John S Kiernan, Managing Editor
@John
A charge card is a type of credit card that requires the cardholder to pay off most, if not all, of their purchases by the due date every month. Many people use charge cards because they force more disciplined spending than other credit cards.
Because charge cards generally require payment in full each month, consumers cannot adopt an "I'll pay for it later" type of approach and continue to amass more and more debt. If they do not pay their balances in full by a specific time (usually within 25 days of the bill’s arrival) they may not be able to make any more purchases.
Additionally, many people enjoy the rewards and exclusivity garnered from charge cards. Users often earn points on their purchases and receive other perks like concierge service and discounted tickets to concerts and sporting events.
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