CREDIT CARD WOES BY SUDHANSHU YADAV

Credit card woes
Hi, I am sure you are of the breed which lives on credit card and still curse it(quite often).
Sir/madam, this card does not have any fees to join, no fees per annum and it’s a lifetime free card…. We also give you credit for 30/40/50 days- what more, we will also give you points for every purchase which can be redeemed for gifts etc.

WOW- these companies are so benevolent and they want to give their money to me…..

But hold it dear--- even after knowing the fact – you curse it why….

Lets get into detail- how these companies earn money and how they rob you….

Have you ever noticed there are charges whenever your bill comes- service or interest etc.- Money made. But how does your money go even after you knew them???
Lets say- you shopped for 20000 Rs. on March 25 and your card company gives you a months credit and you bill cycle is 1st to 31st and pay by 10th…… you think that you should pay by 25th april- But still you are charged interest in next bill- WHY? Because you forgot to read that all bill must be settled at the given dates –NO matter What- .
Your credit card bill comes and it says bill amount 20000, minimum amount due 1500 and you happily pay 1500--- BUT remember you will have to still pay interest. Hence MONEY MADE
Lets say, your bill amount is 20000 and you pay 15000 due to cash crunch and thought that you will pay interest on 5000 which you can afford!! And you shopped for another 25000 in the next month….. Your interest is then calculated on total amount outstanding till the last bill is cleared- so , effectively you did not get any credit period for 25000 Rs. and paid interest on 25000 Rs. Plus 5000 on last month. MONEY MADE..
Now comes the cardinal sin of withdrawing cash from credit card. You know that the cash withdrawl attracts interests from the day you withdraw money…… So you withdraw 5000 Rs. and your credit card statement show interest charges higher than what it should have been for 5000 Rs. cash withdrawl….. Why?? Because you forgot to read the fine prints….. The day you withdraw cash, your outstanding on shopping which was unpaid as well as all the subsequent shoppings till you cleared all payments is WITHOUT credit period and interest is charged on them all. MONEY MADE……

SO, Next time, we use our cards, lets use them judiciously. Remember- There are no free lunches in Life, at least not with Finance Cos.

These Credit Card Companies are fooling you, me and everyone

These Credit card companies are just fooling around with our hard earned money and we thoughts it is only few companies who does it- Wake up guys there is a whole nexus of these buggers....

Firstly, they all started with sayin that this card comes for free and all give some x number of days as credit

Secondly, If the card is free and no interest is charged , then these companies are so good samaritans that they are paying for our credit - I just love them.

SO HOW DO THEY MAKE MONEY MAN?? Obviously they are not doing any charity.

If you look closely at your past statements, you will see that you have actually paid interest on the money you have spent..... why?? NEXUS.

I do not know a single person who has fooled these companies and made money out of credit card..



So,How do they make money?????

1. For eg. you recieved your credit card bill- it say 12000 but it also says- minimum amount due- 1500 and you deposit 1500, you will still be charged interest on the remaining 10500 Rs.!!!! MONEY MADE.

2. You shopped for 1000 on15th March, bill comes on 31st March, you think that 1000 can be paid on 15th april and skip the bill. Interest is levied on 1000 rs, from days your bill was due...... MONEY MADE. So- pay all bills even a day old shopping.

3. Your bill comes of 10000 Rs. and you pay only 8000 and think that you can afford interest on 2000 rs. And then you shop for whole month thinking that this will not attract interest charges.. You are wrong again- Interest is levied on all purchases if you even have one rupee outstanding with them--- So effectively it means rather than enjoying credit, you have paid interest----- MONEY MADE.

4. Cash Withdrawl- this is most interesting- when you withdraw cash from Credit card- you know that your interest period has started on the day you did it....... BUt you do not know that all your subsequent purchases in that month will all be interest liable from the time you purchase becaue you have committed the cardinal sin of withdrawing cash through credit card.........................

It happens like this- AS soon as you withdraw cash-all your outstanding payments become due from that day and starts attracting interest, same applies to all your shopping till you pay full amount overdue!!!!!!!!!!MONEY MADE.



SO, gear up, spread the news and save people from this weed which is credit card...