Credit Cards

  • What is a credit card?

    A credit card is issued by a bank. It enables you to pay for things using their money with an agreement to pay the money back, with interest. The credit card will have a credit limit -- this is the maximum amount you can spend on the card. The card carries an interest rate on the money you spend. You can avoid interest by paying your balance in FULL each month. Otherwise, you will be charged interest -- typically around 7-15% -- on the balance you owe.

What should I be careful about when using a credit card?>