What is credit card? How to use credit card – tool wala

What is a credit card, how does it work, should it be taken or not, and what are the advantages and disadvantages? I am going to do all the things in detail in this post. Along with this, you do not need to skip this post at all; the post is going to start from here, so let’s start.

So first of all, let me explain to you what this credit card is. Your friends must have seen your ATM card, which many people also know by the name of a debit card, so your credit card has a very similar appearance.

It will look exactly like your ATM card or debit card, but its system works a little differently. I understand you from an example: suppose you have to purchase a ₹ 10,000 mobile phone. If you have made the payment for the phone with your debit card, then what account do you immediately have? The $10,000 will be deducted, and nothing will be found there.

10000 will be deducted from your account immediately, but if you make the same payment with your credit card, then whether there is money in your account or not, not a single rupee will be deducted from your account, and you will have to pay the mobile of 10000 after 50 days; that is, you can see the time of 50 days comfortably. This is the first advantage of having a credit card.

Whatever shopping you do, the payment you have to make has to be done after about 50 days. Friends, your debit card is linked to your bank, and when you do any small or big transaction, the money is deducted from your account immediately, but the credit card does not happen in it, whatever the limit the bank gave you. The bank gives you a credit card with a limit of $10,000, $20,000, $10,000, or $500,000.

You can do shopping of that amount whenever you want, you can suspend as much money as you want and the money that you have to pay, i.e., you have to pay, you get a time of about 50 days, like if you have bought a phone of ₹ 10000 on January 1, then money will not be deducted from your account on January 1, the money that is there from your account It will cut on about February 20, so here you get to see the time of about 50 days. 

So in this way, your credit card works, friends. Now we understand a little bit that there are some other benefits to keeping your credit card. So, friends, yes, absolutely, there are many benefits to keeping a credit card, and there are many benefits, like the ₹ 10000 you have paid. If you do it with your debit card, then there is ₹ 10000 from your account. are cut

But if you have paid with your credit card, then you definitely get some reward points or cashback there, be it any credit card. If you want to get some cashback, then when you have a phone of 10000, you will have to get between 7 and 8000; sometimes the bank’s flat discount also goes on.

On top of the credit card, whatever your pricing will be, it will be of little use. If you purchase a debit card, then it is going to cost you a lot of money. There is another third biggest advantage: if you do your shopping with a credit card, like purchasing your mobile phone, then you can do it in the form of easy installments if you want. And there will be no separate charge to you; it is known as no-cost EMI. You will get a detailed article on no-cost EMI. You will check the comment below once.

Right now, we are going to understand that, after all, this credit card is getting so many congratulations here, so when does the bank give you this credit card? What are some rules and regulations? Does everyone get it? The answer is no. The bank does not give credit cards to all people; the bank has first seen how your relationship is with the bank. How much does the bank have with you?

If you keep only ₹ 100 in the bank, for example, and sometimes go to the bank every one or two years, and if you are expecting your bank to give you a credit card with a budget of one lakh, i.e., a 1 lakh limit, then it is absolutely impossible because if your financial transactions with the bank are not good, then the bank does not offer you a credit card there. Does

So the first thing is that if you want a credit card from your bank there, then you have to first maintain your good transactions in the bank. This is the process of making the card. Now that you understand how much the limit of the card is, the limit also depends on your transaction. But the limit on your credit card will be better.

If you have some model normal transactions in the bank, then you will get a work limit there, which is around 50000 to 80000 or even 40000. In this type, your limit will be given to you. After so many things, in the end, we talk about whether there are disadvantages to having some credit cards.

So, friends, the loss that is there is only due to your mistake, or you will have to bear it. There is no disadvantage to having a credit card. I tell you about 102 disadvantages, like, for example, having to pay for the phone you bought for $10,000 after 50 days.

But if you missed that due date too, that is, if you did not pay for 70 days after going into the day, then whatever the extra period is, the credit card company charges a very heavy penalty on you. Almost there, you will be charged a rate of interest ranging from 34% to 40%, and along with that, 10 extra charges will be paid there.

So if you forget to pay your credit card bill, then it can be a big problem for you. The second biggest thing we talk about is that whenever you have a credit card, you do a little extra shopping there.

Even if you do not need those things, you also go shopping. For example, if you have a credit card with a limit of one lakh, if you have ₹ 10000 in your account, even then you will think that there is a limit of one lakh, if you buy a mobile phone with a limit of 20,000, then somewhere the expenses you spend are a little. Increases

If you have a credit card from you, then because you just think that this money is not going to be deducted from the account, you have to pay it after 50 days. I will bring the money from somewhere or another, but if you spend it there immediately, then the second drawback will be from your side. Now understand the third and last drawback. Many times what people do about going to the ATM machine with their credit card where they withdraw the cash.

So, friends, if you go to the ATM machine and withdraw cash from your credit card, then the credit card company is very heavy on you. This is about two-three points that you should keep in mind while doing a credit card.

I would recommend you use a credit card because you are going to spend money in the same way, so if you spend with a debit card, then you will not get anything there, but if you use a credit card there, then you will get a lot of benefits.