Why those who use credit cards regularly must be VERY CAREFUL!!
Posted on: 09/Aug/2021 9:19:34 AM - No. of views : (3398)
In this fast paced world, many use credit cards!!
It is worthy to mention here that credit card is a payment card provided to the users to enable them to pay a merchant for goods and services depending on the cardholders or users accrued debt. For completing the money transactions in an easy manner, credit cards are used mostly.
Those who use credit cards would get certain advantages like getting money faster plus getting loans, cash backs, discounts, EMI�s without interests etc. It is important that people must use the credit card with proper care in a sensible way or else they could be facing debts and other issues etc.
To escape from the debt burden due to the credit card, people must follow these. It is important to pay the credit card bills completely or else the person would face issues. Many companies have been collecting 24% to 49% interest for the outstanding amount. The person would have a burden of credit card debt if he or she doesn�t pay the outstanding amount.
Many think that the additional charges could be avoided by paying the minimum outstanding amount (mentioned in credit card report) and this is wrong. Truth is that it would be possible to save up to Rs 1300 per month by paying the minimum outstanding amount. It must be noted that the CIBIL score of the person would be affected by this. It is known that that CIBIL score is a three digit numeric summary of credit history and the score is obtained by using credit history found in CIBIL report. Point is that charges would be collected from the person who has not paid their outstanding amount.
Persons must be careful when they use their credit cards to withdraw their money at the ATM�s because they would have to pay more charges. The charges would be collected until they pay their amount. A fee of 3.5% is being collected by the companies for this. Hence, people have been advised to avoid using their flip cards at ATMs as much as possible to withdraw their money. Point is that a person withdrawing money due to unavoidable reasons must pay the money soon.
