Credit Card Literacy Against Pitfalls

by Cecile Cinco

Credit cards are not all together good or bad. The good and bad of it comes from the knowledge and discipline, or lack of it, you know about it.

Most, if not all, would want one to even several. Why? Because you can buy things you need or want at the moment you saw the stuff. The problem starts when you cannot pay on time.

Credit cards are good if you have self-control. Companies offer their wares allowing credit card use so that they can make a sale right away. Buyers buy using credit card so they get what they want right away even when they don’t have money at the moment. The credit card company charges you interest and it is as good as getting a loan to buy the ware.

Today, it is very common to get some stuff at zero percent interest, spread into 12 or even 24 months. If paid monthly on time this is a good tool, whether you have excess money, or just enough to pay your monthly installments. Go beyond your due date and the horror begins.

Living on plastic is no joke. You have to be knowledgeable in what you are getting yourself into. It can teach you or train you self control or lose it and get in deep trouble.

Before getting one, literate yourself about credit cards. This is not only for adults but for teenagers as well since the card is now available to them. Parents, tell them about the credit education for youngsters so they can be able to manage their card without digging their own pit.

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