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Credit Card Benefits
Do You Have A Credit Card?
A credit card has many benefits and it seems that these days it is a must have for your wallet. While they can be dangerous at times, they are also very beneficial for the responsible consumer. Not only can it help you get to places you have never been, but it can also help you out in a tight situation.
While some may tend to think of credit cards as dangerous, tempting them to spend money while there is no money to spend. The responsible person can gain many benefits, even if it means only having one credit card.
Do You Need Credit? Credit Cards Will Help Get You Started
In today’s society, you are rated by your credit. Having too much or none at all can be very damaging. Therefore, you need to keep yourself in good credit standing. When you are first starting out, one of the best ways to start building your credit is to get a credit card.
The first credit card you get will be exciting, but you need to be aware of the power the plastic holds. That plastic card can cover you in debt. Yet, if it is used properly, it can also create a good credit history for you.
The key to using credit cards is to make sure you pay off your debt immediately. In other words, if you don’t have the cash to spend, the rule of thumb is you shouldn’t be putting it on the card. If the card is paid in full each month, it will help avoid high interest, late fees, and reoccurring debt. It will also put you in good standing with other credit companies, making it easier for you to get a loan in the future!
Today's world revolves around credit. Without credit, you will find so many things out of grasp. Getting a credit card and using it wisely is one of the best ways to start building your credit.
Down on Luck? Credit Cards Help With Sticky Situations
While using your credit card because you have no other money is not always the wisest choice, sometimes it can help out when you are in a bind. Credit cards can become your best friend when you are having vehicle issues, house issues, or maybe just issues. It can get you out of a bind when you need it the most. If you don't have the extra cash, and you don't have a credit card, you might find the situation seemingly more stressful.
That being said, using credit cards just to use credit cards, should not be a way of life. But on the occasion, if times are hard and you need groceries on the table, a credit card will help you out. Just make sure you catch up as soon as possible. A mountain of debt can be hard to get over if not resolved in the early stages.
The Sky is the limit...
Travel With Your Charge Card
It can be a hard lesson to learn if you only have a debit card when you go on vacation. Debit cards are issued through the bank and are usually a direct link to your account. While you could have a big chunk of change in your account, the bank may put a limit on how much you can spend. The average limit is $500 in debit purchases or only $300 withdrawn from the ATM. If you spend more than that, they might shut your card off for excessive purchases.
In personal cases, my husband was not allowed to exceed a certain limit on his card regardless of whether he notified the bank first. In other cases, I have personally had my card shut off due to excessive spending, which can be very embarrassing when you know there is money in the bank, but your card gets declined. These experiences can be avoided if you have a credit card. Once you have maintained a good credit, you will also be able to hold a higher credit limit.
In addition, there has been times that our debit cards have been shut off because of excessive purchases that came across as suspicious. For instance, if you are going on a road trip, and you purchase gas several times in several different states, you might find yourself empty handed at the pump. I know, because it has happened to us. Nothing that a call to the bank can't fix, but having a credit card might be a good idea.
When traveling, a credit card is also helpful, and almost necessary, for renting a car. While you may be able to rent a vehicle with a debit card, the car rental company will usually place a large hold on your finances. If you have saved up for a vacation and are suddenly unable to access the money you planned, your whole vacation could be ruined.
In addition, there have been cases when car rental agencies just wouldn't accept a debit card, regardless of whether it has the Visa or Mastercard Logo. Can you imagine finding this out when you are miles away from home. In cases like this, it might just be better to have a credit card in your wallet.
A Tool In Your Wallet
Credit Card - A Necessary Tool
Credit Cards are a great tool. They have several benefits and as long as they are used properly, they can be invaluable.
While some people may think their debit card is just as good, credit cards are able to do far more. Credit cards will hold you liable for a smaller amount if your card is ever stolen. They will also be accepted for large purchases. They can also be used to reserve certain items, like hotels, vehicles, or tickets, until the purchaser has arrived.
In some cases, they will be a lifeline. If you are tight on cash, they might make you through a tough situation. The key to credit card use is to pay it off as soon as possible so you don't end up spending more than what the purchase was originally worth.
However, if you are not a responsible credit card holder, racking up credit card debt can be an expensive lesson. However, they still make a great tool! They come in very handy for scraping your windows off after that first snow or frost, especially when you forgot to put your snow brush back in your vehicle!
How about you?
Do you have a credit card?
Credit Cards Offer False Security - These little plastic cards can hold lots of power if used incorrectly. Credit cards can be beneficial, but does the benefits outweigh the risks. They can offer a false security blanket for those who aren't mindful!
Money doesn't grow on trees... unless you plant your own - According to Chinese Myth, the owner of a money tree will have good luck and fortune brought upon them. But, finding a money tree will be difficult. So plant your own!
About the Author
Stacy Harris, also known as Barbergirl28, is a wife of 12 years and a stay-at-home mom of two beautiful girls and one handsome little boy. After high school, she joined the Army to become a photojournalist. To this day, she continues to have a passion for writing and photography. After leaving the military, she obtained a license in Cosmetology and also studied Massage Therapy. Her passions include writing, photography, cooking, crafts, health, and fitness. Currently, she is working on a book and freelancing at Hubpages.
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If you would like to check out her blog Ramblings of an Undiagnosed Mad Woman, click here.