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Credit cards??
Credit cards??
I dont really no anything about credit cards but i need 10,000 pounds. I have a few questions.
1. how mnay credit cards can you have?
2.when do you pay back the money?
3.how much money can you get from a credit card?
4. is it essentially like getting a loan?
5. I dont really understand where the money is from, i mean does it go into your bank acoount? So can you go take out the money in cash from your bank account?
So then if i need 10,000 couldnt i just get 10 credit cards and get 1000 pounds from each of them out? How much would i be paying back to each a month? Do you have to get the cards from different banks? I know 10 sounds confusing but im only doing this becuase its to hard trying to find a loan and i really need the money!
Answers:
spfhottie: 1.)you can have as many credit cards as you want BUT you must pay all of those cards balances on time or your interest rate will go up,
2.) you pay back the money when the bill comes but it's usually less money than what you really owe,
3.)you can get different amounts of money on your card depending on how good your credit is i.e. if you have good credit you will get more money,
4.)its not like getting a loan because a loan is one lump sum all at once, a cerdit card is more like money when you need it,
5.)the money comes from the credit card company(trust me they have enough to go around),
hope this helps!!
2007-08-04 13:39:10
2.) you pay back the money when the bill comes but it's usually less money than what you really owe,
3.)you can get different amounts of money on your card depending on how good your credit is i.e. if you have good credit you will get more money,
4.)its not like getting a loan because a loan is one lump sum all at once, a cerdit card is more like money when you need it,
5.)the money comes from the credit card company(trust me they have enough to go around),
hope this helps!!
2007-08-04 13:39:10
jeanimus: You can have as many credit cards as they will give you.
To get money you would withdraw it on your card from an ATM.
You start paying back the month after you get the card.
Interest is added from the day you withdraw money, at a higher rate than for if you had bought something.
It is nothing like getting a loan. A loan would have a fixed amount of interest and one payment per month.
You would have to pay back an absolute fortune to get ?10000 on credit cards and it would take you years to repay it.
It is the worst way of borrowing money.
2007-08-04 13:40:18
To get money you would withdraw it on your card from an ATM.
You start paying back the month after you get the card.
Interest is added from the day you withdraw money, at a higher rate than for if you had bought something.
It is nothing like getting a loan. A loan would have a fixed amount of interest and one payment per month.
You would have to pay back an absolute fortune to get ?10000 on credit cards and it would take you years to repay it.
It is the worst way of borrowing money.
2007-08-04 13:40:18
datchik: 1. you can have as many as you want, if you think you can pay the money back.
2. you pay the money back in small monthly payments small as $15 a month. u will get a bill explaining the due date.
3. the amount on the credit card determines your credit score and your income.
4. its not a loan, they are offering you a credit limit, in hopes that you pay it back plus interest.
5. the money comes from a bank, and they put the money on a credit card...you can go to an atm and take cash out, but you will be charged a higher interest rate for using the card for cash rather than buying something with it.
just be wise when using the credit cards because they can be a hassle getting out of debt. its easy swiping the card and charging items, but when the bills come rolling in, thats a different story. spend what you know you can pay back.
2007-08-04 13:40:30
2. you pay the money back in small monthly payments small as $15 a month. u will get a bill explaining the due date.
3. the amount on the credit card determines your credit score and your income.
4. its not a loan, they are offering you a credit limit, in hopes that you pay it back plus interest.
5. the money comes from a bank, and they put the money on a credit card...you can go to an atm and take cash out, but you will be charged a higher interest rate for using the card for cash rather than buying something with it.
just be wise when using the credit cards because they can be a hassle getting out of debt. its easy swiping the card and charging items, but when the bills come rolling in, thats a different story. spend what you know you can pay back.
2007-08-04 13:40:30
Knownow't: You can have as many as the credit card companies will allow according to your credit limit.
The money is generally paid back within 4 weeks depending on when you got it...can be up to six weeks.
You have a credit limit...Initially it may be only about ?1000
It is like getting a very very expensive loan....interest rates can be as high as 29% APR and if you get cash, there is no interest free period, you start paying interest immediatly.
If you want cash, you get it as cash over the counter...some credit cards give you a cheque book which you can use to withdraw money or pay for goods.
It is without doubt the worst and most expensive way to borrow money, so dont...go to a bank and get a loan.
