Credit Card Services And Why We Need Those Little Cards
Practically everyone in the United States has credit cards. From
teenagers to retirees, almost everyone has at least one credit
card. Everywhere we go we see ads - in the television, radio,
newspapers, billboard advertisements - on credit cards. Some
credit cards are even mailed directly to our homes. But what are
credit cards and why should you have one?
Simply stated, a credit card (or for many, just known as credit,
is a financial arrangement between you, the consumer or the card
user, and an institution (in most instances a bank), that you
have to borrow instant money from them and promises that you
will repay them back in the future. The institution agrees to
that it will give the money you need and expects you to pay them
over a certain time period, like on a monthly basis. Your
payment will include not just the entire money you owed the
group or institution but also an additional charge that is known
as an interest rate, if you are unable to pay your full balance
on time monthly.
Credit can provide various services, making it an indispensable
tool for today's consumers. These include:
Convenience. You saw this wonderful dress in a shop. Perfect for
tonight's party, you thought. But you don't have money right
now. Thanks to your card, you can buy anything you want right
now. Credit cards give you that wonderful allowance not to bring
that much cash and to order goods from catalogs. In addition,
many of the online-based shops and stores, such as Amazon.com,
mainly accept payment using credit.
Emergency Protection. For emergency situation, credit cards can
be an extremely helpful tool that could be your friend that
could pay for your emergency needs, like when your car conked
out in the road, or your mother gets hospitalized, or any
emergency situations that you need money but can't get it from
the usual means.
Putting you in the right budget. Want to keep a detailed record
of your expenditures? Credit cards can do that.
Security. In today's world, carrying large cash has become a
problem. If your cash gets lost, there's no way you can retrieve
it. Compared with credit cards, money cannot be returned back
when it got lost or stolen. If your card, for example, got
broken or it got lost or someone stole it from you, you can
always ask for a credit card termination or cancellation. You
will have another card, a new one that will replace it in a few
days.
Traveling. If you're quite a traveler, whether across the town
or country, or outside the US, it is relatively easier to travel
with a credit card.
When used responsibly, credit cards are can help improve our
daily lives. With cards, life could be so much easier.