A credit card is a payment card that allows the cardholder to adopt plutocrat from a fiscal institution, generally a bank, in order to make purchases. The cardholder can use the credit card to make purchases at merchandisers that accept the card, up to apre-approved credit limit. The cardholder also receives a yearly statement with details of the purchases made and any freights or interest charged. Credit cards offer several benefits, including the capability to make purchases without having to carry cash, the capability to earn prices similar as cash reverse or points, and the capability to make credit history. still, it’s important to use credit cards responsibly in order to avoid high situations of debt and interest charges.