Credit Card Usage Guide
Credit Card Usage Guide – Credit card is a handy tool for getting money and cashless payment. However, its owner need to know not only advantages but also disadvantages when using.
Credit Card Usage | Advantages Of Credit Card
Credit card grace period can be called the most significant advantage of this card. An average of 50 to 60 days period time is available to use the bank money for free. And only after this period if the loan is not repaid, will have to pay for the funds in accordance with the applicable interest rate. Another positive point is that you can use the credit limit not once but repeatedly. Just back debt – and as soon as you can put into circulation of new credit.
The client gets the card can safely use the loan at its sole discretion to pay for any purchases and services, withdraw cash, and all without having to report to the bank for purposes of the loan. It is noteworthy that when paying for goods and services by credit card can save money. Banks actively launch co-branded projects with retail chains and large companies, allowing customers to get additional discounts.
Some credit cards are endowed with a very reasonable feature called cash-back. It implies a certain percentage of the refund amount spent buying back at the owner’s expense.
And in the end all the pros of credit card can only add that no one forbids a person to issue cards under several different purposes. In this case, the customer will always have at hand the means for any occasions.
Credit Card Usage | Disadvantages Of Credit Card
All of these advantages, undoubtedly contribute to the continuous growth in demand for this bank product. But just consider them when making decisions about choosing the credit card is fundamentally wrong. As with any loan offer from credit cards have a number of drawbacks.
- First, interest rates on credit cards are traditionally higher rates on consumer loans. The difference can be up to 5 or even 10 or 15 percentage points.
- Secondly, for the issue and annual service fee in most cases have to pay a commission. Yes, and cash withdrawals at ATMs will incur additional costs in the form of the same commissions which may be up to a few percent of the amount of money taken. In addition, the grace period in the number of banks may not apply to cash withdrawals.
- Third, credit cards must be used very carefully, fraud in this area has not been secure yet. Every year, thousands of law enforcement agencies identify crimes related to credit cards.
All these facts do not go to any comparison with the psychological aspects of the use of credit cards. These can be very easy to get used to, become dependent on them and did not even notice how the debt will exceed your financial opportunities.
How To Activate Your New Credit Card?
Credit Card Usage Guide – After getting your new credit card on your hands, the next step is the activation. Card activation is necessary for the removal of restrictions on the performance of operations on it, which sets by the bank when issuing the credit card. Activation is free. Until the card is not activated, it will be impossible to use.
Some banks sends credit cards in the mail. Activation of a credit card, thus obtained, is considered by banks as acceptance condition of its provision and maintenance.
Having received such a card in the mail before you activate it, first carefully read the information contained in the accompanying letter, contract, etc. Terms and activation procedure should be described in the letter.
Credit Card Can Be Activated In Several Ways:
- To Activate the credit card, you can use the ATM: Find any ATM, insert the receiving slit your credit card (hologram up and towards you), and then follow the menu by clicking on the desired side keys or the numeric keypad. Hint: If you get lost in the menu and want to discontinue communication with ATM, to start over, press the [X] (Cancel) and take out a credit card receiving slot. better to use an ATM, standing in the bank and not on the street. First, in the office there is always one to turn to in case of technical failure, and secondly, there are no elements guaranteed spyware removal information.
- Credit card can be activated through telephone answering machine. You need to make a call from a phone to the bank assigned phone number, and follow the virtual voice guidelines to activate your credit card.
- Activate the credit card by customer care service : Make a call to the customer care number assigned by the bank, and answer to all the specific questions and ask the operator to activate your credit card.
- Activate credit card with SMS commands. With the number assigned by the bank, you need to send an SMS to the specific number with command: ACTIVE + XXXX (where XXXX – means the last 4 digits of your credit card Pin).
How Do I Know If Activation Was Successful
Depending on the manner in which the user chooses to activate the credit card, he should get a message about the successful operation: the successful message on the ATM monitor, SMS alert or voice confirmation of the operator.
