PLASTIC CREDIT Meaning and
Definition
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Plastic credit refers to a type of credit that is offered in the form of plastic cards, such as credit cards or debit cards. These cards are issued by financial institutions and allow individuals to make purchases or obtain loans based on their creditworthiness. The term "plastic" is used to describe the material typically used to manufacture these cards.
Plastic credit offers users the convenience and flexibility to pay for goods and services without carrying cash. These cards have a magnetic strip or a chip that stores the necessary information to complete transactions electronically. They are widely accepted by merchants, both online and offline, and often come with various benefits, such as reward points, cashback, or travel perks.
The amount of plastic credit available to a cardholder is determined by their credit limit or the funds available in their linked bank account. Users can make purchases up to the credit card limit or the available balance, and they are required to make monthly payments to repay any outstanding balances. Failure to repay the borrowed funds within the designated time frame can result in interest charges and penalties.
Plastic credit has revolutionized the way people conduct financial transactions, offering convenience, security, and the ability to build credit history. However, it is essential for cardholders to use plastic credit responsibly and within their means to avoid accumulating debt and negatively impacting their credit score.
Common Misspellings for PLASTIC CREDIT
- olastic credit
- llastic credit
- -lastic credit
- 0lastic credit
- pkastic credit
- ppastic credit
- poastic credit
- plzstic credit
- plsstic credit
- plwstic credit
- plqstic credit
- plaatic credit
- plaztic credit
- plaxtic credit
- pladtic credit
- plaetic credit
- plawtic credit
- plasric credit
- plasfic credit
- plasgic credit
Etymology of PLASTIC CREDIT
The term "plastic credit" refers to the use of credit cards, and the use of the word "plastic" in this context can be traced back to the material used in making credit cards.
The word "plastic" comes from the Greek word "plastikos", which means "capable of being shaped or molded". It was first used in English in the 17th century to describe various forms of materials that can be easily shaped or molded.
In the context of credit cards, the term "plastic" originated in the mid-20th century when credit cards started to be made out of a durable and flexible material called polyvinyl chloride (PVC). This material allowed for the production of thin and lightweight cards that could withstand wear and tear. The flexibility and moldability of PVC made it ideal for creating credit cards.
