Credit cards have become an indispensable means of payment at the present time, without some transactions can not be settled. For some services, for example car rental – a credit card must be presented with many landlords imperative, which is accepted as a deposit substitute. According to the card provider, there are over 20 million acceptance locations worldwide. Credit cards are the most common due to its tradition in Anglo-Saxon countries. There are different variations for the credit cards. Traditional credit cards are issued free by many banks to the current account. Continue to learn more with: Kevin Johnson.
The ability to receive a refund the price of the year by achieving certain revenue limits, is often a price model with an annual fee. Customers with good credit and a corresponding income, can get higher-quality gold or Platinum cards. These provide a higher available framework – the holder often between 5,000 and 10,000 euros, integrated travel insurance with a reimbursement for baggage loss, cancellation or Disease abroad and more personal services and discounts. Prepaid credit cards on the balances must be paid, before a card payment is possible are a special form. The advantage of these cards is in better control of own expenses. With an own credit card – for example, by VISA, MasterCard, or American Express – the holder of the credit card has a credit available frame that mostly in addition to an overdraft is issued and will be gladly taken. This credit line, however, is interest-free compared to the overdraft for the use.
After a billing cycle usually for a period of 4 weeks – the entire credit card balance will be debited from the cardholder’s checking account. Then the credit card available through again to pay is available. For claiming interest or fees will only be charged if the repayment in partial payment, or if the available limit is exceeded.