2007-08-04 13:41:23
The money is generally paid back within 4 weeks depending on when you got it...can be up to six weeks.
You have a credit limit...Initially it may be only about ?1000
It is like getting a very very expensive loan....interest rates can be as high as 29% APR and if you get cash, there is no interest free period, you start paying interest immediatly.
If you want cash, you get it as cash over the counter...some credit cards give you a cheque book which you can use to withdraw money or pay for goods.
It is without doubt the worst and most expensive way to borrow money, so dont...go to a bank and get a loan.
2007-08-04 13:41:23
sanny: Stay clear of the dreaded credit card it will only get you over your head in debt.Far better asking the bank for a loan and sorting out repayments you can cope with.
2007-08-04 13:44:35
2007-08-04 13:44:35
catzrme: 1: You can have as many as you want.
2: You will get a monthly bill to pay on each and every credit card you own.
3: Each credit card is different. You pay a higher interest rate on cash withdrawal transactions.
4: No, it is NOT like a loan. A loan would have much lower interest rates and you wouldn't spend the rest of your life paying it off.
5: The money comes directly from the credit card company. You must go to the bank, card machine, etc. to withdraw the money. It has NOTHING to do with your bank account. It is a separate entity.
I would advise NOT getting a credit card/s and going to a bank to see if you qualify for a loan. If you pay the minimum amount due on your card, have a $10,000 balance, you will not pay that balance off for 45 years (at least) and you will pay something like $35,000 in interest? Is that right folks? It's a nightmare that yo never wake up from.
2007-08-04 13:45:25
2: You will get a monthly bill to pay on each and every credit card you own.
3: Each credit card is different. You pay a higher interest rate on cash withdrawal transactions.
4: No, it is NOT like a loan. A loan would have much lower interest rates and you wouldn't spend the rest of your life paying it off.
5: The money comes directly from the credit card company. You must go to the bank, card machine, etc. to withdraw the money. It has NOTHING to do with your bank account. It is a separate entity.
I would advise NOT getting a credit card/s and going to a bank to see if you qualify for a loan. If you pay the minimum amount due on your card, have a $10,000 balance, you will not pay that balance off for 45 years (at least) and you will pay something like $35,000 in interest? Is that right folks? It's a nightmare that yo never wake up from.
2007-08-04 13:45:25
General Custer: 1. Depending on your credit rating you can have an unlimited number of cards.
2. You must make monthly payments.
3. Depending on your credit rating you can get a limit in the millions.
4. It is a loan called a revolving line of credit.
5. You access the loan many ways, most lenders allow you to get a cash advance at almost any bank.
Credit card borrowing is one of the most expensive ways of borrowing. I am in USA.
2007-08-04 13:46:19
2. You must make monthly payments.
3. Depending on your credit rating you can get a limit in the millions.
4. It is a loan called a revolving line of credit.
5. You access the loan many ways, most lenders allow you to get a cash advance at almost any bank.
Credit card borrowing is one of the most expensive ways of borrowing. I am in USA.
2007-08-04 13:46:19
Louise H: 1. It will depend on how good your credit is as to how many you will actually get. I would start by applying for one or two. Each card you apply for will be credit scored and recorded on a central credit register. Every time you apply for card that register is searched and if you have a lot of applications going through together the credit card companies think you're attempting fraud and no-one will give you a card.
2. You pay the money back monthly. You have the choice of paying the full balance outstanding each month or just the minimum payment amount (usually 3% of the balance showing on the statement) or anywhere in between the tow depending on what you can afford.
3. Your limit will be set by the credit card company and is determined by your income and previous credit history, together with the credit card companies internal rules. Some give a higehr limit than others.
4. No. On a loan you are given a lump sum of money and are expected to pay back the same amount each month and you pay interest on the full amount of the balance outstanding whether you've spent all the cash or not. With a credit card you are set a limit up to which you can spend. You only pay ineterest on teh amount you've actually spent at any given time.
5. The money doesn't exist as such. It is a limit up to which you can borrow. So instead of parting with cash for your purchases, you see what you want to buy and hand over your card. They charge the purchases to your card so no cash actually changes hand, but there bank balance goes up by the amount of the purchases and your credit card balance goes into the red.
You can have a cash advance (which they do put into your Bank Account) or write a credit card cheque (which you can pay into your account) but they charge you (usually anywhere between 1.5% and 3% of the amount of the cash advance). You also have to start paying interest straight away on cash advances.
