These days it is not rare to find people who conclude all their financial transactions on a card. With the growth of a consumer economy, the financial industry had to develop a way to enable consumers make purchases even though cash may not be readily available.
Credit cards owe their emergence to the rise of the consumer markets and the need for consumers to always have ready means of meeting their financial obligations without having to carry physical cash around. There are several types of credit cards available, and they all have several purposes to which they serve. In the subsequent paragraphs the various types of credit cards will be examined.
A credit card is a card issued by a financial institution to eligible customers (borrowers) which enables them to make purchases by borrowing funds. As stated earlier credit cards are based on the liquidity of the borrower to not only repay the initial sum borrowed, but also all other additional charges that may have arisen as a result of the card being used.
1. Standard Credit Card. This is the most basic credit card and has as its major advantage, ease of usage. It is important for those who do not desire to have any rewards. It works by providing you with a revolving balance, and also a certain balance. Once that balance is used up, your credit is withdrawn until payment is made.
1. Standard Credit Card. With this credit card,you get no additional rewards. The major perk of using the standard credit card is that it is relatively easy to understand, so if you are not big on high rewards and love simplicity. It works by providing you with a revolving balance which is up to a certain limit.
Cashback cards are the most popular type of reward cards though people prefer to have points awarded to them which can be redeemed at a further date.
3. Balance Transfer Credit Card. This form of credit card is beneficial for those who want to save money and earn high interest rate on them. The beauty of the balance transfer credit card is that if offers low introductory rates.
5. Co-Branded Credit Cards. This is a special form of credit card issued jointly by both a financial institution and a retailer. It serves the as a means of incentivizing consumer behavior and increase in spending. It also rewards loyal customers for using the card.
5. Student Credit Card. This is a special type of credit card that is offered to college students. It is issued bearing in mind that young people may not have credit history, and as such they may have very little difficulty in getting a credit card issued to them. In order to be eligible for a student credit card, an applicant must show that he is enrolled in a University for a four year course.
The types of credit card being offered are endless however, for the sake of brevity we have highlighted a few. Should you need more information your bank or a financial expert would be your best bet.
Credit cards owe their emergence to the rise of the consumer markets and the need for consumers to always have ready means of meeting their financial obligations without having to carry physical cash around. There are several types of credit cards available, and they all have several purposes to which they serve. In the subsequent paragraphs the various types of credit cards will be examined.
A credit card is a card issued by a financial institution to eligible customers (borrowers) which enables them to make purchases by borrowing funds. As stated earlier credit cards are based on the liquidity of the borrower to not only repay the initial sum borrowed, but also all other additional charges that may have arisen as a result of the card being used.
1. Standard Credit Card. This is the most basic credit card and has as its major advantage, ease of usage. It is important for those who do not desire to have any rewards. It works by providing you with a revolving balance, and also a certain balance. Once that balance is used up, your credit is withdrawn until payment is made.
1. Standard Credit Card. With this credit card,you get no additional rewards. The major perk of using the standard credit card is that it is relatively easy to understand, so if you are not big on high rewards and love simplicity. It works by providing you with a revolving balance which is up to a certain limit.
Cashback cards are the most popular type of reward cards though people prefer to have points awarded to them which can be redeemed at a further date.
3. Balance Transfer Credit Card. This form of credit card is beneficial for those who want to save money and earn high interest rate on them. The beauty of the balance transfer credit card is that if offers low introductory rates.
5. Co-Branded Credit Cards. This is a special form of credit card issued jointly by both a financial institution and a retailer. It serves the as a means of incentivizing consumer behavior and increase in spending. It also rewards loyal customers for using the card.
5. Student Credit Card. This is a special type of credit card that is offered to college students. It is issued bearing in mind that young people may not have credit history, and as such they may have very little difficulty in getting a credit card issued to them. In order to be eligible for a student credit card, an applicant must show that he is enrolled in a University for a four year course.
The types of credit card being offered are endless however, for the sake of brevity we have highlighted a few. Should you need more information your bank or a financial expert would be your best bet.
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These are only a few of the co-branded credit cards that are out there, and if you want to know more you can contact your bank for more information. Debit Card Programs are widely available nowadays.
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