HND个人理财参考答案

1.Credit card

Advantage 3

Power and Ease of Purchase - Credit cards can make it easier to buy things. If you don't like to carry large amounts of cash with you or if a company doesn't accept cash purchases putting purchases on a credit card can make buying things easier.

of Purchases - Credit cards may also offer you additional protection if something you have bought is lost, damaged, or stolen.

a Credit Line - Having a good credit history is often important, not only when applying for credit cards, but also when applying for things such as loans, rental applications, or even some jobs. Disadvantage 3

Your Budget -- The biggest disadvantage of credit cards is that they encourage people to spend money that they don't have. Most credit cards do not require you to pay off your balance each month, so even if you only have £100, you may be able to spend up to £500 or £1,000 on your credit card.

Interest Rates and Increased Debt -- Credit card companies charge you an enormous amount of interest on each balance that you don't pay off at the end of each month. This is how they make their money and this is how most people in the United States get into debt.

Card Fraud - Like cash, sometimes credit cards can be stolen. They may be physically stolen or someone may steal your credit card number and use your card to rack up debts.

How to avoid to pay interest on purchase

the outstanding balance in full by the due date which statement every month.

up a direct debit to clear outstanding balance each month automatically.

2.Non- cash payment

Contactless payment

Contactless is a fast, easy and secure way to pay. The purchaser taps the card reader with their card, waits for a beep and green light and the transaction is completed. From September 2015, the contactless card payment limit is being increased from £20 to £30. Beyond the limit, the customer has to use the chip and pin function to authorize the transaction using their PIN number.

Advantages:

1. Convenience. Tapping to pay is faster and more convenient than most other forms of payment. A contactless card, for instance, can be used without removing it from your wallet.

2. Acceptance. Contactless cards are accepted at far fewer locations or retailers than other payment methods.

Disadvantages:

1. Less implicit. If you have multiple cards in your wallet and you pay without removing them, the winner is random luck. Sometimes, this can cause real issues (such as errors at transit settings).

2. Less secure than chip-and-pin

3.ISA

Definition: The individual Saving Account is an account where interest and gains made on capital is not taxed at source.

Features: 1. available to savers aged 16 or over. 2. ISAs are available to UK residents. 3. ISA was designed to encourage saver to invest in