Credit cards are a fairly convenient and much cheaper option than various loans or loans at outlets, which is why they have become so popular today. However, recently, as it has become very popular to use credit cards, banks decided to use it for their own purposes by introducing various additional fees for operations, even if a person decided to pay for a purchase with a credit card. That is why everyone should definitely know how to use a credit card.
The main advantage of such a card is that you get it only once, after which you can carry out a huge number of operations on it, since you have the right to use a credit card at your own discretion. For example, you can take one credit card at different periods of time, and then repay loans any number of times.
For each specific borrower, the bank determines a certain limit on the card - this is the maximum amount that is available to it. Such money a person can dispose of any convenient number of times.
Credit cards combine all the advantages of a short-term loan, which are issued by some networks, and various non-purpose loans, during which a bank does not ask any unnecessary questions about where exactly a person is going to spend money. The cardholder gets access to borrowed money much faster than any consumer who has decided to use an express loan.
Expensive delay
If you still do not know how to use a bank card, be sure to ask the bank staff about this. The card may have limited opportunities for shopping or other activities.
The repayment of credit card debt should occur approximately according to the following scheme: at the end of each month, the bank will send the user an SMS card or message to his email that he must pay the interest on the credit card, as well as the amount that he must pay. Often this percentage is from 5 to 10% of the total loan amount.
In some cases, the bank initially fixes the size of the payment, regardless of how much loan was taken. Delay in payments, just like in the case of a standard loan, is punishable by a certain fine. It is imperative that you immediately review absolutely every item in your contract and clarify exactly what amount will be charged when your payment is late, because using a credit card is quite dangerous if you know that you can delay. Today, late payment is one of the main methods of bank fraud.
And it’s worth mentioning right away that for the first payment, most likely, the amount will not be as significant as for the subsequent ones, so it’s also worth checking with the bank representative or in the clauses of the contract.
Interest free loan
Often, when applying for a loan, many banks prefer to give the client a certain period for repayment of the payment, before the expiration of which the loan amount will not be charged with various percentages. Depending on the bank, this period is, in most cases, from one to two months. It is also necessary to remember that if you are overdue at least one day after this period, then you will have to pay the interest that you would have accumulated during this time.
It is also worth noting that such fraud is carried out by banks under the veil of the name “interest-free loan”, when a person draws up a loan without interest, for example, for a year and a half, but then begins to pay incredible money, since he could use a credit card for free under an agreement, it turns out only a few months.
SMS banking
Immediately after processing the card, you should activate the SMS banking service. This service will ensure maximum security of your card, as you will be informed by telephone about absolutely every transaction with your account.