A friend told me that he has just discovered how useful a credit card it. At first, when he was offered a credit card by his bank without applying for it, as you know, the credit card market is so competitive now, banks offer free credit cards to their customers without solicitation, and he declined the offer. Funnily, he reapplied to the bank recently and even though he was first offered the card for free, he now has to go through all the hoops of application and approval like everyone else. And he said that he has to wait for the outcome of approval or rejection.
Anyway, while credit cards are very useful, I cannot stress enough how one has to use credit cards carefully, mindfully. I read, with alarm, that a high percentage of bankrupts in the country is in that situation because of credit card debt. The key to using credit card is to only charge the amount that you already have cash in the bank and pay the balance in full monthly so as not to incur interest which snowballs way too quickly.
Anyway, while credit cards are very useful, I cannot stress enough how one has to use credit cards carefully, mindfully. I read, with alarm, that a high percentage of bankrupts in the country is in that situation because of credit card debt. The key to using credit card is to only charge the amount that you already have cash in the bank and pay the balance in full monthly so as not to incur interest which snowballs way too quickly.
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