A superhero is someone who has a special set of power to tackle a huge obstacle and help human race. We have found one such superhero for all your financial problems: CREDIT CARD!
Credit Card is a type of modern plastic money. You can use a credit card around the world. Banks offer different types of credit cards for different purposes. It’s always a feasible option to carry a credit card instead of carrying a roll of cash. You can use it emergencies or to avail expensive services. Credit cards come with a concept of buy now, pay later. In simple words, bank gives specific amount as credit or loan to the card holders to use for their utility. Customers can use this credit amount for their needs and pay back the borrowed amount to the banks before the next scheduled billing in lump sum or as EMIs.
Customers have to pay a specific interest rate on borrowed amount. They are also given a specific limit of amount in which they have to limit their use.
Exciting Feature of Credit Card:
- You can use a credit card for international purchases.
- You can use your credit card for any financial emergencies.
- You can pay your credit card bill in installments just like you pay off a loan. Banks charge interest rate when you decide to pay the bills via EMIs.
- Credit card is one safe option to transact online or in person. Instead of carrying cash, spending only the funds deposited in your account or paying cash on delivery for online transactions, you can simply use your credit card for all your needs.
- You can pay your utility bills online by using credit card.
- You receive SMS and e-mail from bank every time you use your credit card and when your bill payment is due. This helps you to pay your dues on time and keep a track of your spending.
- Many banks provide lost card liability coverage to the credit cards. That means if you lose your credit card or if it gets stolen, bank protects you from fraudulent transactions. But this happens only if you report the missing card.
- You can use your credit card as a debit card to withdraw money from ATMs. Banks charge nominal fees for the same.
- Many banks offer a 24*7 customer care service to their credit card customers. You can call anytime to their special help lines to solve your credit card issues.
- You can pay your credit card bills by cheque or by online payment. Banks offer a specific period of time to pay the bill after issuing the bill. This period is known as grace period. If you do not pay your dues before the grace period ends, banks charge you with interest or other financial fee.
- You also have to pay government decided service tax on each of the credit card transaction.
- You can make your transactions in domestic currency (Indian Rupee) or foreign currency (Dollar, Yen, Euro etc.)
Banks offer various types of discounts, reward points, gift vouchers, bonus points, lifestyle benefits, travel benefits, airport lounge access, air miles, cash back benefits etc.
