Whether the credit card is necessary to you?
All good come to us from the West. Credit cards without which life is not imagined any more by residents of the developed countries did not become an exception also. Our cards began to be distributed actively by banks not so long ago. One banks distribute them to the right and on the left, others - only to the loyal clients. Nevertheless already practically everyone has a credit card. And whether you need it? Everyone can answer with
this question in own way. But let`s estimate advantages and shortcomings of use of credit cards.
At first we will talk about advantages . At their credit card it is several, but the most important is - existence of a certain stock of money which is available at any time. In case of need you should not ask them from acquaintances or relatives, and it is just enough to reach the next ATM.
The second advantage is of a discount and bonuses which you will receive when using credit cards for clearing settlements, that is calculations via terminals in shops. As a rule, it from 1% to 10%, and even is more. Well only you should not forget that neither the bank, nor shop in loss will never remain therefore especially you should not be guided by these bonuses.
One more advantage is the grace period during which it is possible to return means to bank exactly in that size in which you took them, and no percent will be raised. In use of this period there are many nuances which I will state in one of the following articles for now I just hint that not everything is so simple with this grace period on credit cards.
And now we will pass to shortcomings . There is not a lot of them, but in my opinion they are far more powerful, than advantages. Well this my especially personal opinion to which you can not pay attention.
In my opinion, the most important lack of credit cards financial drug addiction is of which a half of their owners complains. That is, having withdrawn once money, the majority already simply cannot stop and uses the card constantly, even when in it there is no special need. And if you repay the card regularly and without delays, the bank raises to you a limit and you remove more and more what you pay the increasing and bigger percent for.
The second lack of credit cards is higher percent in comparison with the usual commodity credits. As a rule, it is 1 - 1,5% higher. For Russia it is 2 - 3% a month (24 - 36% per annum), for Ukraine - 3 - 5% a month (36 - 60% per annum). Pay attention, I give here not an annual interest rate, but an effective rate which shows a real overpayment.
And now result and of the recommendation . Yes, in life there are various cases and money can be necessary at any time, any minute therefore will not prevent to have for emergency a credit card. But you should not put it in a purse, put her houses in the secluded place, do not unpack a pin at once - an envelope, and just put it in other secluded place. All this sacrament in order that you could not make directly in shop a rash purchase or that relatives without your permission could not use your card (for this purpose you place the card and an envelope in different places ).
If all of you - used the card and withdrew money, then try to return the most part of the sum as soon as possible, namely - to a grace period. Also do not stretch the remained sum for a long time and you extinguish quickly to overpay less percent. Well and the most important - if you once also withdrew money, then put before yourself the rule - not to remove again, yet do not satisfy completely the first debt . And that many come to other bank and ask to issue them the usual credit cash to close the card, so they repay the card and right there withdraw money back, and there is no end to this vicious circle.
Well and, of course, the ideal option which I use itself is a debit card, that is deposit . I postpone every month a certain sum for it, and, thus, I constantly just in case have money. Well and plus to it, on it constantly drips percent as on the deposit, gradually increasing my means.