| Bank credit cards come with huge responsibilities. | | | | conditions of the customer agreement which comes |
| Your first step to using one wisely is to know how | | | | with your bank credit card. The gist: Once you |
| the card works and what duties you have as its user. | | | | purchase something using the card, you bind yourself |
| A bank credit card allows you to borrow money | | | | pay it either partially or in full on or before the due |
| from a revolving line of credit with a limit, which is | | | | date. You need to repay at least the minimum |
| determined by the card issuer (the bank). You can | | | | amount plus the interest that may have accrued on |
| use the card to purchase goods or services, like | | | | an unpaid balance once every billing period, in order to |
| food, clothes, movie tickets, or dinners in a | | | | keep using your card without running into any legal |
| restaurant. | | | | problems. |
| When you use the card to pay for something, you | | | | Remember that how you use your credit card |
| are technically borrowing money from the bank which | | | | determines what kind of credit facilities will be |
| issued the card to you. You make this 'loan' official by | | | | available to you in the future. Your credit card history |
| signing the receipt when you make a purchase, or | | | | goes into your credit report, which you want to keep |
| inputting the security code found on the back of the | | | | in good standing if you plan to take out major loans |
| card (and in some cases the card's expiration date) | | | | such as mortgage loans or car loans. You should |
| when you are purchasing something over the internet | | | | therefore remember to always pay your credit card |
| or phone. | | | | bills promptly, keep track of your charges, and not |
| Information is your protection against misusing or | | | | exceed your credit limit. Doing these three things |
| abusing your card, so be sure to read the terms and | | | | religiously can save you from financial problems. |