Credit cards have been there for several decades, and they have proven to be a very vital financial tool. For newbies, Credit cards are essential because if you do not have money in your account, you can still send money quickly. It acts as an overdraft situation. Credit cards are not given easily by the bank. However, the application procedure is quite simple. Currently, around 75% of adults in America own a credit card. However, your credit cards are very risky if you fail to pay off your debts. This will risk in staining your credit score records for the coming years.
This article aims at helping you know how to send money using a credit card in a very simplified way. Also, I will address on a formidable way of transfer money using the routing number and account number as you read ahead. Sending money has been made easier by these credit cards, and the good thing is that there are no delays. First, if you are new to banking, I will guide you through on how to apply for a credit card.
Credit card applications are made once a person has attained 18 years old. The procedure is straightforward since all you need to do is visit your local bank and they will give you the application form after which you will be issued with the card. However, the bank, at some point, will check your credit score, and if it is good, you should be able to have a credit card.
Procedure for sending money from credit card to debit card
If you wish to send money from the credit card to debit card, you are required to have the money transfer credit card. The money transfer cards are similar to balance transfer credit cards, which give you the chance to pay off debts from other credit cards that you may have at 0% interest rate. The good thing about such cards is that they give you an extended time compared to the credit cards with regards to repaying the money. It is also considered cheaper since you will repay every debt at 0% interest rate. So with this money transfer card, you can easily send money to your debit card and also clear your overdrafts at absolutely 0% interest rates. Below is a brief way on how to choose a money transfer credit card.
Ways to select money transfer credit card
Many cards have a money transfer facility to allow the sending of money from credit card to debit card or vice versa. To choose a transfer card, you should aim at getting a card with 0% interest period and the lowest money transfer fee. Also if you think you can repay your debt quickly it is best you choose a money transfer card with shorter period hence lower fees when making transactions. Currently, there are several money transfer cards like MBNA, Virgin money with 23 months of All Round Credit card, and many more. You can consult your local bank for more details.
Factors to consider before transferring sending money from a credit card
There are several lines of measures which you should look at when performing such transactions. Below are some of the things to consider:
- Cash advance fee: The cash advance fee is very vital; usually, the fee is between 5 or 10% of the transaction. So if you take $1000, the fee will be $50 or more, but it will not exceed $100. Generally, the cash in advance varies between the fees based on the bank you are in.
- Cash advance APR: Cash transfers have a higher APR compared to balance transfers or purchases.
- Accretion of interest: Immediately you complete the transaction, the interest collected will always be on a daily basis. To summarize this, you will not get any grace periods on interest.
From the above statements, credit transfers to a bank account are very expensive, and the best thing is to look for options like personal loans, Borrow from friends and family, Credit Union loan and many more.
How to purchase goods using credit cards?
Globally, many people purchase goods via a credit card through means like Visa, Master card, Ken Switch, and American Express. If you are in a supermarket or a stall that supports the online payment services, you will be able to use your credit card. For online purchases, you will be prompted to insert your visa number and the CVC code at the back for completing the transaction. There are also furniture stores that finance people with bad credit at very minimal interest rates, and even the credit cards may not be necessary here for making a purchase. Lastly, ensure that you trust the website before you insert your credentials to avoid fraudsters who will steal your details and take money from.
What to do if you send money to the wrong account?
Cases of sending money to wrong accounts have been in the past. Currently, there are several verification processes to ensure that the person you are sending money to will receive it without any complications. However, if you use mobile banking, you may easily send money to the wrong person. If that is done, ensure to contact customer care immediately to cancel the transaction. Also in instances where the card is lost or stolen, you should consider to contact customer care immediately to block the card.
Sending money through Credit cards is always a very simple procedure. Also, the banks issue out guidelines on their website such that newbies in banking will be able to gain more knowledge. The banking world has transitioned to the point that you do not need to make any transaction online. However, the good part comes about with the implementation of customer care assistance. Customer care will guide you on issues regarding your credit cards, making transactions, and other related activities. To contact them, feel free to check out their website where they have displayed their details.