CREDITCARD Meaning and
Definition
-
A credit card is a financial instrument that allows an individual to borrow funds from a designated lender, typically a bank or financial institution, for the purpose of making purchases or paying for goods and services. It is a plastic card with a magnetic strip or an embedded microchip that is linked to an account.
The cardholder can utilize the available credit limit on the card to make transactions without the need for immediate payment. The credit card issuer pays the merchant on behalf of the cardholder, and the cardholder becomes responsible for repaying the borrowed amount at a later date, usually within a predetermined billing cycle.
Credit cards offer convenience and flexibility, as they can be used for various transactions such as online purchases, in-store payments, and cash withdrawals from ATMs, both domestically and internationally. Additionally, they often come with additional benefits like rewards programs, travel insurance, and purchase protection.
However, it is crucial to use credit cards responsibly to avoid accumulating excessive debt. Failure to repay the borrowed amount within the given timeframe may lead to interest charges, penalties, and damage to one's credit score. Misuse or irresponsible handling of credit cards can result in financial instability and the risk of falling into a debt cycle.
Common Misspellings for CREDITCARD
- xreditcard
- vreditcard
- freditcard
- dreditcard
- ceeditcard
- cdeditcard
- cfeditcard
- cteditcard
- c5editcard
- c4editcard
- crwditcard
- crsditcard
- crdditcard
- crrditcard
- cr4ditcard
- cr3ditcard
- cresitcard
- crexitcard
- crecitcard
Etymology of CREDITCARD
The word "credit card" is composed of two main elements: "credit" and "card".
1. Credit: The term "credit" derives from the Latin word "credere", meaning "to trust" or "to believe". It entered the English language in the late 16th century and initially referred to belief or trust in the financial sense. Over time, it evolved to indicate the ability to obtain goods or services with the promise of payment in the future.
2. Card: The word "card" originates from the Latin word "cardo", meaning "hinge" or "pivot". It was later adapted into Old French as "carte", which referred to a flat, rectangular piece of paper or parchment. The term eventually made its way into English during the 14th century.
Similar spelling words for CREDITCARD
- creditable,
- credited,
- credit bureau,
- creditably,
- credit side,
- Crediting,
- credit card,
- credit order,
- credit hour,
- creditor,
- credit entry,
- creditworthy,
- credits.
Infographic
Add the infographic to your website:
