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You would rarely see an American household without a credit card. Nowadays, an individual has an average of two to three credit cards. Credit cards are deemed to be the most powerful plastic card n the world. Even with the absence of cash, one can still make a purchase or procure services.
But good as it may seem, a credit card can also be the cause of one's financial burden. With an instant and great purchasing power, who wouldn't get tempted to go on a shopping spree?
One of the greatest benefits of owning a credit card is your ability to make online purchases. Without leaving the comfort of your home, you can still do your favorite hobby - shopping.
When traveling, you don't need to carry with you a bunch of cash with you. This could be very dangerous. With your credit card, you could make a purchase, rent a car, book a hotel room or dine in a restaurant. Just a tip though: when you use your credit card to make a purchase internationally, don't give in when they ask you to convert the charge to local currency.
As it has been said, great things come with their own pitfalls. While credit cards give you the freedom to buy things you are also subject to paying high interest rates and when payments aren't made on time, additional charges apply.
Credit cards are one of the greatest products of technology. Since credit cards are used for online transactions, a cardholder cab be exposed to identity thieves. In America alone, there are about a couple of dozen who get victimized by credit card identity thieves.
Owning several credit cards is not a crime. While a lot of people think that credit card is the reason for their fall, the truth is that it's really our spending habit which leads us to burden. If you think that the new gadget you're eyeing on is not too important then don't buy it. Know your priorities and use your credit card only on things which are categorized as necessity.
Interest charges are a real burden to the consumer's back so to save yourself few bucks, pay your bills on time to avoid penalty.
Manage your card or cards wisely and you'll enjoy the greatest advantages of owning a credit card. Remember, these cards are meant to make your life more comfortable when it comes to purchasing and not to cause you too much burden.
