Why use a credit card?

Why use a credit card?
Credit cards are an interesting topic. Credit cards offer the most flexible form of short-term borrowing and repayment terms available on the high street. Use it wisely, and your credit card could really extend your spending power. And here is the ways:

• Interest free period
Pay your bill in full every month by the Payment Due Date on your statement each month and you won’t incur any extra charges.
Remember though that this doesn’t apply to cash withdrawals, balance transfers and credit card cheques, for which you’ll pay interest from the date of the transaction.

• Flexible repayment
Once you’ve made your minimum monthly repayment, you can repay as much extra as you choose. We’ll show the minimum you must pay on your statement- it will range from 2.25% to 5% of your balance, with a minimum of £5.
Just remember that if you decide to stick to the minimum repayment, it will take you longer to repay your balance, so you’ll incur more interest.

April 21, 2008 | Filed Under Finance

 

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