It is possibly the most expensive form of borrowing lump sums. If you need a lump sum you would be better borrowing under a personal loan, if you can't get a loan it is unlikely you will get a credit card because they both go through the same credit scoring process.
The cheapest form of borrowing is on a mortgage because it is secured against your house (if you have one) and the lender knows that if you don't repay he can take your home off you, so therefore he can afford to charge a cheaper rate of interest.
2007-08-04 13:51:53
2. You pay the money back monthly. You have the choice of paying the full balance outstanding each month or just the minimum payment amount (usually 3% of the balance showing on the statement) or anywhere in between the tow depending on what you can afford.
3. Your limit will be set by the credit card company and is determined by your income and previous credit history, together with the credit card companies internal rules. Some give a higehr limit than others.
4. No. On a loan you are given a lump sum of money and are expected to pay back the same amount each month and you pay interest on the full amount of the balance outstanding whether you've spent all the cash or not. With a credit card you are set a limit up to which you can spend. You only pay ineterest on teh amount you've actually spent at any given time.
5. The money doesn't exist as such. It is a limit up to which you can borrow. So instead of parting with cash for your purchases, you see what you want to buy and hand over your card. They charge the purchases to your card so no cash actually changes hand, but there bank balance goes up by the amount of the purchases and your credit card balance goes into the red.
You can have a cash advance (which they do put into your Bank Account) or write a credit card cheque (which you can pay into your account) but they charge you (usually anywhere between 1.5% and 3% of the amount of the cash advance). You also have to start paying interest straight away on cash advances.
It is possibly the most expensive form of borrowing lump sums. If you need a lump sum you would be better borrowing under a personal loan, if you can't get a loan it is unlikely you will get a credit card because they both go through the same credit scoring process.
The cheapest form of borrowing is on a mortgage because it is secured against your house (if you have one) and the lender knows that if you don't repay he can take your home off you, so therefore he can afford to charge a cheaper rate of interest.
2007-08-04 13:51:53
rockledgetripservice: Do your self a favor and stay away from sharp objects and credit cards you're idiot.
2007-08-04 13:54:01
2007-08-04 13:54:01
khalilkyd: Hi ,
1- You can have as many credit cards as you want.
2- You only pay back about 3-5 percent every month .
3- Each credit card holder has a limit depending on his/her
income and the ability to pay. Usually its $5000 per card .
4- It is worse than getting a loan.A loan carry an interest of
6-12 percent. Credit cards charge 19.5 percent plus 1.5
percent for withdrawing the money plus ATM charges .
5- You can have the money in cash or deposited into your
bank account.
Rgds...............
2007-08-04 13:58:01
1- You can have as many credit cards as you want.
2- You only pay back about 3-5 percent every month .
3- Each credit card holder has a limit depending on his/her
income and the ability to pay. Usually its $5000 per card .
4- It is worse than getting a loan.A loan carry an interest of
6-12 percent. Credit cards charge 19.5 percent plus 1.5
percent for withdrawing the money plus ATM charges .
5- You can have the money in cash or deposited into your
bank account.
Rgds...............
2007-08-04 13:58:01
jenjen1251: I work for a credit card company and there is a lot to know and really can be confusing. When your looking at how many credit cards you can get it is usually about 35% of your total income give or take so some people have a dozen credit cards all with smaller limits some people have only a few credit cards with larger limits. If possible I think it is best to have two or three credit cards but it you dont have a lot of credit you may start off only being approved for smaller limits. Also when credit cards look at giving you more credit they look to see if you have maxed out your current limits so always apply for a bit more than you really need to use. Credit card company's send you a bill once a month and you usually have twenty to twenty five days to pay the bill. Yes a credit card is an unsecured loan so it is important for your credit to make at least the minimum payment on time. The minimum payment is usually about 2% of the balanced owed. The money is loaned to you from the bank because you are giving nothing but your word or signature that it will be payed back that is why it is an unsecured loan. You can take money out of an atm machine but the intrest paid is higher. It is best if you can use the credit card for purchases or some banks will do a balance transfer into your checking account at a low apr. The most important thing to keep in mind is that good payment history is going to get you more credit at a lower apr.
