Facts in having Credit Cards
It is common today that most of the employed individual or even unemployed one carries a credit card on their wallet. Is it because they need to have one or because they want signify or implied something? The answer to that question probably lies on the person owning the card.
Credit card as we define it is a plastic card carrying a magnetic strip issued by bank or a business entity authorizing the holder to buy goods or services on credit. Owning credit cards carries both advantages and disadvantages result. Some of the advantages of owning credits cards includes (1) you will be able to establish your credit standing, (2) it is much safer to carry credit cards than cash especially, (3) you can be able to maximise the value of money wherein you will only pay the total amount on your due date which is around thirty days from the purchase date, (4) you can use it during emergency situation, and (5) it signifies that you have high social status.
Disadvantages on the other hand of owning credits cards includes (1) it carries high interest and finance charges once you are unable to pay the whole amount due, (2) it might result to your poor credit outstanding once you failed to settle the entire obligation, (3) additional annual expenses brought by the annual membership due and (4) you might not be able to control your expenses especially if your are impulsive.
Considering the positive and negative effect of owning credit cards, is it advisable to have one? As for me, having or not having a credit card is not a big deal. Everybody can have many credit cards as he wants, provided he knows the implication of having it and be able to settle them when it becomes due. Just remember that every swipe you made using your credit cards carries responsibility. So if you think you need one…go ahead…enjoying swiping your cards!
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