Merits & Demerits of Credit Cards
Credit cards good or bad? It depends on the ways
of using them. First of all we will say about
the good side of Credit cards. Credit cards
ensure & allow you to make large amount of
payments up to as much as millions of dollars.
This is so for most laws in all states do not
allow persons to carry a lot of cash with them
but to use cheques or other means of payment. By
this way credit cards serve is used as the
alternative method that facilitates you to make
card has another advantage. Online transactions
are allowed to carry out by credit cards. This
is very good especially when you want to travel
you can pay for services such as car rentals and
hotel accommodation before leaving for your
travel destination. When you are traveling to
abroad then your credit card will allow you to
make purchases in that country as the funds in
your credit card can be converted into the
currency of that country using facilities such
as VISA. That means you will be able to carry on
making your payments as if you where still in
your country. This is one of the important media
of global exchange.
recreation can be possible through using Credit
cards as payment. Such as pizzas and other
takeaways, you can pay for items. Even in a
casino, you can also use your credit card. In
order to buy chips so you can gamble, casinos
allow you to withdraw your credit card funds.
After winning, you can have your money deposited
into your account thus making it convenient for
you for you do not need to handle any cash.
will say about the bad side of credit cards.
Credit cards make money look as though it were
virtual. That is why most people are able to
make huge payments when using a credit card of
which if it were cash they will be able see that
the money they are using is too much. This is
one of the reasons why credit card holders are
usually big spenders.
your funds can be withdrawn that is also allowed
by Credit and even you can get an overdraft such
that your account goes to negative. This will
mean that every month end you will be having a
debt. This can be a problem for some people.
This becomes a cycle such that either you cannot
cover the deficit each time you pay or new funds
get in they will be taken up by the negative
balance so what you do is take another overdraft
again. This can get so much out of hand such
that such persons will start to sell some of
their property just to offset some debts and in
no time their lives will be ruined.
the above analysis, we can conclude by saying
that credit cards are good but Credit card
owners’ cards have to exercise extreme
responsibility. It should be noted here that,
you must fall into a huge debt if you fail to
budget that you will be unable to handle and you
ruin your relationship with your bank. It’s very
credit card processing
merchant account to
accept credit cards today!