Getting a credit card is the easiest way for someone to get their hands on some money. All that needs to be done is for a simple form to be filled in and then you will be given a credit limit depending on what you earn and what your credit rating is. The ease with which anyone can get hold of this sort of finance represents serious problems as people are able to lie in order to gain a better limit. Once you have your card, there are some obvious pros and cons to their use.
First of all lets look at the pros.
Credit cards can be very good if you use them properly and take advantage of the introductory offers that they give. Many credit cards will offer things like no interest on purchases for a specific time period, often up to a year. You can then use your card during this time without paying any interest. Once the period expires make sure that your balance is at zero and then shut down the card. After doing this just move onto another one with a good offer. By doing this you will give yourself a constant interest free loan.
You are also safe with your online shopping when using a credit card which is a large benefit in a world where internet shopping is on the up. Credit card providers offer protection on purchases within a large price range so you will not have to worry about any product arriving damaged of faulty. If they do then the provider will cover the expense. You will also receive things like air miles and purchase points if you use your card on a regular basis.
These are some of the pros but there are also a number of cons.
One con is the fact that if you use the card irresponsibly then you will end up running into a serious debt pattern. If you fail to pay off your balance each month then you will gradually start to go into debt and accrue interest. This ends up taking time to clear and you will spend a lot longer paying off the card.
Another problem is that if you use your card whilst away in another country, you will be charged for each transaction that you make, regardless of any sort of introductory offer you are on. Furthermore, taking cash out from your card will also result in a nominal fee each time which can mount up if you are reckless with your spending. - 29904
First of all lets look at the pros.
Credit cards can be very good if you use them properly and take advantage of the introductory offers that they give. Many credit cards will offer things like no interest on purchases for a specific time period, often up to a year. You can then use your card during this time without paying any interest. Once the period expires make sure that your balance is at zero and then shut down the card. After doing this just move onto another one with a good offer. By doing this you will give yourself a constant interest free loan.
You are also safe with your online shopping when using a credit card which is a large benefit in a world where internet shopping is on the up. Credit card providers offer protection on purchases within a large price range so you will not have to worry about any product arriving damaged of faulty. If they do then the provider will cover the expense. You will also receive things like air miles and purchase points if you use your card on a regular basis.
These are some of the pros but there are also a number of cons.
One con is the fact that if you use the card irresponsibly then you will end up running into a serious debt pattern. If you fail to pay off your balance each month then you will gradually start to go into debt and accrue interest. This ends up taking time to clear and you will spend a lot longer paying off the card.
Another problem is that if you use your card whilst away in another country, you will be charged for each transaction that you make, regardless of any sort of introductory offer you are on. Furthermore, taking cash out from your card will also result in a nominal fee each time which can mount up if you are reckless with your spending. - 29904
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