The Advantages Of Credit Cards

1001 Words5 Pages
CREDIT CARD The modern world is surrounded with a technology. Technology has a great impact on everyone’s life. Without technology, the survival is not easily possible. Credit cards was one of the new invention and part of modern technology. Credit cards are not only plastic cards but, it also acts like a money. In the modern business world, credit cards does not effected only the businessmen but also the customers. Credit cards has a very great importance in the era of business world. Credit cards performs such various actions. Credit cards are the reasons for the interaction of people that ; how it works, what are the pros and cons of using it, and how it promotes banking. Credit cards are actually a form of bank loans. Credit cards are used…show more content…
They have so many advantages and disadvantages as well. One of its advantage is that it is accepted much more than charge cards and prepaid cards. The second advantage is that if the card was stolen or used fraudulently, the bank will take some action and cancel it and get the money back. Banks, Credit Unions and Credit Card Issuers screen credit card records continuously recovers lost money and can be blocked by these teams. The other advantage of credit card is that it will provide financial help to its customers. The best advantage is the consumer protection provided by credit cards if the purchasing goes wrong. The credit card holder claims the company to return its amount of money because of wrong purchasing and feels secured. Credit cards are portable and easy to move anywhere. It is easily adjusted in wallet and having small size. It is not only portable , but reliable and durable too. Credit card decreases the chances of money theft and gives its customer an entire feelings of serenity and a peace of mind. Credit card helps its owner to pay the money amount in any currency either in the form of domestic currency or in the form of foreign currency if it is required or necessary. Credit card decreases the bulky process of currency conversion. It easily converts the domestic currency into foreign currency without financial…show more content…
Credit cards are the form of loans. The disadvantage of credit card is that it is not free from interest . It has high interest rates of payment. Once the amount will not paid or cleared, the high rate of interest will be charged and it increases time by time if the amount is not paid. The continuous spending with credit card increases the liability of the credit card owner. The other disadvantage is that if the credit goes out of limit or not paid, the additional charges will be incurred. Credit cards having big disadvantage is that it is very expensive to use abroad. Credit cards do not have sufficient amount of money, it has unlimited usage. Credit cards can be easily stolen maybe physically or its number would be tracked by anyone and started misuse of
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