It’s your birthday and you just turned eighteen. You get the mail and see this envelope with your name on it. You open the envelope and there is a letter that says you’re pre-approved for a credit card. You then mail the letter back and get approve. The happiest day of your life comes when you receive your card in the mail.
Many people think that credit cards only causes debit. They think that most college students are irresponsible. Many adults received credit cards as a teen and made a mistake with it, and they think that teens today will make that same mistake. Most college students see credit cards as a way to buy what they want not what they need. They see it as being free money. There are plenty of advantages that come with having a credit card. First and foremost credit cards are very convenient and useful in the case of an emergency. Credit cards also help to build your credit if you use it wisely. Now a day many credit card companies are offering rewards for using their credit card.
Credit cards are becoming more available to college students. Many students are attracted to credit cards, because they are very convenient and easy to use. They provide a feeling of security. There's no need to carry any cash; you can just take a credit card with you to the shop and charge for your shopping. Credit cards make it easier to purchase things. One does not have to carry a load of cash in his or her pocket. If you lose your cash, you cannot retrieve that. If you lose a credit card, you can immediately inform the card company to cancel the card. You can have another card in a few days.
Credit cards can be very useful in the case of an emergency. While you should avoid spending outside your budget, sometimes emergencies such as your car breaking down, car rental of a motel room for several nights may lead to a large purchase. Many people live paycheck to paycheck, and are unable to save for emergencies. But what happens if your car breaks down and you need a $1,000 or so to fix it? You might have that money in savings, you might not. But if you have a credit card, you have a way of getting your car back.
Many credit card companies offer rewards that you can never get by using cash, checks, or a debit card. Some credit card companies offer things such as free airline miles or travel discounts. They may also offer cash back rewards on purchases. These rewards can be a nice addition that comes in handy at times.
Having a good credit history is often important, not only when applying for credit cards, but also when applying for things such as loans, rental applications, or even some jobs. Using a credit card wisely, and correctly, will build your credit score and improve your future credit purchases, such as a home. Your credit reported in updated every month a payment is made. Lenders look at your credit history to see if you pay your bills, pay them on time, and how much you charge. If you have good credit rating that will help you later in your life.
A credit card can provide you with easy access to money you need today but can pay for tomorrow. Having the enhanced level of personal responsibility that comes with being able to own and maintain a credit card can only help you. Having credit cards can open other financial doors. It sets you on the path to financial stability.
Credit cards are very helpful and convenient. Many people think that they would never need a credit card, but that’s not true. Credit cards can help in so many difficult situations a person may face. The good thing about most credit cards is the fact that they come with special types of rewards, and they help build your credit if used wisely. You never know when something will happen, so it’s also a good idea to have a credit card on hand in case to don’t have any money. You don’t have to use a credit card just because you have it, you could just save it for an emergency.
The Advantage of Having a Credit Card
By Jaleesa19 - Posted on June 3rd, 2008
Credit cards are also capable of destroying a person's credit, and a college student applying for his first card is most vulnerable. Card companies know that college students will spend more than they can afford, and so they advertise heavily on college campuses and to that demographic.
An alternative for having quick cash available to you at all times is a debit card from your college's credit union. They work the same way as a credit card, except money is drawn from your savings account, and you don't have to worry about paying bills or out-of-control interest later on. Plus, credit unions, which exist on almost all college campuses, are not-for-profit financial institutions. That in itself makes them more trustworthy than a bank or credit card company, in my eyes.
Of course, there is no substitute to wise saving, investing, and spending.
It's really important for teenagers to learn about how credit cards and credit histories work. Building a credit history is essential to buying a house or car, basically in order to obtain a loan of any kind, unless you have a relative with a good credit history to co-sign. Credit cards are a simple way to build a credit history. Charge a purchase to the card consistently (like groceries) and pay the bill on time each month and in no time you'll be on your way to having a solid credit history and credit score. Delaying payment can be killer, because credit card interest rates are so high. I encourage everyone to learn about credit cards and credit histories. The best places are non-profit financial organization sites.
Common sense is as rare as genius. ~Emerson
Colorado November Ballot Measure to Legally Define a Fertilized Egg as a Person