creditkortti

Creditkortti, or credit card in English, is a payment card issued by a financial institution that allows the cardholder to borrow funds to pay for goods and services. The cardholder agrees to pay the credit card issuer back for the amounts borrowed, plus any applicable interest and fees, according to the terms of the agreement.

Credit cards typically have a credit limit, which is the maximum amount of money that can be borrowed on the card. When a purchase is made, the amount is added to the cardholder's balance. At the end of each billing cycle, the cardholder receives a statement detailing their purchases, the total balance, and the minimum payment due. Cardholders can choose to pay the full balance, the minimum payment, or any amount in between. If the full balance is not paid by the due date, interest is charged on the remaining amount.

Common features of credit cards include rewards programs, such as cashback or airline miles, and fraud protection. They are widely used for online shopping, travel bookings, and everyday purchases. Responsible use of a credit card can help build a positive credit history, which is important for obtaining loans and other financial products in the future. However, irresponsible use, such as carrying a high balance or missing payments, can lead to debt and damage one's credit score.