In modern working areas, salary of employee had risen to
large extent for corporate companies. Excess of money always tempt to spend
more on unwanted products and shopping. So even bank ready to provide excess of
money in credit for more than 50 days of period. Such activities of over
spending attitude were motivated by credit card facilities. How dangerous would
be such facilities provided by bank, which we are using it unknowingly. This
article would be eye opener for such Credit card culture victims.
High Interest Charges
One of the biggest disadvantages to using credit cards, is
the extremely high interest fees charged by the credit card companies. The
interest fees are always significantly higher than the cost of obtaining a
traditional bank loan. In fact, many credit companies charge as high as 20
percent for any purchases that aren’t paid in full at the end of each month!
The high interest charges are what keep the credit card companies in business
so you need to check the fees of each particular card before you apply for one.
Temptation To Overspend
Credit cards can be dangerous for individuals who are not
good at budgeting. The temptation is very easy to overspend because you don’t
need to pay for your purchases upfront. Regardless of how much money is
actually in your current account, you can charge purchases up to your maximum
credit card limit. Somehow signing a piece of paper at the time of purchase
doesn’t always feel like you are actually spending money.
This is exactly the mentality that the credit card companies
want users to adopt.
Unpaid Balances
By spending more than they can actually afford each month,
individuals end up paying very high interest charges each month. Because you
are only billed once a month, it is also very easy to forget about purchases
you have made using a credit card. You may end up with a very unwelcome
surprise at the end of the month once you see just how many purchases you
signed for during the past 30 days! Any unpaid balances are charged very high
interest rates that can quickly add up. If you continue to pay only the minimum
amount, your unpaid balance can often become unmanageable.
Credit Card Fraud
Another common problem with credit cards involves credit card
theft. Credit cards can always be stolen meaning that other individuals can
start to make charges to your account.
Credit card fraud is becoming an increasing problem due to
more sophisticated technology. Nowadays, you don’t even have to lose your
physical card for others to make fraudulent purchases. Criminals have devised
even more devious methods of obtaining credit card numbers from individuals.
This means you may not even realize your card has been compromised until you
receive your monthly statement. You need to check every monthly statement very
carefully to detect any suspicious charges.
Although credit cards are convenient, they carry very high
interest charges. Carrying an unpaid balance for an extended period can get you
into financial debt very quickly. You often have a greater temptation to overspend
because you don’t need to have money available at the time of purchase. Last
but not least, credit card theft is an ever-increasing threat that you need to
consider before applying for a card.
Costly Cash Withdrawals
You can use credit cards to take money from an ATM,
but cash advances with credit cards are much more expensive than ATM
withdrawals with debit cards. The Federal Reserve states that cash advances
often incur flat fees equal to a percentage of the amount withdrawn; when you
get money from an ATM, you could lose 3 or 4 percent right off the top. In
addition, credit card companies often charge higher interest rates on cash
advances.
Other Fees
Credit card companies can impose a host of other
fees and penalties that can push up the cost of owning a credit card. Some
companies charge annual account fees that you have to pay even if you always
pay your balances in full each month. Other common fees include late-payment
fees, over-the-limit fees and foreign transaction fees.
Conclusion
No credit card company or bank in the world provide its customers credit card not for service but only for profit. So how can you expect credit card facilities useful for consumers?. Many across committed suicides due to over credit card debt's. Some banks even threaten its customer to repay amount. There is such extreme cases since bank earns a lot from its penalties and debt. So be aware of credit cards, its advised to spent from hand. If u have a card just go through the bank credit card policy statement, before doing next purchase.
While it is important to have good writing skills, that is only part of writing a good article. Obviously you possess these skills, but you also have a special flair for informative writing. Well done.
ReplyDeleteWhile it is important to have good writing skills, that is only part of writing a good article. Obviously you possess these skills, but you also have a special flair for informative writing. Well done.
ReplyDeleteI normally wouldn’t be able to find such great content as this on other sites. You have done a great job with each unique point made on this topic. Thank you for your hard work.
ReplyDeleteThis article is informative, well-written and very interesting. I have truly enjoyed reading your own points of view and I agree with you for the most part. Now I have to think about this material.
ReplyDeleteMy page : personal fitness trainer
I don’t know how many readers are using this for information gathering, but I know I am. I like your points and agree with many.
ReplyDeleteMy Page : Ellicott City Restaurants
high risk merchant account Regular Pay provides payment solutions for merchants, which want to accept credit cards and other payment methods through the reliable Payment Gateway.
ReplyDeleteAnother common problem with credit cards involves credit card theft. Credit cards can always be stolen meaning that other individuals can start to make charges to your account.
ReplyDeletetoms outlet
ReplyDeletetoms shoes
tory burch outlet
true religion jeans
true religion
true religion jeans
true religion outlet
true religion jeans
true religion outlet
true religion outlet
true religion
under armour outlet
under armour shoes
valentino shoes on sale
valentino shoes
vans shoes
versace shoes
versace sunglasses
yeezy boost 350 balck
yeezy boost 350
yeezy boost 350
yeezy boost 350 black
yeezy boost 350
20160706xiongjie
OBAT PEMBESAR
ReplyDeleteVIMAX ASLI
Obat pembesar hammer of thor
JASA SEO
JASA WEBSITE MEDAN
JASA SEO MEDAN
VIMAX ASLI
VIAGRA ASLI
VIMAX ASLI
christian louboutin
ReplyDeletecanada goose outlet
coach factory outlet
coach factory outlet
louis vuitton handbags
michael kors handbags
kate spade outlet
oakley sunglasses
louis vuitton
ray ban sunglasses
20161208caiyan
I quite enjoy the benefits of what I read this, her tour was very beneficial for me.
ReplyDeleteby obatkuat.com
ReplyDeleteنقل عفش الكويت رخيص نقل عفش الكويت رخيص
نقل عفش حولي نقل عفش حولى
نقل عفش المنطقة العاشرة نقل عفش المنطقه العاشره
نقل عفش الجهراء نقل عفش الجهراء
نقل عفش الفروانية نقل عفش الفروانيه