Annual Fee :
credit cards lender have an annual fee that is charged once a year for the use of the card.
Credit Limit :
Your credit limit is the maximum amount you can use on your credit card. Going over this limit can result in costs and may have an influence on your credit score.
Cash Advance :
Taking a cash advance involves using your credit card to withdraw cash from an ATM, which usually carries high fees and interest rates.
Annual Percentage Rate (APR):
The annual percentage rate (APR) is the cost of borrowing money, including fees, represented as a percentage. For credit cards, it represents the cost of carrying a balance or taking out a cash advance.
Balance Transfer :
A balance transfer is when you transfer the amount outstanding from one credit card to another, typically to take advantage of a lower APR on the new card.
Minimum due Payment :
The minimum payment is the minimal amount you can pay by the due date while keeping your account in good standing. Paying only the minimum can result in additional interest charges over time.
Grace Period :
A grace period is the time between the end of your billing cycle and the time your payment is due. If you pay your entire payment within this time frame, you will not be charged any interest.
Rewards Programs :
Rewards programs provide points, miles, or cash back for purchases. The specifics differ each card, so choose a program that matches your spending habits.
Credit Utilization Ratio :
The credit usage ratio compares the amount of credit you have utilized to your credit limit. It plays a vital role in determining your credit score.
Foreign Transaction Fee :
Some credit cards charge a foreign transaction fee for transactions made in foreign currencies or during an international travel.
Transaction Fee :
A transaction fee is any fee charged for a specific credit card transaction, such as balance transfers, cash advances, or overseas transactions.
Statement Balance :
The statement balance is the amount you spend on your credit card as of the end of the payment period.
Revolving Credit :
Revolving credit, like installment credit, does not have a certain period of payments. Credit cards are a typical type of revolving credit.
Late Payment Fee :
A late payment fee applies when a cardholder fails to make the minimum credit card payment by the due date.
Default :
Default happens when a cardholder fails to meet the legal responsibilities of the credit card agreement, which is usually due to nonpayment.
Zero Fraud Liability :
Zero fraud liability policies safeguard cardholders from fraudulent transactions to their accounts.
Over-the-Limit Fee :
If you overspend on a credit card, you may be charged an over-the-limit fee.
Issuer :
The issuer is the bank or financial entity that issues the credit card to the customer.
Payment Due Date :
The payment due date is the date by which you must pay your credit card bill to avoid late fees and other financial charges.
Purchase protection :
Purchase protection on credit cards is a feature that protects against theft, damage, or loss of products purchased with the card. This benefit normally applies for a specified period after the purchase.
Secured Credit card :
A secured credit card requires a cash deposit to act as collateral. It is frequently utilized by people wanting to establish or repair their credit history.
Credit bureau :
A credit bureau is an institution that collects and maintains individual credit information and sells it to creditors so they can make a decision on whether to provide credit card or loan.
Credit Inquiry :
A credit inquiry is a request from an established company to verify your credit. Inquiries made in response to your credit application are referred to as "hard inquiries" and might have an impact on your credit score.
Soft Inquiry :
A soft inquiry is a credit report check that does not influence your credit score, such as verifying your personal credit or obtaining pre-approval from lenders.