Question

Which is NOT a positive reason for using a credit card to finance purchases? You will get charged high interest. You can buy something you need now and pay for it after pay day. You can get rewards and discounts. Paying it off on time can help build your credit history

Answer 1

Answer:

In this case,the correct answer is the first option given in the answer choice or options or You will get charged high interest.

Explanation:

• An use of credit card to finance purchases enables the consumers or buyers to make post consumption or purchase payments thereby, providing the convenience of stress free shopping for them.
• However, the credit card companies or financial institutions issuing credit cards can issue high interest rates that the consumers or buyers are liable to pay along with the due balance on any purchase or consumption made through credit card payments within a certain period of time.
• The determination of interest rates on credit cards basically depends on multitude of factors such as individual purchase limits on the card, the personal credit history and performance of individual consumers or buyers, previous payment records and history of the concerned customer, the overall ability of the customers to make timely repayments on any credit card purchase along with respective interest rates and so forth. Hence, high interest rates indicates higher repayments on credit card payments which can deter customers to avail credit cards.