5 Reasons People Have Fear Credit Cards

5 Reasons People Have Fear Credit Cards

1. high interest rates

Credit cards have interest rates relatively high. According to the rules applicable interest BI ie 2.95% / month of the total bill. Not to mention the system of compound interest applied if you do not pay the bill in full or exceeds the maturity date.

Most credit card users are stuck in high interest charges to the bill swell. This is because the user does not make a payment at maturity, to pay less than the total credit card bills and make full payment after the due date of payment.

But not all credit card use Mencas interest to customers, there are also credit card Sharia. Sharia credit card offers other features without interest charges. Advantages offered was not different from the conventional credit card.

2. Fear Owe

Credit card just the same as other loan products, you essentially loaned a number of appropriate funds and must repay an agreed period. Some people are afraid owed because overshadowed by higher interest expense.

But actually if you are careful and understand in its use you stay just pay the bill before the expiry date, the interest burden is not heavy. The key is discipline and understanding poduk credit card itself.

3. ANNUAL FEE

Annual fee (annual fee) is also often one of the reasons people refuse to use a credit card. Annual fee credit card is the smallest possible value of Rp 75,000 per year, while the highest possible Rp 1,500,000 per year.

This provision is subject to the discretion of the maing credit card issuer. The more benefits or advantages of credit cards is usually higher annual dues. But there are some products that offer free tuition fee for the first year there is even forever.

It all depends on the choice of your credit card. Get to know the credit card product that can bring more benefits and does not burden your finances. At least the limit is still in accordance with your income.

4. Make Life More WASTES

Some people think credit cards will only make life more extravagant. Is that reason right? Credit card product is a means of payment like cash. It's just that there is an excess sort of time delay in payment only.

5. Spying Debt Collector

A Debt Collector will come to you if you are no longer able to pay off credit card repayments. The debt collector services is used by almost all banks that provide credit facilities to customers to immediately settle the payment of credit.Be firm to the bank and negotiate well is required in resolving credit card debt.

Having a credit card is nothing to fear, as long as you are wise in selecting financial products according to the needs and abilities of your credit card will not be detrimental. Many benefits can be used, which is important to remember just to be disciplined and accustomed to downsize. So there is no guarantee that the people who use or do not use a credit card then its financial condition will always be okay or even increased wasteful. It depends on the way of life of its users not on his credit card.