Consider Financial Lifestyle Before Acquiring Credit Card - Bank Customers Urged

By Kingsley Asare

The Head of Standard Bank Group in charge of Card and Emerging Payments, Lincoln Mali has advised customers of banks to consider their financial lifestyle or habit before acquiring a credit card.

According to him, credit card was not good for every customer of a bank and people must assess their financial lifesytlye before acquiring a credit card.

"Depending on different lifestyles a credit card might be a great thing or it might not be the right product. So we don't want people just to take credit card, we want them to understand what credit card is and is not," Mr Mali said at media engagement on cards in Accra yesterday.

The programme held on the theme "Responsible Borrowing," was part of a campaign of Stanbic Bank Ghana to educate people on the acquisition and proper use of credit cards.

It also formed part of measures of the bank to promote responsible borrowing and spending among the citizenry, as well as promote financial discipline among banking consumers.

Mr Mali said credit card was good for people who travelled a lot outside their home country and also preferred shopping online.

Credit card, he said, allowed travelers to pay for their air ticket, shop on the plane and buy duty free items.

Mr Mali said credit card was a form of payment for the purchase of goods and increased convenience and ability of people to spend when they are traveling or want to buy a big item, saying credit card increased sales and reduce cash risk.

He said credit card was a more flexible form of borrowing than overdraft or personal loans.

"The difference is that a credit card affords you a new option to manage your cash flow and an alternative source of funds to buy and pay later at a reducing minimum payment," Mr Mali said.

He advised customers not to withdraw cash from credit and spend beyond their limit, and also pay their loans on time to avoid paying penalties.

The Head of Personal and Business and Banking of Stanbic Bank Ghana, Nana Dwemoh Benneh said technology was growing and catching up with us in the sub-region.

He said Stanbic Bank Ghana was not only concerned about advancing loans to customers but educating them to be financially disciplined.

Nana Benneh intimated that his outfit would continue to engage customers on the prudent use of financial resources.

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