Today is the age of plastic money. So, everyone should know about the usage of credit card which is also a plastic money. Let’s see here how to avail credit card and use it wisely.
A Credit Card is a plastic currency that comes with a credit limit up to which you can utilise the same. It is nothing but a loan which comes with certain charges and monthly repayments with interest. A credit card helps you in meeting short term financial requirements which need not have to wait till you get your salary. It is a cushion for you as in case of emergency you need not go tapping the door after the door for the money and can repay it once you get the money. Now-a-days, it comes with EMIs so that a fixed amount could be repaid every month.
You can even withdraw cash from your credit card from the ATM. But before credit card apply online, one must thoroughly know about what are all the charges involved in it.
Joining fees which is a one-time fee
Annual fees which is charged annually for the maintenance of your card
Interest fee is charged on the amount you have utilised so far
Foreign transaction fee is charged when you use your domestic card to pay charges abroad varies between 2.5% and 3.5%
ATM withdrawal charges for withdrawing cash from ATM and it has no interest up to 50 days
Late payment fees is charged when you don’t make timely repayments
Cheque bounce charge will be applicable to you in case your cheque is not honoured
So, when you credit card apply online you should be thorough of all the charges as it is you who is going to repay the charges. Use a credit card wisely.