And, Do not forget to have a new credit card pin number by changing the default one which was provided by the bank.
After activation, you must sign in the card on the reverse side of it in the place signature of the card holder.
Credit Card Usage | How To Close A Credit Card?
How to close a credit card and save yourself the trouble is the necessary things to learn every credit card holders. Learn how to close a credit card properly! because this problem is often inconvenience to customers, especially when unscrupulous bank did not immediately reports that the card is not actually closed.
There you can read reviews on some forums on the Internet, as people “fall” with credit card and horrified how many mistakes they make! In the first place there is a view of psychological error: they put the card and forgot about the closing terms.
Credit Card Usage Guide – In this article you can get the information on how to close a credit card properly.
Well this is certainly a step banal, but it is necessary. Especially since you can not know that you have formed a debt. For example, if you just activated the card, but do not disable the default sms-pay information. Then you will be frustrating to know that you have a debt, which is also the interest accrued. So call or visit your bank to find out if credit card debt. And only then can cut it and throw … But it is better to give to the bank, if there is such a possibility.
Writing an Application for Closing
Be sure to specify which documents should write to close the credit card. Some banks will need a statement in the other – can be two documents. For example, one on the closing of the contract you signed with the receipt of the card, and the second – to close the card account, which are lending money. This step ensures you almost 100% probability of execution of your decision. This step is performed 20 percent of all borrowers. To ensure your peace of mind. You need before taking the credit, get a copy of the application. And within a week after writing a letter to the bank where you took credit card and specify whether the closed credit card bill. Because the limit is not closed immediately after sending the statements letter, and for a certain period, which is different from the banks. Also, incidentally, you can specify it at a financial institution employees.
Credit Card Usage | Close the card
This is the last step of how close a credit card. After the bank reports that your statement executed and closed the card, you will need again (do not be lazy!) Go to the bank and get a certificate stating that the card is closed. And then you can rest easy.
Well that’s all. Hopefully, now you know how to close a credit card correctly to avoid any problems.
How To Protect Your Credit Card?
Credit card holder is not immune from its illegal theft of data, which can lead to loss of money from the account. This possibility can be reduced to zero if you follow the basic safety precautions:
How To Protect Your Card?
- Physically protect card: In most cases, credit cards are stolen along with purses, and so where the money is. It is clear that keeping a card in a hand bag.
- Follow the map: When shopping in stores, do not let staff go with your card from the angle of view. All payments must occur only in person.
- Keep silence: Do not disclose PIN code to others. Remember that the password does not have the right to request sellers shops and bank employees. If someone or something other than the ATM and payment terminal, ask for a PIN code of your card – no doubt, it makes a crook. Experts advise not to keep the document of PIN code with Card, and immediately destroy it after storing or encryption.
- Avoid witnesses: When using the card at ATMs try to avoid random onlookers who can peep pin or divert attention to during the completion of the operation to steal money or card. If you find an ATM queue or suspicious people, it is best to wait for a while.
- Check the ATM: Often fraudsters steal card data with fake ATM or special devices that are attached to them. Use only reliable devices installed in stores, business centers or banks themselves. Treat with suspicion ATMs placed in the recesses. If there are doubts about the authenticity of the terminal, then call the bank to which it belongs, and verify its address. When you fear, avoid contact with the machine like that.
- Purchase in reliable stores: Stealing data is often the case with online payments . This is done by viruses or purchases through the scam sites (some of them may be similar to the known resources). It is recommended to monitoring viral protection through special programs and a careful approach to the selection of vendors in the network.
- Keep a few cards: One of the best ways to protect your money is to use multiple cards at once – so you distribute all sorts of risks. Suppose that one of the cards will be is a big part of the funds, and the other card for everyday purchases which may have a few money – this money is enough to shop online or in retail stores.
Using these guidelines, you will greatly protect your card from financial losses. Have a good shopping!
