That shows how price conscious v can get when it comes to services! I wonder how do
credit card businesses make profit as well.......most of us prefer to buy cards that have no joining fees, and are free for lifetime. Many hardly default, but they never fail to utilise the credit period granted. While those who do default, dont always pay up the charges.
So that makes me wonder that where do their margins come from!
😀
tons of people who use credit card for credit. and i imagine a lot of them pay interest on them. a few would of course default and disappear or settle. and credit ratings would make it harder for people to default. i know a person who took like 4-5 credit cards. use them to the max capacity and then literally disappeared. and some of the cards are on my address (he used to work for us) so i used to get annoying calls from recovery agents. had to disconnect a landline phone because of those calls because they were getting rude and annoying. now i just get some mails on a regular basis from banks asking for settlement. i think he owe various banks around 3-4 lakhs majority of which is interest and penalty.
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On Amex it's up to 6%, which is why hardly anyone uses Amex. Except that their insurance policies totally rule, especially on their higher tier cards.
amex in india does not like people who are not associated with brands and known companies. i tried applying for a credit card (stupid me) and they told me that to get their most basic card i had to have an yearly income of 8L or i need to own a sedan costing around the same. i excused myself.
🙂