kabuli.org

My WordPress Blog

Learn here how a credit card works, easy and hassle free

Learn here how a credit card works, easy and hassle free

In the market, we find hundreds of cards and many times we do not even know how a credit card works, for this reason, many users find themselves with large debts in banks and financial institutions, in addition to paying high-interest rates.

So that the same does not happen to you, it is important that you know how credit cards work and the difference between credit and debit cards, in this way you will have better control of your finances and you will not fall into annoying future debts. In addition, if you have a good credit card management, you open doors with banks and financial institutions to obtain better credits and more money availability.

What is a credit card for?

Credit cards are granted by banks to start generating a loan history with them. A credit card works like a mini loan since at the time of using it, you don’t use your own money, if not money from the bank, which you have to pay back later; For this reason, they are very dangerous if they do not know how to use well because you can fall into big debts without even realizing it.

Even so, there are different types of credit cards and some are better than others, the important thing is that you consider what you are going to use the bank card for and that you do it with responsibility. When you decide to purchase a credit card, it is important that you look for which one is best for you; Therefore, on the internet, you will find a credit card comparator that helps you make a better decision because you can see the different quotas, interest rates and special benefits they offer.

Although credit and debit cards are the most used financial product in Mexico, currently their demand has dropped, as new generations are afraid of being heavily indebted and then reported to some credit institution; For this reason, we will show you the difference between credit and debit card, and its advantages and disadvantages.

The main difference between credit and debt is that with the debit you use your own money to make purchases and payments, because the money comes out of your savings account, in addition, you cannot defer purchases to installments; contrary to what happens with all credit cards, where you accept a fee normally between 1 and 36 months, time you have to pay for that purchase.

Advantages and disadvantages of a credit card

Advantages and disadvantages of a credit card

One of the main advantages of credit cards is that you can take a mini loan without interest if you pay it within the first 25 days, otherwise interest starts to run.

Additionally, you have advantages such as travel insurance, accident insurance, some accumulate miles, and also, paying with them they give you discounts and offers in several stores in the country, they are also international, so if you travel and do not have cash in that At the moment, you can use any of the types of a credit card.

To find out which credit card is better, you can do a quick search online, contact your trusted entity or use a comparative credit card.

Once you make the comparison of credit cards, you should also know their disadvantages, among them, it is found that you have a money limit, depending on the credit card they have given you, in addition, the interest rates can be high, especially if you differ your purchases at many installments, therefore, you will end up paying much more than the real value of the product. There are also the commissions and handling fees, which will be charged month by month and charged to the movements.

What are the best debit cards in the market?

What are the best debit cards in the market?

Actually all banks offer debit cards, maintenance is free and you only need a savings account to have it. If you have never opened a savings account, it is very simple, because no entity asks for a large number of requirements, only a valid identification.

If you do not know what the debit card is, it is the one with which purchases are made, but the money is debited from your bank account, it looks like a credit card, but its functionality is totally different. How to know if a card is a credit or debit, look at the plastic, and if you have any questions, ask your bank.

Alternatives to credit cards

If you are not sure about purchasing a credit card, due to your income, or high-interest rates, you can request a debit card. But if what you need is urgent money, we recommend a personal loan, you can get it online, and in just a few steps, you will have it in your bank account. Unlike a credit or debit card, personal loans can be taken only once and returned without a problem. Remember that a card is a commitment to a longer-term.

Leave a Reply

Your email address will not be published. Required fields are marked *