Advantagest and disadvantages using a credit card

7 July 2016

In modern commerce, credit cards are an essential tool. Credit cards are seen as a replacement for cash or known as plastic money. There are examples of credit cards in the world’s most famous includes American Express, Visa, and Master Card. In this country, from the view use of use credit cards as a trend among people entering working environment especially for young people who have just worked. Actually, the use of credit cards brings different implication whether good or bad. The main benefits of credit cards is that consumers no need to bring a lot of cash when you want to shop or purchase household.

This situation make consumers more interested use a credit card to make purchase either online or at the shopping mall and become easily. If someone wants to buy something just lifted up when the credit card to make purchases. Besides, our safety is ensured for not brings a lot of money to shop with the credit card to avoid thefts. Therefore, the consumers interested with the credit cards because the card make consumers cash is decreasing in each transaction. Moreover, lack of cash in any business of purchases also make users more secure safety.

Advantagest and disadvantages using a credit card Essay Example

Research had already proved that criminals commonly search for victims on the amount of money brought by the victims. Criminals will think twice about rob consumers knowing the victims does not carry a lot of cash every time when go out. Therefore, users feels more secure from criminals when using a credit card which does not involve cash. However, credit cards users also have the disadvantages such as users will spend excessively when using the card. Credit card purchases which does not involve cash facilitate the community to be thrifty every time out shopping.

They will be motivated to buy, attracted by cheap sale without realizing that they have the financial ability to spend more than their own. As a result, consumers who use credit cards will not be concerned with the value of money spent for no cash issued by them. In addition, excessive purchases will encourage people to be victims of bad debts anyway. Credit card number must be completed every month because failure to do so will result in the bank charges high interest rates as well.

The disregard of the aspects of the payment on time can carry card debt becomes higher than expectations. Then, the bank will take legal action to declare bankruptcy when the consumers as they fail to pay the entire credit card debt at a specific time. In fact, the case of credit card malpractice can also occur especially by criminal syndicates that consumer credit card cloning. Media reports have been broadcast many incidents without charge consumers themselves make the purchase.

Malpractice incidents occurred not only in this country but also the world as a credit card can be hacked by a computer easily. Indeed, crimes involving credit card malpractice criminal case is expected to be the most prevalent in the future. Finally, use of credit cards require a wise and rational evaluation of the user’s self. The declared bankruptcy rates continue to increase over the years, which proves that the use of credit cards continues to haunt our society. Failure to understand how this issue may affect the growth of the overall economy and bring economic decline drastically.

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