A credit card is a plastic card that allows an individual to borrow interest-free money from a lender to make his purchases on a credit basis and returned within a stipulated period of time called grace period. The money borrowed can be for purchases ranging from anything between a cheap burger and an expensive vacation.

A credit card allows a consumer to borrow money from a lender (the credit card issuer) to make all his purchases and lets him pay back the borrowed money within a grace period which is generally 25-30 days. The money borrowed and returned within the grace period doesn’t carry any interest, but in case the payment is delayed, then interest will be charged on the money owed to the lender.

Consumer behavior saw a change in the preferred payment method for the first time since 2016. Debit cards were the most used, but 2016 marked the year were American consumers preferred credit cards over debit cards. Credit cards are preferred over debit cards for the following reasons: Safety because it’s the bank which pays the money if at all there’s an error or fraud occurs.

Having a bad credit history is a common thing since millions of Americans have bad credits due to several reasons. Bankruptcy, foreclosure, untimely payments of medical or student loan debts are just a few reasons to have setbacks on an individual’s credit score. However, bad credit or a low credit history affects individuals in many ways, for instance, while trying to borrow a home loan, rent an apartment, buy a cell phone, and even while finding a job.

A 0% APR means that you do not have to pay interest on your credit card purchases for a specific period of time. 0% APR credit card offers sound amazing and they are. However, cards with 0 APR still function like regular credit cards. Advantages of 0% APR credit cards: One, to pay off debts with a high-interest rate.

There are many credit cards available online, so choosing one of them depends on a person’s financial goal: whether a credit card is required for travel, or whether the person is a jet-setter, or whether the person wants to earn cash by spending every day. Getting and choosing a credit card depends on the lifestyle and spending habits of the person.