Recently, payment for goods and services using a credit card has become more and more popular. If it has an automatically renewable grace period, the use of a credit card is more profitable and convenient than, for example, wasting time on obtaining a consumer loan.
Let's look at how a credit card works using the example of a store purchase.
We make a purchase by paying for it using a credit card or cash previously withdrawn from this card. Your credit card will be charged the amount required to pay for the purchase. As a result of the operation, the amount of cash on the card is reduced by the purchase amount.
The next time you deposit cash on your credit card, the debt is automatically paid off and the amount on the card increases again.
Again, you can continue to pay for services and goods using your credit card without any problems.
In order for you to always be aware of the availability of funds on the card, you can use the provided free SMS-informing service, where all information about the operations performed with the help of your card will be presented in detail.
The period from the moment the purchase is made with a credit card until the penultimate business day of the next month is called a preferential period. This period will be valid only if there is no debt on the card.
It is important to keep in mind that in case of withdrawing funds from a credit card, the grace period will not be calculated. It comes into force only when payment for goods or services is made.
Today in Russia the greatest demand is for foreign currency credit cards, where the main currency is rubles. More often than not, most banks refuse to charge customers who use their credit cards a service fee throughout the year. The interest rate on credit cards is 25% per annum on average. To get a credit card, you need to contact the bank and fill out an application for its issue.
First option:
- pay for the purchase by paying with a card;
- cover the debt until the end of the first payment period;
- you get the opportunity to use money from your credit card for free thanks to the grace period of crediting.
Second option:
- pay for the purchase by paying with a card;
- due to a number of circumstances, you repay the debt in parts. In this situation, by the end of the first payment period, you are required to make a mandatory fixed payment and accrued interest to your credit card account (most often the amount of the mandatory payment is equal to 10% of the outstanding amount, excluding overdue funds).
It is up to you to decide whether it is good or bad to use a credit card, but it seems that until you try to experience all the advantages of this system yourself, it will be difficult to objectively evaluate.
