Credit Cards: A Safe Currency For Your Home

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Let’s say you go to a store where a designer bag catches your eye, you want to buy it but can’t since your paycheck has not arrived yet. The purse costs $200, but you only have $150 in your account. In addition to that, the item is onsale and if you do not purchase it today, then somebody else will. Won’t you wish for a magic genie to lend you $50? However, we have got something better than any genie or fairy godmother: a credit card.

What is a credit card?

Credit cards are atype of payment card which makes shopping a hundred times easier. The owner of the cardholder can buy goods and services without having to sift through their wallet for cash. When you use a credit card, a third party pays the merchant for your purchases. That means by using a credit card you are borrowing funds usually at a point of sale.

The name of this payment card entails that you are borrowing particular ‘credit’ from the bank which you will have to return before a due date along with some additional interest. Banks and credit unions are the ones who issue credit cards. However, not all places accept thesecards; only those stores allow credit card purchases who’re in agreement with the financial company that issues credit cards.Such cards are usefulfor short-term financing.

The difference between a debit card and a credit card?

Many people believe that credit card and debit card are two interchangeable terms. A debit card allows the customers to draw out funds that they have deposited into their accounts, whereas credit card enables the cardholder to borrow funds from the card issuer.In simpler words, debit cards deduct money from your checking account while using acredit card you are borrowing money to repay later.

A debit card is like carrying all the cash in one place. However, it does not allow you to purchase things when you do not have any money in your account. Credit cards come in handy in scenarioslike the one we discussed earlier.

Benefits of using a credit card for home renovations:

Credit cards come in handy when you are out shopping for home improvements. It helps you in buying expensive things that you cannot afford to pay for at once. If you want to get a sofa set or plan to buy a new bed but don’t have enough money to make the purchase, then a credit card is best for such situation. However, after making a purchase, the customer must repay the card issuer before the due date (deadlines are usually one month long). There is also a limit on the credit card that is presetaccording to a person’s credit ratings.

If you do not repay the loan before the deadline, then you will have to face a penalty in the form of additional interest. However, if you make timely repayments, then you will get credit point on your card and along with other benefits.

Credit cards are speedy and help in instantaneous purchases. They also provide you protection. If you have bought a home equipment online and it turns out faulty, then credit card safety rules ensure that you get your money back. Credit cards are also safer when it comes to frauds. If your credit card gets stolen, it won’t affect your saving, but debit card theft may end up in draining your bank account.

How can one get their credit card repaired?

If you are facing some problems while using your credit cards, then there are several companies available to help you. Go for a legitimate credit card repair company, do thenecessary research on the enterprise’s reputation, longevity, and money back guarantees. SkyBlue Credit, Lexington Law, and Pyramid Credit are names of three of the best credit repair companies of 2017. Check out the full list on yourcreditblog.com to avoid the risk of ascam. Moreover, you can check the ratings and read several articles related to this subject.

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