Answer
There are certain advantages of using a credit card. These advantages include No interest charges, offer consumer protection, Convenience, shopping opportunities and source of emergency funds.
Work Step by Step
The advantages associated with the usage of credit card are as follows:
No interest charges: No charges are levied after the payment of the amount of the balance due at the end of each period of billing.
Offer consumer protection: The amount is generally recompensed in case of any fraudulent or disputedtransaction that might occur during the usage of a credit card on timely intimation to the card issuer.
Source of emergency funds: A credit card can also act as an emergency source of funds. One can utilize the funds through his/her credit card in case of an emergency.
Shopping opportunities: A credit card offers shopping opportunities as well. A person can shop anytime he/she likes through the usage of a credit card.
Convenience: It is more convenient to use than any other mode of payment such as payment through check. Further, it also removes the need of carrying the cash in hand to make certain payments.
