Credit Card


Credit cards are usually issued jointly by financial institutions (such as banks) and credit card associations. Each card has a credit limit, which is the upper limit of its spending amount, allowing cardholders to consume in a " Buy now, pay later" manner. Its functions are similar to those of debit cards, but there are several major differences:


Credit Card Transaction Process
Benefits and Precautions

A credit card survey conducted by HKU showed that as at 2014, respondents owned an average of more than 2 credit cards, and the total monthly credit card spending exceeded HK$ 6,000. It reflects that it is common for Hong Kong people to use credit cards as a means of consumption.

Case Study

Credit Card Solves the Problem of Running out of Cash

Little Thrifty dined out with a friend and both of them have insufficient cash to pay the bills. "Are we going to wash the dishes?" His friend said.

"No worries, I can pay with my credit card." Little Thrifty said calmly. Besides, under the Credit Card Rewards Scheme, they can earn reward points for dining at the restaurant, enjoying discounts without the need for washing dishes.

Just for peace of mind, Little Thrifty told his friend that he always settles in full payment of his credit card bill before the due date to avoid paying interest.


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