Is it wise to have a credit card?

Credit cards in and of themselves are not evil. It is the way we handle them that you should really question.

Before considering getting credit card, you should take some time to create a realistic monthly budget for yourself. Start with your take-home pay. Then write down all your expenses. Some are easy because they are always the same, like rent. But others are not so simple. If you don't really know what your expenses are, keep track of everything you spend money on for a few months at least.

You should be able to honestly say, "I spend $X.00 on rent, $X.00 on gas, $X.00 on food, etc. Don't leave anything out or you will just be lying to yourself about how much you really spend. If you like to party, then don't leave that out of your budget just because you think maybe you shouldn't party so much. Be realistic. Instead, keep track of exactly how much you spend on partying, and then add it in as a line item on your budget. To control your expenses, you need to know exactly what they are.

Anyway, after you've figured out your expenses, subtract them from your take-home pay, and look at how much you have left. That's how much you can afford a credit card. If your expenses are larger than your take-home pay, then you are guaranteed to have problems maintaining a credit card.

Here are some rules of thumb. 1) Read the fine print. Know exactly how much interest you're being charged for the privilege of using the card. 2) Always pay on time, or you will get hit with VERY large interest fees and late penalties. Spending money on interest fees and penalties is exactly like flushing your hard-earned money down the crapper. 3) Always make regular payments. Even if you can't make a full payment for some reason, always try to pay SOMETHING. Parties who review your credit history also look at the regularity with which you make payments. 4) Read & understand credit card bills. Don't take their word for it. Banks can make mistakes--and they do--a lot. If you find a mistake call and make them fix it right away. If there are false charges on your card and you don't get them taken off, you will be paying interest on penalties for something you didn't even purchase--again, just like flushing money down the toilet.

Remember, banks are not in business to be nice. They don't just give you a credit card because you are their friend. They are in it to make money off you, and they are as unregulated as they ever were. Never let yourself get carried away with buying stuff you couldn't afford if you had to pay cash.

But if you are careful with your card and treat it like cash money instead of like a toy, it is a very good financial tool to have. I recommend that if you are concerned, get your feet wet with a gas card. See if you can get used to handling the gas card responsibly before moving on to a regular credit card.

Yes, it is. There are many times it's necessary. Where wisdom comes into the equation is how you use said credit card and how you pay for what you've purchased on it.

yes, have 1 credit card ...more means headache:)

Absolutely. Just don't charge more then you can pay off at the end of the month. It simplies bookkeeping and provides a good record of your purchases. Get a reward kind of somekind that does not cost anything. There are a lot of them out their. Some places don't accept cash anymore ie: car rentals and some hotels.

yes if you can control your self and no if you can't

It is wise to have a credit card but you need to be even more wiser using it.

Only if ur wise enough to manage ur spending on the credit cards. Most of the time we become spend thrift because credit card enable us to indulge in buying things which otherwise either we do not afford or we do not require.

So evaluate ur need for the credit card before getting into the vicious circle of credit card purchases and payments.

happy shopping!!!

Yes, they are great for emergencies and when you don't want to attract unwanted attention by carrying large sums of cash. But for some people, handling them is like playing with fire.

Totally depends on you.
Benefits:
-Build Credit
-Get Rewards
-Don't have to carry around cash

Negatives:
-High interest rates if you don't pay
-Can give people the sense of being able to spend more than they can afford

If you use it wisely, it is always a very beneficial thing to have and use.

No. Definately not, unless you are traveling. Cards always have some sneaky way to charge you high interest and high fees. If travelling one is necessary to rent cars and pay hotel bills. It helps solve exchange problems in foriegn countries. If you must have one make sure you pay it all off with in the 20 day period. The interest rate is usually a real killer and you can end up paying far more the the product is worth.

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