What is a Credit Card? How to use credit card?

What is a Credit Card? How to use credit card?

What is a Credit Card? How to use credit card?

Credit cards are a payment tool that makes our life easier and provides various advantages in shopping.

You can make your shopping more profitable by setting your limit correctly and following the campaigns. We have compiled all the details for those who are wondering how to use a credit card in shopping.

Although credit cards are products of banks, these cards are actually offered by different financial institutions. Visa, Mastercard and American Express, which are the most well-known card payment systems, are among different financial institutions that provide cards. Whichever of these card systems your card is connected to, the place where you will shop should also depend on it. Credit cards connected to Visa and Mastercard can be used wherever credit cards are accepted.

How to Use Credit Card Points?

The points you earn from the reward systems of credit cards replace money. Although the point-TL equivalent of each card is different from each other, usually 1 point is equal to 1 TL. You can earn points from your shopping by following the campaigns of the banks. By accumulating these points, you can shop whenever you want.

With the points you have accumulated, you can shop from the contracted workplaces of the bank. In the same way, earning points is also provided from the purchases made from the contracted workplaces. When choosing your credit card, the prevalence of contracted workplaces will put you in a more advantageous position in terms of earning points and spending your points.

How to Get a Credit Card?

Applying for a credit card is actually quite easy. You can apply for a credit card by following the steps below:

• First of all, decide on the credit card you want to buy. For this, you can compare the cards by querying on the Hankredi.com Credit Card page.

• After you have decided on the card you will buy, you can apply directly to the bank with your information by clicking the apply button on our website. If you wish, you can also apply from the bank's website or branch.

• If you are not a customer of the bank, the bank may ask you for documents such as proof of income, residence, photocopy of identity card.

• After the bank's evaluation is completed, if your application is approved, your card will be sent to your address.

What Should Be Considered When Using a Credit Card?

Although the credit card is an advantageous tool thanks to its ease of use and campaigns, some mistakes made in use can drag consumers into debt. The most important thing to consider when using a credit card is that it actually replaces your cash. People can generally shop more easily with a credit card, as they do not issue cash or pay at that time. Repeated purchases in this way can inflate your credit card debt, making it difficult to pay. To prevent this, you can lower your credit card limit.

It is possible to turn the credit card into a very advantageous tool by using it correctly. For this, we recommend that you follow the campaigns. You can earn extra points or benefit from discounts by following credit card campaigns.

Another important detail that you should pay attention to when using a credit card is about payments. You must pay at least the minimum amount of your credit card debt until the last payment day after the cut-off date. Paying only the minimum amount each month may cause you difficulties in the future. For this reason, it is useful to try to pay off your term debt unless you have to.

Credit Card Campaigns Tracking

Credit cards are now in our wallets. In addition to the convenience it provides in payment, opportunities such as discounts, reward systems and plus installments make it advantageous to use a credit card. You can make your credit card use more advantageous by using these opportunities offered by banks as a credit card campaign.

The most important opportunity you can benefit from within the scope of credit card campaigns is the reward systems. Reward systems that allow you to earn points that you can spend as money for a certain shopping make your shopping more profitable. Plus installment opportunities offered within the scope of the campaign, on the other hand, allow you to pay your shopping in installments for a longer period of time and pay with smaller monthly amounts. In addition to these, the campaigns that allow you to make discounted purchases from the institutions with which your card has a contract also make it advantageous to use the card.

You can follow the credit card campaigns on your bank's web page, or you can be instantly informed about the campaigns by subscribing to your bank's communication channels (e-mail, SMS, etc.).

Credit Card Payments and Credit Score

Credit score is a numerical value shaped by your financial history. Credit score calculated by KKB (Credit Registration Bureau) is shaped according to your past credit debts, current credit debts, credit and credit card debt payment scheme. The more regular your payments, the higher your credit score will be.

The order in credit card payments also affects your credit score. Delaying credit card payments and constantly paying only the minimum amount of debt will cause your credit score to drop. Having a low credit score can result in negative credit and credit card applications in the future.

How to Read Credit Card Statement?

A credit card statement is a document showing the expenditures you have made between two cut-off dates. Since shopping with a credit card creates the feeling that some consumers are not giving money, their credit card debts can swell. At this point, the extract can be used as a precautionary tool.

By examining your statement each term, you can distinguish between necessary and unnecessary purchases and change your shopping habits accordingly. In the statement, which allows you to see every single purchase you have made, it also includes the due date and the minimum payment amount, unlike the term debt. If you think about how I spent so much on each credit card bill you have to pay, we recommend that you examine your statement in detail every month.

What is the Credit Card Account Cutoff Date?

The credit card account cut-off date is the date on which all your expenses and cash advance usage during that month are calculated. Expenses you make after the cut-off date will be subject to the next month's debt. To give an example, if your cut-off date is May 15, it means that you will make the payment for your spending on May 16 after the next cut-off date.

Credit Card Due Date

The credit card payment deadline is 9-10 days after the cut-off date. On this date, which refers to the last day you have to pay your debt, you must pay the entire period debt or the minimum amount. When you pass this date, default interest starts to accrue on your debt.

The last payment date is determined by the customer. By specifying the cutoff date when you receive your card, you also indirectly determine your last payment date. You can change your cutoff date later if you wish.

Credit Card Term Debt

The sum of the expenditures and cash advances you have made during the period after the account cutoff date, until the date your credit card statement is issued, and the interest, expense and debts taken over from previous periods for these transactions is called the credit card term debt. We can list the components of credit card term debt as follows:

• Expenditures

•Cash advance

• Interest applied to the transactions made

• Cost amounts received from transactions

• Amount of debt remaining from the previous period

Credit Card Minimum Payment Amount

The amount of the credit card term debt that must be paid until the last payment date is called the minimum payment amount. The minimum payment amount varies according to the limit of the credit card. The minimum amount is calculated based on your total debt.

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