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credit card


Credit card is a small plastic card that is issued by a bank or financial institution. It allows you to borrow money from the issuer in order to make purchases or withdraw cash. Credit cards are widely accepted at merchants around the world, and they can be a convenient and flexible way to pay for goods and services.

When you use a credit card, you are borrowing money from the issuer up to a certain limit, known as your credit limit. You can make purchases or withdraw cash up to this limit. You will then be required to pay back the borrowed amount, plus any interest that accrues, to the issuer. The issuer will typically charge you interest on the unpaid balance if you do not pay it off in full each month.

To use a credit card, you will need to provide the card to the merchant or ATM and sign a receipt or enter a PIN to confirm the transaction. You will then receive a monthly statement from the issuer outlining your purchases and the amount you owe. You can choose to pay off the entire balance or just a portion of it each month, but you will typically be required to pay at least a minimum payment.

Overall, credit cards can be a useful financial tool if used responsibly, but it is important to be aware of the terms and conditions of your card and to use it wisely to avoid accumulating too much debt.

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