A plastic card issued by a financial institution indicating that an account has been established to make purchases or cash advances in exchange for a future payment and a fee called interest.
A credit card backed by a sum of money deposited with the creditor by the account holder to use as security for the loan.
This type of card allows you to purchase items without cash and delays the payment for about 25 days. Some credit cards carry annual fees and all charge and interest rate for charges that are not paid by the end of the grace period. Other charges and fees may apply. Credit cards often come with perks like cash back on purchases and frequent flier miles. You also can hold off on payments of any disputed charges if you put the cause of your dispute in writing and send it to the credit card company.