| Credit cards are one of the best financial tools you | | | | It cannot save you money |
| can have, but they can also be dangerous and leave | | | | Although credit cards are a great convenience and |
| you with lots of debt. If you are thinking about getting a | | | | can help you to buy purchases beyond your |
| credit card, then it important that you know the | | | | immediate means, credit cards don't usually save you |
| downsides as well as the benefits. This will help you to | | | | money. For example, if you decide to buy something |
| use your credit card more wisely and avoid getting into | | | | on credit in the sale and pay for it over time, the |
| debt. Here is some advice what a credit card cannot | | | | interest payments will usually cost you more than the |
| do for you. | | | | saving you made on the item. Credit cards usually cost |
| It cannot make you richer | | | | you money rather than save you money. Also, the |
| Although having a credit card will improve your cash | | | | interest that you pay and the fees that you are |
| flow and financial independence, it does not make you | | | | subject to outweigh the rewards that you are usually |
| richer. Many people who get into credit card debt do | | | | offered on credit cards. |
| so because they see their credit limit as their own | | | | So why get credit cards? |
| money. In fact, that credit limit is simply the amount that | | | | Although credit cards can put you into debt and can |
| you can borrow from your card issuer. Instead of | | | | be dangerous, if you are sensible and know about the |
| making you richer, every time you spend on your card | | | | risks they can be of great use. Credit cards are much |
| you are pushing yourself into debt. The only way to | | | | more secure than using cash or cheques, and allow |
| stay out of this debt is to make sure you can afford | | | | you to shop online where you really can save money. |
| to pay back what you spend. | | | | Also, carrying around a card is a lot more convenient |
| It cannot stop your debt problems | | | | than carrying around large sums of money, especially if |
| Many people get hold of credit cards because they | | | | you are travelling abroad. Furthermore, a credit card |
| think a credit card will help them solve their current | | | | allows you to buy items that you can afford, just not all |
| debt problems. If you are spending more than your | | | | in one go. Although saving up for expensive items is |
| income then using a credit card is not a good idea. | | | | more sensible, this is not always possible and credit |
| Credit cards are an expensive form of borrowing, and | | | | cards allow you more freedom to spend. If you can |
| charging things to a card will delay your problems and | | | | try and pay the balance off in full each month, then |
| put you further into debt. If you are having problems | | | | you will get the most out of your credit card and avoid |
| with debt then consult a debt counsellor who can help | | | | the things that credit cards cannot help you with. |
| you find the best way to manage your problems. | | | | |