Credit cards are gaining more and more popularity among Russians. They have a number of advantages over classic loans. So, after the loan is repaid, the money can be used again within the credit limit.
It is necessary
Banking programs for credit cards or loan agreement
Instructions
Step 1
With the variety of bank offers on credit cards, it is important to make the right choice. The main parameters that should be followed when choosing a credit card are the size of the credit limit, as well as the interest rate on the card. The available credit limit is determined on an individual basis based on the borrower's income. And the interest rate largely depends on the package of documents that is requested from him. The higher requirements are imposed on the borrower (in particular, the need to confirm income and seniority), the lower the interest rate. Specify how you can reduce the interest rate. Sometimes this requires additional documents. For example, a passport with a stamp about going abroad or a PTS.
Step 2
The second thing that adds up to the cost of using a credit card is the fee for issuing the card and the cost of its annual service. Most banks issue cards for free, and the cost of the annual commission is different for everyone. It depends on the bank and the category of the card. Premium cards always have a more expensive annual service. They should be ordered only if you really plan to use the additional benefits of the card (personal consultant, discounts in partner stores, etc.), or expect an increased credit limit.
Step 3
Pay attention to the grace period and its duration. Many credit cards today have a so-called interest-free period, during which you can use borrowed money without paying interest. As a rule, it is 50 days, but in some banks it reaches up to 100 days.
Step 4
If you are planning to withdraw cash from a card, then look at the amount of the bank commission for withdrawing money through an ATM. Unlike debit cards on credit, this option is always paid. It is worth choosing a card with the lowest fees. Also check if cash withdrawals are included in the grace period, sometimes it only applies to payments in stores by bank transfer. In this case, you will have to pay additional bank interest in accordance with the bank's tariffs.
Step 5
Also analyze the credit card offer for additional fees. In particular, for SMS notifications on the amount owed, as well as for remote access to account management (Internet banking).
