Indiscriminate use of credit cards.

India
August 18, 2011 12:14pm CST
Indiscriminate use of credit cards is ruining many a family now. It has always a tendency to provoke people to spend more. Those who are intelligent use it cautiously in an effective way in accordance with his or her financial capability and are thus always benefited by its use. But there are some people who never have the habit of considering the pros and cons of anything and they always make a bad use of it by lavish expenditure. They thus fall a victim to debt trap and sooner or later be ruined, if not, can change their bad habit. Do you agree with my observation?
1 person likes this
12 responses
@Rosa26 (2620)
• United States
6 Sep 11
Yes that is the bank has as much interest on you getting a credit card is because they know how most of the people don't control the use of it. And don't know how to use this good source with cleverness. I payout two credit cards and cut them but still have one that I haven't pay, I am not working so I am worried about how it is increasing but the first thing I will when I get money will be pay it. I hate to owe money. But it is a learning process for me and I am learning to not deal with credit cards if I am not sure on how am I going to pay.
@dorannmwin (36654)
• United States
22 Aug 11
A few years ago Tom and I were a little bit irresponsible with the way that we used our credit cards and it came close to getting us into a lot of trouble. However, we realized the road that we were on and signed up for financial counseling and a debt management plan. So, since September of 2009 we've been living without using credit cards at all and that really is a great thing. We will be done paying off that debt in just a few more months and I don't think that we will think about using credit cards again in our lives.
• India
20 Aug 11
Well this is very true. Credit provides us an easy way to purchase those things which we cannot even afford and later on we have to pay all those interest rates and other charges and the things are worse when we do not pay on time and the banks know well how to get money from you. Credit cards should be used very wisely the best is to keep a regular track of your spending as you will spend more if you do not actually know how much is already been spent and hence you will save a good deal of money otherwise you are in deep trouble.
@lelin1123 (15635)
• Puerto Rico
19 Aug 11
Truly I do agree with you. Thankfully I don't have credit card debt. There are so many people today without jobs and are using their credit cards to pay bills and buy food. Its outragous what is going on in society today. I think you should only use a credit card to gain good credit. So when you have the money for lets say a TV. You buy it with the credit card then pay it as soon as you get the bill. When you start tacking everything to the credit card and paying only the minimum or alittle more you will be paying so much more for the items you brought and it will take for ever to pay it back. I have been in that situation years ago and learned my lesson to never use it unless I have the money already in the bank. The credit card company that I belong to must really hate me because they are not making a dime from me now or God forbid ever again.
@blue65packer (11834)
• United States
19 Aug 11
Yes I agree with your discussion. People don't think before they get credit cards. At least a lot of people do. Some people don't think about paying monthly payments on those things! Then there are the people who have tons of credit cards and can't make monthly payments on them! Credit cards sometimes are to easy to get! I have seen some episodes on Oprah about getting people out of debt who want to get out of debt. It amazes me how many people are deeply in debt! One couple on one of Oprah's show about debt ended up more in debt! They took equity out of their house and spent in on stuff they sould not of! I work with a woman who lost her house she lived in with her husband and had like 20 credit cartds!Thanks to her husband quiting his job three years ago and he has not looked for a job in at least a year or more because he is lazy! She is supporting both of them and they also filed bankrutpcy! One situation that could of been avoided!
@celticeagle (124328)
• Boise, Idaho
19 Aug 11
Credit cards are made by the Devil I am thinking. They sure cause people alot of problems. It can become an addiction just like many other things. I know I have that tendency so I stay away from them. It is easy to be ruined by them. They add up quickly and it is too easy.
@tkonlinevn (5783)
• Vietnam
19 Aug 11
I agree with you. We should careful when we're using credit cards. We must always control how much money we spend. I only use debit card now. Because I think credit card is not suitable for me at present.
@Cutie18f (9560)
• Philippines
19 Aug 11
That is very true. In fact, in one of the shows of Oprah wherein they talked about financial freedom, I think they talked about how credit cards can destroy your finances. They suggested that in order to achieve financial wellness, one should first get rid of all credit cards. She suggested cutting up all your credit cards so you won't be tempted to use them again.
• United States
19 Aug 11
Sadly this is true and banks are making it so easy in this terrible economy to allow people to fall deeper and deeper into debt. With the whole buy now and pay later, also the cash advances, many are resorting to using them more. Yes we do have to have self control with them as not doing so will have one in debt for many, many years long the road.
@toniganzon (58488)
• Philippines
18 Aug 11
Oh yes i do! In fact most people who are falls prey for this kind of situation are those who are not that affluent in life. Credit card is a temptation to those whose income are enough for their daily living. They can buy things when they don't have cash at the moment so they tend to splurge thinking they can pay them later. But little did they know that they tend to spend more than their budget.
@Olleenz (3398)
• Indonesia
18 Aug 11
Credit card just another type payment tool. You can't blame them as the cause of the debt trap. It's depend on people who own it. If they can use it wisely, debt trap can be avoided easily. People who own it must have parameters why and when they gonna use it. Credit credit is commercial payment. It's mean they also make money from people who use it. It's their job to provoke people to use them every single day. Now depends on us, use it wisely or not.
@lampar (7591)
• United States
18 Aug 11
I can not agree more on your keen observation. Indiscriminate use of credit cards had already ruined many families, it also make the banks grow bigger quicker than just earn from loan lending and mortgage payment. Banks are more than happy to see these people spend and spend until the cow come home by charging all these credit card fee, transaction charges and overdraft interest rate from card holders.