Credit Card

September 27, 2008

About Credit Card



There are many definition that what is credit card in simple words we can say that a bank issued card that allows a consumer to purchase services or goods on credit and the interest is being charged in the outstanding balance. It is a financial instrument which is having used more than once to buy product or to borrow money and services on credit ,it is also being defined as a plastic card that gives access to a line of credit. User are limited to how much they can charged , but they not required to reply the full amount each month, instead the balance accurse interest with only a minimum payment due.


It is a card with a coded strip that, when singed entitles its bearer to a revolving line or credit, whose size and interest rate is being defined  by the browsers incoming and credit report. A revolving credit amount usually managed by a bank credit amount and interest rate are also being set by the bank.





Compare and check a Credit Card before you choose it

Before you make your decision and choose a credit card, you should always compare what each company or bank has is offering u. If you get an offer in the mail for a credit card, you should go on the Internet search more, also make sure that you read the fine print as well, to see if there are any types of hidden fees or other costs associated with that card. Many times, with offers in the mail, credit card companies or banks will try to sneak hidden fees and costs in there.

Among the many options available to you, you’ll have three primary choices for your credit card – Visa, MasterCard, and American Express. These three giants are the leaders in credit cards. Visa and MasterCard don’t issue the cards themselves, they have banks and other companies issue on their behalf. American Express, or AMEX, is the only one that does everything themselves. AMEX issues their credit cards, maintains their own networks, and doesn’t use any type of third party.

When you start to compare offers, you should make sure that you look at the APR and the fees. The APR is very important, as this will tell you your interest rate. You want to get the lowest APR possible with your credit card. If you look at a credit card that has an unusually high APR, you should immediately rule it out. Credit cards that come with high APR rates can easily lead you on a roller coaster towards credit card debt. No matter how good your credit may be, high APR rates can leave you with charges that are really difficult to pay.

If you like to travel, you will probably want to choose either Visa or MasterCard, as they are accepted all over the world. American Express is the least accepted of the three, although the company is upgrading their networks every chance they get. Before too long, AMEX will be accepted virtually everywhere. Right now though, AMEX is not accepted in all areas of the world.

Discover is another type of credit card, although it is not near as popular as the three above. Discover does have some great benefits to offer you, although it is not accepted in other parts of the world. Most people who have Discover credit cards stay local and use their cards in the event of an emergency. If you don’t have a credit card and have been thinking about getting a Discover card, you should really think about that decision and choose either Visa or MasterCard instead.

All in all, there are a lot of credit cards to choose from. That final decision though, is entirely up to you. There are a lot of great companies and banks out there, although it’s up to you to find the best credit card for your needs. You can choose to go with a company or bank that’s local to you, or get online and look for your credit card. The Internet can be a great resource for credit cards, as long as you know what you want. If you know what you want before you go online – you will save yourself a lot of time and money.

Also it is a very important thing to consider about the security provided for the card holders. Because we cannot see the total security protection with every offers which is being provided to us, only some specific offers which is being provided is seen to ensure the safety of the card members. It’s very important to ensure that the card provides 0% fraud liability. There should be absolute fraud protection against unauthorized use, online and offline. Some recommendable offers on these categories are BoatU.S.™ Platinum Plus® Visa® Card and Financial Rewards® Visa® Platinum Plus® Card are considerable products, but there are still more products offering this security services available in U.S market. The most important thing keeping in the mind before applying for a credit card, because it has been estimated that more than 100 million Americans carrying monthly credit card debt. There are possibilities that even if you make the payment on time, the credit card companies might charge you. So one should be careful before applying for a credit card.