Problem of a credit card
By BigMouth
@BigMouth (335)
India
2 responses
@777330975 (332)
• Sri Lanka
7 May 08
Well I think I manage my finances quite effectively. I have always paid my credit card bills on time. I have been using one for over five years now. So far I havent had a credit issue. For me the credit card is like a convienience. Not many stores over hear accept debit cards, the concept is new hear anyway, the merchants are reluctant. I think the Debit card, would work best for many who can manage their credits and finances.
@ShepherdSpy (8544)
• Omagh, Northern Ireland
7 May 08
The convenience of credit cards can be a problem.They give the illusion you have your limit to play with. Falling victim to that, it's easy to slip into Debt with high interest charges,and only be able to make minimum repayments.Then they give offers of low interest balance transfers that get paid off first,leaving the original balance increasing away in the background! I'm paying off my credit cards using the snowball method-making as large a payment as I can on the highest rate card I have,while making better than minimum payment on the others,then when the balance is clear,move the combined payment onto the next..and not using them for purchases in the meantime!
The debit card is better-your limit is dictated by the balance in your account,so you can't overspend.
@desertdarlene (8910)
• United States
4 May 08
Yes, that is true. Often, if you pay your bills off each month, you don't have to pay anything extra at all. The problem with credit cards is that many people will spend more and think it's OK because they can pay it off monthly. It's just too easy for some people to do that. And, before they know it, they've racked themselves a pretty good amount of debt. But, if you aren't one of those people who are prone to do that, then having a credit card can be a good deal.
