handling my credit cards
By spoiled311
@spoiled311 (5500)
Philippines
December 15, 2007 10:00am CST
Almost all my adult life, I never had a credit card. But I found it hard not to have one, especially when I needed to apply for subscriptions, as they require credit cards for payments.
It is not easy to be granted a card here in our country, but finally, I chanced upon an offer by an international bank. They gave me a card, which actually had very minimal credit limit, but at least the credit line gave me credibility to apply for a mobile phone subscription.
I believe that it is very easy to get entangled in debt because of the credit card. It feels good to just buy something without using money and the temptation to max out is very high. Others just apply to more credit card companies and just transfer their balances to lengthen their credit terms.
However, in my experience, I have never bought anything that I don't need or because of impulse. I haven't even paid any surcharge or interest for the last 3 years that I have my card. What I do is that I buy only things that I already have the money to pay for it. I don't use my credit card just to buy things. I use my credit card because in doing so, I earn rewards points.
So with that, the credit card is not necessarily evil. Like money, it is amoral. It is the motive behind its use that makes it evil.
One of the things that I like most with my card is the efficiency of their customer service. When I need something, it is very easy to call them and their operators are very friendly and helpful. I think that for me is very important in choosing the card that I will get. I would like to talk to someone about my concerns and get speedy answers.
2 people like this
7 responses
@gr8life (6251)
• Malaysia
17 Dec 07
Hello spoiled311,
Yes, you are right. It is not about the card but how you handle your transaction does matter. I had many credit cards before and unfortunately, I was one of those impulse buyers who don't care too much about the transaction they made using their credit cards. To settle my debts, it was a nightmare for me. Now, I only use cash to do my transaction. I canceled all my credit cards (if I am not forgotten, I had more than eight cards that time). I live my life better now and definitely it is free of debts.
@wahptb (188)
• Canada
15 Dec 07
In my opinion there is not much good about a credit card. It is a cashcow for banks and not because of interest. Every time you spend using a credit card the merchant pays a percentage of that amount in fees. So if you buy something worth $100 and the merchant pays 2.5% fees he will have to pay the bank $2.50 for having accepted your credit card. This charge applies on every transaction so you can imagine that if more and more people want to pay with credit cards the prices of products will raise(they already have) just to compensate for the extra fee the merchant must pay.
A banks favorite customer is the one who spends everything on a credit card and pays it back in full every month. That way they don't have the risk of loosing any money and they collect the fees from merchants every time you spend.
When you spend more than you can pay back you basically sell yourself to the bank. They own a part of your earnings forever until it's paid off, if you can pay it off. If you are already spending on things you don't have the money for you probably won't be able to pay it off. BE CAREFUL with credit cards, they bring a lot more bad than good.
Oh the only good thing about them is that they do allow you to build a good credit if you use them wisely. If you can get one they can be the easiest way to build good credit.
@simplyshawn (650)
• United States
15 Dec 07
I hope you continue in doing as you have been. Some people go out of control and max out credit cards and then it's hard to dig yourself out and pay the debt off. It also takes a lot longer.
We use a debit card if we need to, so the money has to be in our checking account already. We do still have a credit card, but only use it in rare cases. And that's only because we're have a ways to go yet on our financial goals.
I mainly use cash 90% of the time. I take out a certain amount every week. It was hard to get used to that. But it's worth it.
We had to pay off lots of credit card debt and we won't go back to that.
I also only buy what's on my list. My impulse buying in very minimal. Like a pack of gum or something.
Keep up the good work!
@bowtieguy (5915)
• United States
15 Dec 07
I remember getting my first credit card when I turned 18, I used to think that they were evil and bad and they can be if you let them control you. I have a few and I only spend with them, what I know I can pay off later. I always go over the minimum payment or try to pay the bill off if I can. Credit cards are good for your credit rating, which is important when getting a loan or buying a house or car. It can be bad if you miss payments and require late fees it is almost impossiable to climb up out of that hole if you have let yourself get in too deep.
@luvstochat (6907)
• United States
15 Dec 07
I am one of those that is entangled in credit card debt. I wish I had never applied for a credit card now I will be in debt for the rest of my life trying to pay them off and the interest rates are suppose to go up on them.
I started off by saying I just need one for emergencies or things like hotel rooms but then that started the chain reaction of getting the preapporoved ones in the mail after getting up to about 13 cards they started going in the trash and now I am working to pay them off and put the cards in the trash!
@tiffiny (872)
• United States
15 Dec 07
I'm like you we always pay off our credit cards at the end of the month. But some times it's really hard to not give in and just put it on your credit card. Really hard! But as long as you make more than the minimum payment it's not all bad to splurg every once in a while.
@aaslin (123)
• India
15 Dec 07
this is the worst part of all internet shopping...they all require credit cards and people who dont have credit cards are never able to shop anything online..just they can see all the items displayed..and think "we should have owned a credit card"
