With the increase in the use of plastic money, most people have become comfortable with using credit and debit cards. But for beginners, it can be a bit intimidating. There’s nothing to worry about as this article discusses how to use your plastic money and make it work for you.
What is plastic money?
You can use plastic money to buy things you need, and you can use plastic money to buy things you want.
Plastic money is a way of paying for things that don’t involve using cash or coins.
You can use your plastic money to pay for food in restaurants or drinks at bars. You can also use your plastic money to pay for public transportation like buses and trains, taxis, or even Uber rides!
But how do credit cards work? According to the experts at SoFi, “Once approved, the credit card user will likely receive a credit limit that represents the most that they can borrow. The average credit card limit for Americans was $30,365 in 2020, according to a recent report by the credit bureau Experian. However, individual credit card limits can vary depending on a variety of factors, and can be as low as $300.”
What are the different types of plastic money?
- Credit Card: A credit card is a payment method where you pay for the goods or services first, and then your bill is sent to you at the end of each month, where you have to pay them off in full.
- Debit Card: A debit card allows you to use your money from your bank account directly from the store’s checkout counter. Whenever a purchase is made, it withdraws money out of your checking account, which has been previously set up.
- Prepaid Card: It works as any other type of plastic money but with one difference; instead of using it as a direct deposit into bank accounts, prepaid cards are purchased with cash or credit/debit cards only (no checks).
Why should you choose plastic money?
Plastic money is easy to use and carry, and it’s a great alternative for people who are worried about carrying their cash to the bank. When you use plastic money, you don’t have to worry about losing your wallet or having someone steal it. It’s also convenient because you can just purchase items using your card wherever there is an ATM machine or bank with a credit card facility.
You should choose plastic money because it’s safe and convenient. There are many benefits of using plastic money:
- You are less likely to lose your cash than when carrying around bills in a wallet or purse
- Your account information isn’t printed on the physical card like a checkbook would be, so anyone who steals it won’t have access to that data
- Credit cards offer much more security than debit cards because they require an additional PIN code that must be entered before purchases can be made
How does Plastic Money work?
Plastic money is just like cash. It’s money that you can spend anywhere, and it’s yours to use.
But plastic money is different from cash in some ways too:
It can be used by anyone with an account at the bank where the card was issued. The person who owns the card can give someone else permission to use their plastic money (this is called “authorization”). That person will have to show identification in order for authorization for them to be approved for a purchase on your card account.
Coming to the conclusion, plastic money is a great innovation that has helped reduce the need for cash payments. It enables you to make transactions from one place and it also offers convenience in terms of spending and saving. However, there are some limitations that can be overcome by using your card wisely
