Advantages of a credit card
The Chinese are credited with coming up with numerous inventions including gunpowder, umbrellas, chopsticks, paper and paper money.
Lamentably, (from Chinese point of view) the honors of coming up with plastic money went with early American capitalists.
From the time John Biggins, the inventor of a first bank issued card, had his first eureka moment in 1946, credit cards have evolved to become one of the most versatile ways of paying, and this is why.
Once issued with one, the need to carry around unsafe, dirty and bulky cash is significantly diminished. I say diminished because some small scale merchants (who perhaps are scared of technology) will still insist on being paid in cash. Further, credit cards enables you to build up a credit history, but only if you always pay on time.
In some countries such as UK, if you buy goods using a credit card and the goods turn out to be faulty, they are usually insured for a period of time, say two months, and you can be indemnified even for total loss. Credit cards are safe, and even if gun-totting miscreants help themselves to your wallet, you can make hit back by simply calling the credit card company and canceling the stolen card. Another thing going for credit cards is that you can keep track of your transactions, and it’s thus easy to keep track of your expenditure.
I could go on and on, and whatever the doomsday prophets say, plastic money is here to stay.
WITH CHRISTMAS JUST ROUND THE CORNER we need to remember this:--
Credit Cards Do’s and Dont’s
There is a lot of truth in the advice that credit cards are not a substitute for not having money. Every time you use a credit card this should be the theme replaying in your mind. And you would do good to remember the following too.
The Chinese are credited with coming up with numerous inventions including gunpowder, umbrellas, chopsticks, paper and paper money.
Lamentably, (from Chinese point of view) the honors of coming up with plastic money went with early American capitalists.
From the time John Biggins, the inventor of a first bank issued card, had his first eureka moment in 1946, credit cards have evolved to become one of the most versatile ways of paying, and this is why.
Once issued with one, the need to carry around unsafe, dirty and bulky cash is significantly diminished. I say diminished because some small scale merchants (who perhaps are scared of technology) will still insist on being paid in cash. Further, credit cards enables you to build up a credit history, but only if you always pay on time.
In some countries such as UK, if you buy goods using a credit card and the goods turn out to be faulty, they are usually insured for a period of time, say two months, and you can be indemnified even for total loss. Credit cards are safe, and even if gun-totting miscreants help themselves to your wallet, you can make hit back by simply calling the credit card company and canceling the stolen card. Another thing going for credit cards is that you can keep track of your transactions, and it’s thus easy to keep track of your expenditure.
I could go on and on, and whatever the doomsday prophets say, plastic money is here to stay.
WITH CHRISTMAS JUST ROUND THE CORNER we need to remember this:--
Credit Cards Do’s and Dont’s
There is a lot of truth in the advice that credit cards are not a substitute for not having money. Every time you use a credit card this should be the theme replaying in your mind. And you would do good to remember the following too.
Do’s.
- Always plan for the purchases that you need and those that you want. You need the essentials, and you want everything else. The ability of making a distinction might help you plan wisely.
- If caught up in financial difficulties, it’s always good to talk to the issuer who might re-schedule your payments. If you simply default, that only helps to build up an unfavorable credit history and you might find yourself being denied credit next time.
- Unless it is an emergency, staying within your credit limits will help you a great deal. If you must spend over the limit, ensure you are within the manageable levels, say within 30 percent.
- And if your mails are flushed with more favorite deals than you currently are enjoying, you may approach your issuer for a better deal. They want to retain you as their customer, so they will listen.
Dont’s
- Do not use your credit card to make house hold purchases. It’s expensive in the long run
- Do not just pay the minimal amount. You will end up paying exorbitant interest. The quicker you clear the debt the better.
Do not use the credit card to purchase things you can’t afford.
If only we all took notice of this the world would not be in the financial state it is today
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