The annual percentage rate (APR) on the Amazon credit card is 28.24%. | Photo credit: PTI
New Delhi: Credit cards are by far the easiest way to obtain interest-free credit for short-term needs. Several consumer organizations have collaborated with established financial institutions to launch their credit cards into the industry with few unique features. Some people are unable to apply for a credit card due to no credit history or bad repayment cycles, while there is a portion of people who still do not have the required credit facilities .
According to a CNBC report, Jeff Bezos-controlled e-commerce giant Amazon has unveiled a credit card in partnership with US bank Synchrony Financial to launch the Amazon Credit Builder program with which the company aims to cater to unsuspecting individuals. served with no credit history or bad credit.
“There will always be people we can’t give credit to — that’s a large population that we haven’t been able to reach,” CNBC reported, mentioning Tom Quindlen, Synchrony’s executive vice president and CEO of Synchrony. bank detail card operation. .
The primary purpose of the Amazon Credit Builder card is to provide short-term credit facility to people who have poor credit and people who are not eligible for a regular credit card, according to the CNBC report, adding interest or the annual percentage rate (APR) on the card is 28.24%.
With the help of the Amazon Credit Card Builder, the borrower can establish a healthy credit repayment cycle and after a certain period of timely payments, he can apply for an unsecured Amazon Credit Card, according to the CNBC report. .
In order to minimize the risk of credit default, users will be required to deposit an equal amount of money in order to obtain an Amazon Credit Builder card of equivalent credit, adds the report citing Quindlen. The Amazon Credit Builder card is launched exclusively for US citizens.