Listed below is a useful guide to credit card terms. It is a list of definitions of credit card terms that may or may not be familiar to you.
Annual Fee
Various card issuers charge an annual fee, which can help offset costs that issuers incur in maintaining accounts and providing services.
Annual Percentage Rate (APR)
Stands for 'annual percentage rate'. A figure, expressed as a percentage, which incorporates the interest charged upon the credit card as well as any additional fees.
Association for Payment Clearing Services (APACS)
The banking industry body that oversees money transmission and payment clearing activities in the UK.
Automated Teller Machine (ATM)
Another term for a cash machine.
Balance
The total amount that you owe your credit card provider and includes charges such as interest and fees.
Balance Transfer Rate
The interest rate that will be charged on any balance transferred from a previous credit card onto a new one.
Cash Advance
Withdrawing money from a cash machine using your credit card. There is usually a charge imposed for this service. A cash advance is different from a withdrawal you make with your ATM card.
Charge Card
This is a type of credit card often favoured by businesses on which the balance must be paid off in full each month.
Credit Limit
This is the maximum amount you can borrow using your card.
Credit History
A record of how you have paid accounts in the past; used as a guide to determine whether you're likely to pay accounts on time in the future.
Credit Reference Agency
Organisations that specialise in providing credit reports that assess an individual or business's credit risk.
Credit Report
An assessment of an individual or a company's credit risk. These reports are composed using a variety of informational sources and are used by lenders in order to assess applicants.
Finance Charges
The price paid to a lender for the use of borrowed money.
Fixed Rate
A set annual percentage rate that does not change in response to interest rate changes and conditions.
Interest
The charge that the lender imposes on the borrower for the granting of credit.
Interest Free Period
The period during which no interest will accrue on credit card transactions.
Period
The period during which the Introductory Rate applies to balances outstanding on your account.
Introductory Rate
A special annual percentage rate that applies for only a limited time.
Minimum Payment
This is the minimum amount that you will need to pay back each month on your credit card balance.
Online Banking
Online systems enable you to access a host of banking services from a personal computer by connecting with the bank's computers over the Internet.
PIN
Stands for 'personal identification number' and is issued to a credit card holder in order to enable them to use cash machines to withdraw money.
Rewards Program
A point accumulating program based on purchases or transactions made on your card.
You may freely reprint this article provided the author's biography remains intact:
About The Author
John Mussi is the founder of Direct Online Loans who help UK homeowners find the best available loans via the http://www.directonlineloans.co.uk website.
Sometimes life lands you in a situation that causes your... Read More
You probably don't need me to tell you credit cards... Read More
What is a balance transfer ? A balance transfer can... Read More
Americans are more concerned about identity theft than unemployment or... Read More
The Federal Fair Credit Reporting Act (FCRA) is designated to... Read More
Believe it or not, the way society, especially the commercial... Read More
There are seven consumer credit laws you should be aware... Read More
Identity theft is when someone uses, without permission, your personal... Read More
Spending HabitsSo you've just got your credit card. The first... Read More
Whether or not you receive a loan and what interest... Read More
In the twenty-first century, there are few documents that have... Read More
There is no end to the amount of pain that... Read More
There's only one way to discover the "health" of your... Read More
Ok, let's face it, everybody hates high credit card rates,... Read More
I remember back when I was 18 and completely oblivious... Read More
If you have ever fallen behind on your debts you... Read More
If you were to tell someone that they can have... Read More
Here's a simple system on how to pay zero interest... Read More
If you are just entering the world of credit cards,... Read More
Consumers often have the first credit card that they ever... Read More
What are the APRs charged by the credit cards in... Read More
Ah, the sweet rewards of using credit!Not only do you... Read More
Have you ever been told you were over your credit... Read More
Your credit rating / credit score is based upon how... Read More
His hard earned money? Gone. Creditors on his back everyday.... Read More
Whether you have no credit or damaged credit, secured credit... Read More
Your credit rating affects many areas of your life. Opening... Read More
WHAT IS HIRE PURCHASE/CONDITIONAL SALE?Although people often talk about "buying... Read More
Let's face it, having credit is no longer a choice.... Read More
Not everyone has a positive experience with credit counseling. Potential... Read More
Credit scores are the most important aspect that determines your... Read More
Here are some useful tips on using credit cards. Whether... Read More
1. Choosing A new credit cardThere are many reasons for... Read More
A line of credit, roughly defined, is the amount of... Read More
It's the number one complaint from consumers and it only... Read More
Always shop around to get the best deal when choosing... Read More
There will come a day when you need credit. You... Read More
Prepaid credit cards also called stored value card can be... Read More
In the olden days, about 10 years ago, before the... Read More
Introduction In this article, a presentation is made of the... Read More
What is a credit card? A credit card is... Read More
Identity theft is the fastest growing crime according to the... Read More
Credit Score FactorsThe information contained on our credit reports affect... Read More
Credit card companies want your business. After all, lending money... Read More
1- Check your credit report regularly2- Secure personal information in... Read More
Step I - Selecting A Collection AgencySelecting a credit collection... Read More
Chances are you've gotten your share of offers like this... Read More
The average American knows very little about bankruptcy. Most people... Read More
Everyone hates late fees and being late will cost you... Read More
Few things influence the home buying process more than your... Read More
In addition to the APR (annual percentage rate) and the... Read More
Having credit education is like knowing how to read. It... Read More
If you've ever applied for a credit card or loan,... Read More
Have you ever looked at your credit card statement and... Read More
Are you thinking of buying a house? Do you want... Read More
You probably don't need me to tell you credit cards... Read More
Credit score is one of the most basic, determining factor... Read More
As a young student I feared getting bad grades because... Read More
You've just opened your credit card bill and attached to... Read More
A good credit history is critically important for the consumer.... Read More
A credit report is more than just a snapshot of... Read More
Help! I've Been Turned DownYou received an envelope in the... Read More
If you have considered credit counseling as an option to... Read More
There is a big difference between looking after your own... Read More
"I think money was stolen from my card" or "I... Read More
Ah, the sweet rewards of using credit!Not only do you... Read More
Credit |