I’m sure that there is no need for me to start writing the definition of credit, as most of you already have at least one credit already or are about to get one soon. But is the credit a necessity or is it just trendy? Have you ever wondered how did our parents managed to live their lives without having a credit card? And…was their life better that way?

I believe it was, based on the following reasons:

  • Interest rate – usually you’ll have a quite high interest rate for a credit card and you’ll end up paying 2 or 3 times the credited amount. And things get even worse if you are late in paying your monthly rates. It is like a vicious circle from which it can be pretty difficult to get out help but that doesn’t get you out of paying the credit.
  • The equivalent in purchased goods – most of you will notice that you are using the credit card to buy goods you can very well do without or which can wait until you manage to raise the money to buy them. But you buy them anyway. Why? Just because it makes you feel better. So you end up paying a high interest to the bank just so you can feel better? Quite a pretty expensive good mood, I would say!
  • The temptation – trust me, it is always there! Funny thing: every time you’ll manage to cover a part of the credit, you’ll not consider that you still have to pay the difference, but rather that you have some extra money to spend. And you WILL spend it! Some even get the second credit card in an uninspired attempt to close the first credit card. They only end up having 2 credits to pay.
  • The risks – yes, there are some risks you are exposing yourself to when carrying a credit card in your wallet, such as interest rate increasing, hackers, identity thieves and many others. There are also few less dangerous, such as buying something you don’t really need just because there is a promotion and you have the money available (even if it isn’t really yours).

I have a credit card myself, I’m not going to lie, and I am working on closing it and never getting one again. It is too easy to get it and too difficult to get rid of it…kind of like drugs. So, if you don’t have one yet, you should think twice or more before going to the bank. Isn’t there another way of getting the money you need? And if you have a credit card already sorry, but it’s too late for you…

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