ECONOMICS
BUDGETING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Credit Card
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Tax
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Gross Income
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Annual Fee
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Interest
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Detailed explanation-1: -The annual fee can be as high as Rs. 5, 000, although there are a few companies that do not charge an annual fee. There are many cards that waive off your annual fee for spending a certain amount of money on your credit card every year.
Detailed explanation-2: -Some credit cards come with an annual fee. You’re more likely to find that credit cards with lucrative reward programs charge this annual fee for maintenance and administrative costs.
Detailed explanation-3: -Credit card annual fees are a cost that your credit card provider automatically charges to your account to allow you to keep the card account open. 1 They are a common type of credit card fee.
Detailed explanation-4: -Interchange Fees Every time a customer uses a credit card in your store, there’s a fee that is paid from the the acquiring bank (merchant account) to the issuing bank (customer account). It’s called an interchange fee. (There is an exception to this, see below.)
Detailed explanation-5: -Credit card processing fees can typically range from 2.87% to 4.35% of each transaction, not including merchant service provider fees. As a small business owner, these fees can add up and take a bite out of your profits.