All the credit cards are differ in name, benefits, cost, maintenance, etc. When choosing a credit card, you have to pay attention to the following guidelines;
Choosing The Right Card
- Interest rate: This is the interest of the loan, which is paid for using money by card holder to bank. It is understood that a low percentage of interest is best to choose a credit card.
- Commission and other payments: This cost of services for a variety of operations on the card. For example, banks often charge higher fees for withdrawals at ATM.
- Credit Limit: Determine what the maximum amount you want to borrow from the bank. All cards have a limit on the issuance of credit. Limit is determined based on your ability to pay. If you have the higher in income, you may get the higher in loan. With too much limit is the danger of losing control over spending and getting into debt. To avoid this, watch your spending and timely return the debt.
- Grace period: This is a period of time during which the card holder can make free use of the borrowed funds, and which offer to make only the minimum payment to bank. On average, it is equal to 50-60 days. After completion of the grace period, the bank put interest on the used money.
- Having additional options: For any card holder is very important to monitor the expenditure of funds, for this, it is worth to activate the SMS alert about the movements of money in the bank or online banking. Also, it is useful to the availability of bonus programs – from the payment of goods and services, you will receive various benefits, such as collecting points to pay for purchases.
To select the appropriate card, you must be aware of those parameters above.
How To Get A Credit Card?
In most cases, the citizens aged 21 to 60 years old may get the card. To receive the card you must fill out an application, in which you need to provide personal information, contact information, information about the work, income, etc. For identification you need a passport or any other photo proof. And the income level of yours will directly affect the credit limit.
There are alternative ways to order credit cards. For example, filling out an application through the website of the bank or a call to the bank. These features are provided by many banks, but not in all banks.
After receiving an application, the bank’s specialists will check the data and make a decision about issuing card. Usually it takes 5-7 days. If you want to get a card faster then for the prompt release within 1-3 days you will need to pay extra. You can take a credit card from a bank representative by doing customer signs in the receipt of a special document. This holds the all the rights and obligations of the cardholder.
After obtaining a credit card need to activate. This can be done by the PIN when using a card at any ATM, make a purchase at the store, calling the help desk. From this point you can use a credit card at your discretion.
How To Use A Credit Card Overseas?
You can use your credit card anywhere in the world where it operates a credit cards payment system. They are accepted in almost all spheres of trade and services.
In this case it is always possible to withdraw money in cash. Another plus – it is no need to declare the amount imported by the card. In addition, foreigners credit availability – it is also a guarantee of solvency of the client.
A Credit Card Overseas?
Travel abroad with the best credit card, which can make payments in Dollars or Euros. The fact is that when paying in native currency of card, the purchase amount will be converted into the currency of the country where the purchase are made. And for this process the owner of credit card will have to pay the commission, and it is at least 0.5% of the transaction amount.
The same goes for withdrawals, but here in addition to the commission for converting your money the bank will charge you interest for money withdrawals in abroad, and your bank may charge more interest for cash withdrawals in the foreign ATM.
Tariffs for the use of a credit card in abroad is prescribed in the contract with the bank and can be up to 2-3% , while someone else ATM can also be charge 3% of the withdrawn amount, it is depending on the bank. Credit Card Usage Guide.
If your bank has established daily limit of cash withdrawal in your country, it will remain the same in abroad. If, of course, the owner does not seek pre-credit card to the bank to increase the limit. But this must be done while still in the native open spaces. This also applies to the limit on the number of transactions per day. The average threshold of them is 20 transactions per day.
But in the case of card loss it will be in difficulty to its owner, it will be possible to restore only upon returning to home. In such cases, only a few banks provide a urgent cash withdrawals anywhere in the world. It is important to remember that the first thing a client who lost his card, lock it first by calling your bank.
In general, use of a credit card in abroad is very convenient, just before you take it on holiday with a good worth to examine the conditions of the contract with the bank, that no commission came as no surprise. Credit Card Usage Guide – And about the cash should not be forgotten, lost credit card and be in a foreign country without a dollar in your pocket – it’s the worst addition to the long-awaited vacation.