, there are: shopping, bill payment and cash withdrawal at ATM. Use the appropriate limite our ability to pay off credit card bills. Consider fixed priority to pay in cash because there is no urgent. Ussually people use credit card for payment of purchases, online shopping, hotel or villa bills, plane tickets, dinner at restaurants, reserves when they are travelling and other transactions.
Problem in the credit card
Three things that are always close to the credit card, there are : Loan interest, annual fees and fines / pinalty charges. Loan interest appears to delay the bill at the appointed time. Annual fee is a fee charged per year. While fines / pinalty charges up being late paying credit card bills.