Question 2 of 5 When is using a credit card to cover an emergency expense a good idea and won't cost you any interest? When you have a high enough credit limit to cover the emergency expense When you can pay off the balance in full before the end of the month When you have a low interest rate When you can make the minimum payments each month

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Question 2 of 5 When is using a credit card to cover an emergency expense a good idea and won't cost you any interest? When you have a high enough credit limit to cover the emergency expense When you can pay off the balance in full before the end of the month When you have a low interest rate When you can make the minimum payments each month

Answer 1

The interested party is asking about the better context for using a credit card in an emergency situation without being subject to interest payments. Making sensible financial decisions necessitates an understanding of credit policies. Four circumstances deemed suitable for using a credit card are presented. They include data about credit limits, payment capacities, interest rates, and payment options. Proper analysis of each situation should allude that avoiding interest charges is only attainable by paying the loan in its entirety prior to the due date. Credit limit and interest rates won't affect the generation of interest if there is a balance left. Furthermore, even meeting minimum monthly payment prerequisites will accrue interest.

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