5 Key Features Of A Credit Card

5 Key Features Of A Credit Card

General

A credit card is a financial tool that can help you secure payment for big-ticket items. But not all cards are created equal. In addition to the usual unsecured loan facility, a credit card offers many other features that make it an excellent financial tool. Here are some key points to keep in mind when looking for UAE best credit card.

Interest charges on unpaid balances charged to credit card:

When you owe a balance on a credit card, interest charges will start accumulating every day until the balance is paid in full. This process can take months. The best way to avoid paying interest on an unpaid balance is to pay it on the due date of your statement. However, many card issuers do not charge interest on revolving balances.

Expiration date:

The expiration date of a credit card is an important feature for you to be aware of. Usually, you’ll receive a notification via mail or email when the card is about to expire. Before deciding to renew your card, take the time to review your credit card agreement and consider the rewards structure and any added fees or interest rates.

The expiration date is used by issuers and merchants to verify the validity of the card. Moreover, it’s an important security feature for fraud prevention. It stops fraudsters from using your card number for purchasing.

Cardholder name:

When you look at a credit card, you will notice that it contains several personal information, including the name of the primary account holder, the expiration date, and a service code. These details are known as cardholder data, and they must be kept secure as required by the Payment Card Industry Data Security Standards (PCI DSS).

Credit limit:

The credit limit of a credit card is the maximum amount of money that you can use with it. This figure should be noted on the front of your card. If you exceed your credit limit, your card will be declined. In such cases, it is important to contact customer service for assistance. This can be done in person or by phone.

Billing cycle:

One of the most important parts of managing your credit card debt is understanding the billing cycle. This can help you budget better and monitor your account balance. You can plan your expenses so you don’t end up having an unexpectedly high balance. By knowing when your statement is due, you can make your payments early and reduce your reported balance. This can also help you improve your credit score.