Credit card debt
Credit cards are a great financial tool, offering many benefits:- They can be safer and more convenient to use and carry than cash
- Credit cards offer the ability to buy goods and services now and pay for them later
- They have valuable consumer protections under the law
- Major credit cards are accepted by merchants around the world
- They may provide a source of cash or payment in an emergency
- Credit cards can guarantee hotel or travel reservations
- If you are not happy with a purchase you made using a credit card, you may have the right to withhold payment until the problem is resolved
At the same time, having a credit card is a big responsibility. If you do not use it carefully, you may owe more than you can repay, damage your credit report, and create credit problems for yourself that can be difficult to fix.
To qualify for a credit card you must be at least 18 years old and have a regular source of income. Despite invitations from credit card issuers, you will still have to demonstrate that you are a good risk before they grant you credit. The proof is in your credit report. Before you submit a credit card application, you may want to obtain a copy of your credit report to make sure it is accurate.
Article last changed on: 12-02-2008 at 12:14
