How to use credit card without incurring any charges (interest / finance charge etc.)

Learn to avoid

Let me explain you how to use credit card without incurring any charges in this part you’ll learn how to avoid finance or interest charges late fee over the contrary as well as over-limit fee let’s also understand what are these charges and harder the credit card company charge you these these are the major way by which credit card company can put a charge to you so

First let us understand this what you need to understand every credit card company has a cycle date cycle date is simply your bill date when your bill gets generated so whatever purchase you have made from 5th march to 5th april will get billed on 5th april whatever purchase you are making from 5th april to 5th may will get billed on 5th may usually you are given

20 days to make payment so if your bill date or cycle date is 5th april you will be asked to make payment before 25th april what you need to understand to avoid all kind of charges this is your most importantly due date and you need to ensure that your payment research to the company on or before due to it keep in mind honor before due date it should reach not you

Should send so if you are sending on 24th and it reaches to company on 29th they can still charge you and how they will charge you that’s a pretty interesting actually they charge you from the date of purchase so if your purchase 100 on 10th march of 8800 you will start paying interest on this amount from the 10th march if you had another purchase of 7500 on 15th

March you will start paying interest on 7,500 from 15th march and that usually becomes very heavy so in one line painful never paying part because if you are picking payment in part you actually will avoid interest on all these so whatever is your total bill amount you make sure that you make payment in fully and before due date that way you’ll avoid finance or

Interest also you’ll have heard late payment charges what you need to understand even if you are making payment in full but if your payment reaches here you will be charged increased as well as late payment charges also you know you should make sure that your payment reaches before due date and try to huge online payment mode a number of bank charges you something

Which is called over-the-counter fee say essentially if you go in the bank and make payment over the counter they charge you something like otc fee what you need to understand that way you are actually giving exertion to yourself because you are in the queue of the bank and on the top of that you are also making a payment of the charge to make payment on over the

Counter so if you are making payment online like different mode of making payment online you will actually avoid yourself from this charge as well as from exertion keep in mind one more thing which is called over-limit fee how do the credit card company charges you for that you just need to understand your credit limit see if your credit limit is 75 thousand the

Moment you cross that they will charge you something which is called over-limit fee you might argue that why did they let you go beyond that but that’s what it happens so let’s understand this way that your credit limit is 25 thousand and you are already used up to seventy thousand in this cycle so let’s say if your next purchase of six thousand what will happen

Your total amount if at all you make payment by this card will go up to seventy plus six seventy six thousand which is beyond seventy five thousand and that way great card company will charge you something which is called over-limit fee so what is the way out if you have already read 70,000 and next purchase a six thousand don’t use this card to make purchase just

Keep in mind of the credit limit whatever is great limit if you are very far from there you will know where we charge a huge amount auto vlp that way you will definitely save yourself from the major charges that if that a great card company can charge to you also i’ll suggest you to subscribe to this channel so that you can get to know adhan when i upload my new video thank you

Transcribed from video
How to use credit card without incurring any charges (interest / finance charge etc.) By Gopal Prasad Malakar