Credit and debit management By the phoenix
Advantages and disadvantages of using credit cards
Table of Contents
What do you understand about the advantages and disadvantages of credit cards ?
THE USE OF CREDIT CARDS IS INCREASINGLY COMMON TODAY. AS A CONSUMER IT IS IMPORTANT FOR US TO REALISE AND UNDERSTAND THE ADVANTAGES AND DISADVANTAGES OF USING CREDIT CARDS.
The advantages of credit cards usage:
Easy to use for cashless payment
Provides repayment service with interest free within 20 days from statement date
Gives rewards, gifts or promotion upon usage or application
Provides cash withdrawal service from ATM anytime
Does not require us to carry a lot of cash
Convenience of buying goods and services online
Easy to overspend exceeding repayment ability
Impose preliminary fees on cash withdrawal
Incur charges such as annual fees, finance charges(interest), cash advance interest charges and late payment charges
High risk of credit card fraud
The disadvantages of credit cards
Some credit card imposes annual fees
Some stores do not accept credit payment
Sources we uses
H O P E T H I S C A N H E L P Y O U U N D E R S T A N D T H I S T O P I C V E R Y W E L L.