We now have one of the lowest interest rates in the world, the lowest for decades, yet credit card providers are doing all they can to squeeze more money out of their users. Credit card customers who purchase goods or services on their card then pay the bill off in full are in a fortunate position. They don’t incur any charges. Not everyone is able to do that thought, and it’s those customers who the banks love, they make the profits for the card providers. Cash withdrawn from credit card considered or treated as quick cash advances. This means that interest is applied to credit card cash withdrawals from the day they are made.
Credit card providers are one step ahead when it comes to parting you from your money. Use a card for purchases, pay them off in full, and you are taking advantage of an interest free loan for a short period. Use your card without paying it off in full each month, or for quick cash advances, or use the cheques you are sent and you’ll end up paying through the nose. After all, the banks are in financial mess. They have to recoup their lost revenues from somewhere.
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