what is loan on credit card At present, credit cards are being used for everything from paying electricity bills to buying flight tickets. Cashback offers and reward points are also available on credit card purchases. Along with all these attractive features, it also offers credit card loans. But, it is important to know what are the advantages and disadvantages of credit card loan.
And in today’s post, we will know what is personal loan on credit card, what are credit card loans, what is better credit card or personal loan, so let’s first know what is a credit card and what are its types.
What Is A Credit Card And Its Types
Many people do not know what is a credit card, what are the types of credit cards, what are the advantages and disadvantages of using a credit card, and how to apply for a credit card.
We have taken this article for you to give correct answers to many questions related to your credit card, through this article we will give you complete information about credit card so that you know what is a credit card.
If you have an account with any bank, then you must know how many facilities the bank provides to its customers such as ATM card (Debit Card), mobile banking, net banking etc. One of these facilities is credit card, the use of credit card is increasing gradually but even then many people do not have complete knowledge about credit card. If you also do not have information about credit cards, then there is nothing to worry about.
What Is A Credit Card
Credit card is a special type of card provided by the bank to its customers, in which banks provide special facilities to their customers. Credit card can be Rupay, Visa or Mastercard.
Inside the credit card, the bank gives you a limit of a certain amount based on your income, which you can use for online shopping and offline shopping, and can also withdraw if needed, but you can withdraw the money from the credit card at a very low percentage. Can be around 5/ 10 percent of the credit card limit.
If you withdraw money from the credit card, then you have to pay it to the bank along with interest, but if you make only purchases with the credit card, then you do not have to pay any interest to the bank, meaning that the amount of money you spent is returned to the bank. have to do
Credit card looks exactly like debit card (ATM card) but it is very different from debit card. Debit card is directly linked to your bank account, which means you can use as much money as you have in your bank account, but this is not the case with credit cards. Even if you do not have money in your bank account, you can use the money according to your credit limit.
Difference Between Credit Card And Debit Card
The main difference between a credit card and a debit card is that when you swipe a debit card, money is deducted directly from your bank account; On the other hand, credit card purchases get deducted from your pre-approved limit
Credit card users are required to pay an interest charge if they do not pay their bills on time, whereas for a debit card user, no interest rate is charged as no amount is borrowed by the bank. Is.
How Many Types Of Credit Cards Are There?
- Travel Credit Card. With the help of a travel credit card, you can avail discounts on all airline ticket bookings, bus and rail ticket bookings, cab bookings and much more.
- Reward Credit Card. Every transaction of this type of credit card definitely comes with one or the other reward.
- Secured Credit Card. With the help of this type of credit card, users can increase their credit score with proper usage
- Kisan Credit Card. With this credit card, farmers can buy fertilizers, seeds and machinery used in agricultural work, as well as can take loan from Kisan Credit Card from Kisan Bank.
- Fuel Credit Card. With the help of fuel credit card, you can get petrol and diesel filled, on which you get some reward points.
- Shopping Credit Card. You get the benefit of discounts on purchases or transactions with a shopping credit card
What Is Loan On Credit Card
You must be at least 18 years old to take a credit card loan. Whether you are salaried or self-employed, you must have a regular source of income to pay your credit card bills (the minimum income limit varies for different cards). You should not have bad credit history.
On what basis do banks give credit cards? Banks issue you credit cards only if you are able to repay the loan amount after taking the loan from the bank. By spending the amount from the credit card, you actually borrow the amount from the card issuing bank, which you have to repay in due time.
60 days time to repay the money – If you do not pay the credit card bill on time, then you have to pay a penalty on it. You get a debt free period of 50-60 days between the generation of the credit card bill and the purchase.
What Is Better Credit Card Or Personal Loan
- Axis Bank Ace Credit Card
- Amazon Pay ICICI Bank Credit Card
- HDFC Regalia Credit Card
- SBI BPCL Octane Credit Card
- Simply Click SBI Card
- Citi Premier Miles Credit Card
- SBI Card Elite
- Yes First Preferred Credit Card
Friends, through this article, we have given you complete information about what is loan on credit card, what is personal loan on credit card, what are credit card loans, what is better credit card or personal loan, which must have proved useful for you. . Hope you must have liked this article What Is Credit Card written by us and also share it with your friends through social media. Thank you