Answer:
Certainly, here are some true statements about credit cards:
Credit Line: Credit cards provide a revolving line of credit, allowing cardholders to borrow money up to a certain credit limit.
Interest Charges: If cardholders carry a balance from month to month, they are typically charged interest on the outstanding balance.
Convenience: Credit cards offer a convenient and widely accepted form of payment for various transactions, both in-person and online.
Credit Score Impact: Responsible use of credit cards can positively impact your credit score by demonstrating a history of on-time payments and responsible credit management.
Rewards and Benefits: Many credit cards offer rewards, such as cashback, travel miles, or points, and benefits like purchase protection and extended warranties.
Minimum Payments: Credit card statements include a minimum payment due, but it's advisable to pay the full balance to avoid interest charges.
Security: Credit cards often come with security features like fraud protection, making them a safer option than carrying large amounts of cash.
Credit Card Fees: Credit cards may have various fees, including annual fees, late payment fees, and foreign transaction fees, which cardholders should be aware of.
Responsible Use: Responsible use of credit cards involves managing spending, paying bills on time, and avoiding excessive debt.
Credit Card Options: There are various types of credit cards, including rewards cards, balance transfer cards, secured cards, and more, designed to cater to different financial needs and situations.
It's essential to use credit cards responsibly, understanding the terms and conditions, to maximize their benefits while avoiding potential pitfalls, such as accumulating high-interest debt.
Step-by-step explanation: