What is a Credit Card

Credit Card:-

Since the Human has started evolving with the system of Payments and transactions, whole new systems have evolved which totally revolutionized the Procedures over time. One of the major achievements is the credit card.

Before applying for a credit card let me give you some of the insight about credit card so it may help you to decide whether you need it or not.

It is a small plastic card which is issued to the users as a system of transactions. It allows the user to buy goods and services on the card providers promise to pay for every service and good. The card issuer provides the a revolving account and grants a line of credit to the user for which he/she can use it to borrow money to buy anything from a merchant.

A credit card is different from a charge card: a charge card requires the balance to be paid in full each month. In contrast, credit cards allow the consumers a continuing balance of debt, subject to interest being charged. A credit card also differs from a cash card, which can be used like currency by the owner of the card. Mostly such cards are issued by Banks and credit Union with a size specified by the ISO/IEC 7810 standard as ID-1. This is defined as 85.60 × 53.98 mm (3.370 × 2.125 in) (33/8 × 21/8 in) in size.

Benefits to customers:-

1. It provides convenience to the Customer or user of the card.
2. Compared to debit cards it provides the users to get short loans without any prior security or payment of Cash and it is very easy.
3. It gives fraud protection to the user as in many banks the Bank is equally responsible for the default product as a Customer is.
4. Many credit cards provide the opportunity to gain gifts and prizes for the customer in form of cash free shopping excess, recreational packages, enhanced warranties and air tickets.
5. It also removes the worry of carrying cash with you as it may get robbed or stolen but credit card are far more easy to carry in wallets and very little chances of being stolen.

My Opinion:-

Simply if you don't have the above problems than simply don't go for the card but if you think it is really hectic for you to carry Money along with you then definitely go for the credit card. I think soon our Currency systems will be obsolete and credit cards and such stuff would replace Money.