New Delhi | Jagran Business Desk: Credit card is a very important mode of payment in the present times. It allows cardholders to borrow funds from a pre-approved limit to pay for their purchases. Credit cards also help in building the credit score of customers. It improves the civil of people which is useful in getting a loan. Being so important, customers must frequently check their credit card statements.
A credit card statement is a summary of how you have used your credit card for a billing period. Statements are filled with terms, numbers, and percentages that play a role in the calculation of your total credit card balance. To be a responsible credit card user, it’s important to read all the fine print and understand the numbers and terms on the statement. If you don’t, you may end up with more credit card debt than you can handle. By doing this, they can know how and where they have used the card before paying the due amount. Also, as per experts, the statement helps the customers to maintain their credit scores.
Here is a look at a few things cardholders must check-in their card statements.
1. Transaction fees
The users must thoroughly check the additional transaction charges that come along with the credit card bill. Many times, banks charge a fee for spending more than the prescribed limit. They can also charge interest on the unpaid amount.
2. Credit limit
The statement can help the users to be aware of their available credit limit and total outstanding amount. The total amount includes all the EMIs they have to pay along with the charges levied in the billing cycle.
3. Reward balance
Cardholders must use the accumulated reward points before they are exhausted. The statement also includes the new offers available on the credit card which can be beneficial for the users.
4. Change in policies
Any changes to the terms and conditions of the credit card agreement can be traced by the monthly statement. This helps you stay updated.
5. Unrecognized transactions
In an age of rapid cybercrime, anyone can fall prey to phishing. By reviewing the transaction, the user can identify whether any unrecognized transaction has taken place or not.
Posted By: Sugandha Jha