Final answer:
Convenience checks (CCs) are like personal checks from credit card issuers, used for purchases, bill payments, or cash advances. They can be beneficial but may come with high fees and interest rates, and can lead to debt if not used carefully. It's crucial to understand the associated terms, as well as the potential risks and fees.
Step-by-step explanation:
Convenience checks (CCs) are personal checks provided by credit card issuers that you can use essentially as you would a regular check to make purchases, pay bills, or obtain cash advances directly from your credit card account.
However, it is important to understand that the use of these checks often comes with high fees and interest rates that may accrue immediately. Careful consideration should be taken before using them as they can lead to potential debt accumulation if not managed properly.
Advantages of using convenience checks include the ease of transferring balances from one credit card to another, making large purchases when credit cards are not accepted, and consolidating debts. Despite these uses, it is crucial to be wary of the risks, such as overspending, unexpected fees, high-interest rates, and the risk of fraud. To monitor your understanding of the use of convenience checks, always read the terms and conditions associated with them, and make sure you are aware of any fees or rates that apply.