Credit Cards Pro's And Con's

Face the fact, everyone will or already owns at least one credit card. I myself have 3 major credit cards and through the process of my adult life have seen the pro's and con's of having one of these magic plastic cards in my wallet. I did go through a bad experience with them when I first started receiving offers in the mail for them. When I was 23, my husband and I bought a home, credit card companies saw this new transaction on my credit and started to believe I could handle a credit card. Personally at that time I could not, just still being so young, and a couple years later I had up to 18 credit cards in my wallet. It took me 7 years to understand the good and bad when it comes to credit cards and I would like to share my advice with you so you will have a better understanding of the plastic cash when you decide to get one and use it.

PROS
1. Easy access to cash. No need to hit up the ATM, just swipe your card and your purchase is made.
2. Extra money. When your paycheck that week just is not enough, you are able to use your card and make a purchase when you just didn't think you had enough money to do so. This comes in handy when you come up on a good deal. For example, last week, my husband got paid, however, after paying bills and grocery shopping, the money was all gone. We were at a local furniture store that is having a liquidation sale and came across a bed that was originally $250 that they were going to sell to me for $100. We are in need of this bed for our youngest child because he is on the break of almost outgrowing his crib, so the bed was a must have especially at this great deal. No money, but I did use my credit card.
4. Emergencies will arise. Children get sick, you may get sick, tires go flat, cars break down and so on. Usually you never budget for an emergency, so the credit card will help you out to pay for those emergency expenses.
5. Credit cards allow you to explore the world. It is very easy to use your credit card to book your next vacation and expenses for it.
6. Credit cards do help you rebuild or establish your credit, as long as you use them wisely!

CON'S
1. Interest rates will hurt you. If you are not careful, you can wind up with a big interest rate on your card. To me anything 15% or higher is to high for me. When you have a high interest rate, and you only pay the minimum payment each month it could take you years to pay off just one item.
2. Easy access to cash also means you have a green light to shop for things you may not need. For instance, you are sitting in your favorite store looking around and see this one new item they have, but you know you don't need it. However, at the time you are looking at it, you can say to yourself, I will use my card and not have to worry about breaking my wallet just yet to get that must have item. Next thing you know a month has passed and you haven't even used that item and it was a real waste of money.
3. Late charges will hurt you. I have a Sears credit card. Now, this is no disrespect for Sears, cause I love their store, but their credit card is really harsh. I am currently in the process of paying my card off with them and I have not used the card in years, however I still have a monthly bill to them that is $10 a month. One month I accidentally forgot to pay my bill on time, family matter came up and it slipped my mind. A few days later when I remembered it was due, I said, well I will just pay the late payment the next month, no worries. Little did I know the next months payment was my $10 regular amount due, $10 from the past month and a $50 late fee added on to it. I was floored when I saw my bill at $70. It is very easy to forget to make a payment on time!
4. Monthly fees, yearly fees, membership and so on will kill you. I had this one credit card that I did not read the small print and did not realize til I got the bill the first month after receiving my card. I had $225 balance already on the card before I even used it because of the membership fees, monthly fee and yearly fees. I had to pay that off first and didn't even have anything to show for the money that was spent!
5. Too many credit cards will hurt your credit. If you have so many credit card balances on your credit report certain banks and loan companies may decline you when you are in need. This will also push down your credit score.
6. Easy to not pay the balance back. I can not tell you how many times I bought something, telling myself I was going to pay the balance off the next bill due, and just write it off when the bill comes in the mail because I spent the money that I was going to use to pay the credit card.

If you plan on getting a credit card I do ask you to ask yourself how are you when it comes to spending habits. If two cents burns a hole in your pocket then safe to say you do not need a credit card. However, if you are a pretty thrifty shopper, and can save a penny, then you should be alright. Either way, just make sure you weigh all the pros and cons and then get all the information you need about the credit you have on hand now or trying to get.