When the credit card holder pays her statement balance off in full each month, she can expect her credit score to go up. She’ll be more likely to qualify for better loans at higher amounts and be approved for activities that require good credit, such as renting an apartment. Additionally, almost all credit cards come with some kind of rewards program in which account holders earn points per every dollar spent, which can be redeemed for cash back, frequent-flyer miles, or goods and services. Such rewards may even be amplified if the credit card is co-issued by a bank and a retailer, in what’s called a co-branded card: points earned may be worth more when used at the retailer who issued the card.
If the account holder fails to pay on time, the unpaid balance may start to accrue interest. Because credit cards are essentially unsecured loans — meaning that no collateral backs up the debt if the account holder defaults on what she owes — the interest rate charged to delinquent accounts is much higher than other types of loans, like mortgages. Not only will the balance and interest have to be paid off, but late payments could actually lower the account holder’s credit score.
The major financial institutions that issue credit cards are Visa, Mastercard, Discover, and American Express. When banks issue credit cards, they rely on those companies to process payments.
"We accept credit cards” is a statement that you must have come across multiple times at various shops, grocery stores and other merchant outlets. This statement is generally accompanied by a few stickers (Visa/Master card etc). Credit cards have transformed the businesses and our lives to a great extent. A few years back there were just a handful of shops that would accept credit cards but today you will find that most of the shops accept credit cards. In fact, some shops (like those belonging to a big retail chain) not only accept credit cards but also supply credit cards. These credit cards entitle you for rebates when you use them at any of the stores of that retail chain.
With credit cards around, a lot of people have stopped carrying any cash with them or just carry a very small amount of cash with them. That means that any shop that doesn’t accept credit cards is potentially losing customers. In fact, this is one reason why almost every merchant accepts credit cards.
With the evolution of internet, credit card industry too took a new turn and up came ecommerce and shop’s. So, those stickers of “We accept credit cards”, moved on to the doors of internet shops. Thus came the era where almost every online-shop would accept credit cards (directly or indirectly). In fact, this was the premise on which the complete online-business industry was based. This is convenience at its best.
Then there are credit card deals that are linked to gasoline stores or big grocery chains. If you don’t have any specific needs, you might use a general purpose credit card that gives reward points on every purchase you make on your credit card. These points can then be redeemed for cash/rewards. Hence, this card could become a good credit card deal for you.
Good, for credit card deals, is really a relative term and there is no credit card deal which is equally good for all.
You can always check with your friend who has recently got a credit card deal, since that might cut down the time needed for researching/hunting-for a good credit card deal. However, it’s really a matter of evaluating your own needs. If you travel a lot and to far off places by air, a card that offers you good rewards/rebates/benefits on travel would comprise a good credit card deal. Sometimes the airlines themselves have their own credit card issuing/supplying company from where you can get a good credit card deal. For people shopping at a particular retail store or a shop, a good credit card deal would be a card that offers discounts, rebates and rewards on shopping. Again, the retail stores themselves might have credit cards on offer that could be beneficial to you.
You must have heard people say – ‘I got a good credit card deal’. So if you happen to be looking for a credit card at that moment, do you just go with what your friend has told you as a good credit card deal?
Let’s check what one can term as a good credit card deal. A credit card deal is good if it works for you. So, if the credit card fits into your lifestyle in a way that rakes in maximum benefits for you, that is a good credit card deal. The most important thing to realize here is the word ‘your’ as in ‘your lifestyle’. So logically speaking there is nothing like a good credit card deal. What it is – is good credit card deal for ‘you’ i.e. the individual who is going to use that credit card. This is because the lifestyle and the needs differ from person to person (and that is precisely the reason why every credit card supplier offers so many different kinds of credit cards). It might be true in some cases (where the lifestyle of two individuals/friends is similar) that the credit card deal which is good for one be good for the other too, however, this is just in a few cases.
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