Credit Cards General
What are the risks of owning a credit card?
Having a credit card comes with some financial risk. For example, if your credit card is lost or stolen and then is used by someone else, you will have to pay the first $50 of the charges the other person made without your permission.
Perhaps more important though, are the charges you make yourself using the credit card. You will be responsible for paying for all charges on the card according to the Terms and Conditions on the card. In some cases, you will be charged an annual fee even if you do not use the card. If you carry a large balance on your credit card, you are responsible for paying the balance and any finance charges, and if you do not follow the terms and pay at least the minimum payment on time, it can negatively affect your credit history.
If your card is lost or stolen, report it immediately to your credit card company by calling the toll-free number listed on your statement. The company will cancel the card so that new purchases cannot be made with it and will issue you a new card.
See also:
What are the finance charges? How are they calculated?
What are the Terms and Conditions for a credit card?
What is the Minimum Payment?
Last update: 2006-09-25 13:49
Author: BKO
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