2007-08-04 15:51:19
2007-08-04 15:51:19
lisaj640: Hi,
You are MUCH MUCH better off trying to get a loan. It may be harder but much more cheaper in the long run, The interest on 10 credit cards doesn't bear thinking about. Think VERY carefully about applying for 10 credit cards. The applying alone may ruin your credit rating.
2007-08-06 01:12:50
You are MUCH MUCH better off trying to get a loan. It may be harder but much more cheaper in the long run, The interest on 10 credit cards doesn't bear thinking about. Think VERY carefully about applying for 10 credit cards. The applying alone may ruin your credit rating.
2007-08-06 01:12:50
Chosen Answer
Unbiased.co.uk: In response to your questions posed on the Credit Cards, I have outlined some thoughts below:
You can have as many credit cards as you wish, however, you may find that the more credit cards you hold retaining a balance upon them, the less likely it is to obtain further credit cards as the company issuing the credit card may believe that you pose too great a risk in terms of not making your payment.
Credit Cards work on the principal that you make a payment each month relating directly to the amount of your borrowings, usually 3%, however some card issuers are changing of late ? some have increased the level of repayment whilst some have decreased it. For example if you have a balance of ?1,000 on a credit card, you will most likely need to make a payment of 3% of that ?1,000 which equals ?30. The cause of so many problems with credit cards is that the minimum payment does not really repay the amount outstanding as interest is added; this can mean that the balance of ?1,000 will not be ?970 after a payment is made, but may have only reduced to ?990.
The amount of money available on a credit card is determined by the card issuer. They will make a judgement, based on your credit history, your salary and overall financial position as to what level of debt you will find sustainable. Some card issuers allow much greater amounts of credit than others for the same person.
It is exactly like getting a loan. You are borrowing money from the card issuer and in return for promising to repay at least the minimum payment each month. The difference is that a loan has a pre-determined amount and subsequently a pre-determined payment period, a credit card does not as it is open-ended in terms of the time you take to repay the balance. The longer you take to repay the loan, the more interest you will pay.
The money does not go to your bank account normally. You could be allocated a card with a credit limit of say ?2,000. This credit limit is the amount of money available to you to borrow. You normally use a credit card to make purchases, however you can often use the credit card to withdraw cash from a cash machine. There are higher costs to accessing cash, both in terms of charges for withdrawals and higher interest rates. It is not advisable to use a credit card to withdraw cash, particularly if you need access to ?10,000. You ought to take specific advice before contemplating borrowings of that amount.
2007-08-07 05:53:00
Unbiased.co.uk: In response to your questions posed on the Credit Cards, I have outlined some thoughts below:
You can have as many credit cards as you wish, however, you may find that the more credit cards you hold retaining a balance upon them, the less likely it is to obtain further credit cards as the company issuing the credit card may believe that you pose too great a risk in terms of not making your payment.
Credit Cards work on the principal that you make a payment each month relating directly to the amount of your borrowings, usually 3%, however some card issuers are changing of late ? some have increased the level of repayment whilst some have decreased it. For example if you have a balance of ?1,000 on a credit card, you will most likely need to make a payment of 3% of that ?1,000 which equals ?30. The cause of so many problems with credit cards is that the minimum payment does not really repay the amount outstanding as interest is added; this can mean that the balance of ?1,000 will not be ?970 after a payment is made, but may have only reduced to ?990.
The amount of money available on a credit card is determined by the card issuer. They will make a judgement, based on your credit history, your salary and overall financial position as to what level of debt you will find sustainable. Some card issuers allow much greater amounts of credit than others for the same person.
It is exactly like getting a loan. You are borrowing money from the card issuer and in return for promising to repay at least the minimum payment each month. The difference is that a loan has a pre-determined amount and subsequently a pre-determined payment period, a credit card does not as it is open-ended in terms of the time you take to repay the balance. The longer you take to repay the loan, the more interest you will pay.
The money does not go to your bank account normally. You could be allocated a card with a credit limit of say ?2,000. This credit limit is the amount of money available to you to borrow. You normally use a credit card to make purchases, however you can often use the credit card to withdraw cash from a cash machine. There are higher costs to accessing cash, both in terms of charges for withdrawals and higher interest rates. It is not advisable to use a credit card to withdraw cash, particularly if you need access to ?10,000. You ought to take specific advice before contemplating borrowings of that amount.
2007-08-07 05:53:00