Is it worth it to get a credit card?

Question

I really don't want to get caught in the pool of oweing money....can anyone give me pros and cons of having a credit card?

Answer 1

YES!

Try renting a car or buying airline tickets without one. Try buying online without one. It's possible, but difficult. A CC is also very handy to have for emergencies when traveling.

Plus, at some point you'll need credit, for an auto loan or mortgage. A credit card is how you start a credit history.

You are already wise to spending too much. Just get one, charge a burger or pack of gum once a month, and pay it off on time every month. You'll build up a great credit history this way.

Answer 2

Hmm yes, it builds your credit if you stay on top. The key is to be responsible.
I have had my card since August (Well both cards since then)
I put only things that I need on it, and that I have in my bank account. And I pay it all off in full each month.
Pros, you don't have to carry cash, you feel safer no one will mug you, you don't have to pay interest if you pay in full each month before the bills due, and it's the best way to start your credit if you dont need a car or cant get a cosign for a car. Also easier online shopping.
Cons, some people do spend too much on them, you do incur the charges for interest if you just pay the minimum, you can charge things on there if you are needing something imprtant and waiting for your check to clear the bank.

I have not inccured any interest, any extra charges, and my first card is through my bank, so all I have to do is transfer funds from one account to the other.
BEst companies to try: I use my banks (National City) and capital one.
My sister has a chase card she got, and she doesnt have credit either.

Make sure you find one with no monthly or yearly payments or monthly minimums of a certain amount (some charge you for the use even if you dont use it)

Answer 3

Pros
- You don't have to carry around a lot of cash
- Using a credit card properly you build up a good credit rating which will help you when applying for bigger loans
- You are using the banks money first rather than your own
- Able to purchase items online

Cons
- Possibly tempted to spend more money than you can afford
- If you cant pay back the balance each month you will be paying internest on the money you owe

Overall if you use a credit card properly it is a very useful thing to have and makes life easier

For more info check out: http://www.mybestpurchase.com/credit-card

Answer 4

You say you got the cc when you were younger. How long has it been open and how long had your other cc's or loans been open? Your credit history accounts for 15% of your FICO score. If you cannot get the annual fee waived and are not too worried about your score dropping 10-20 points, then go ahead and close it. Just a note, 10-20 points can mean a lot if you are applying for any loans or a mortgage. That may mean you will end up paying more in interest on those type of loans than you would have with the $50 annual fee.

Answer 5

You don't need a credit card. Even if you pay off the balance in full every month, you're still better off using cash and/or a debit card. You'll NEVER overspend or go over your personal budget if you ALWAYS use cash. In regards to the credit score myth. . .which would you rather have. . .a high credit score or money in your savings account?
You stated in your question that you "really don't want to get caught in the pool of oweing money." Your instinct is right on target. Feel free to email me if you want to discuss this further.

Answer 6

In todays society you need to establish a credit rating. Some day you will want to buy a home or car, and without a credit history you will not be able to secure the loan.

I suggest you get a card with a very low credit limit ($200). Use it regularly and pay it off.

If you honestly think you do not have the self control to behave with a credit card, then get a secured card or a debit card. Then start educating yourself on how to budget your money.

Answer 7

Pro - You don't have to carry cash and you build credit.

Con - You most certainly will end up spending more than you can pay off each month and you will pay interest that you can't write off on taxes.

Answer 8

depends the only reason i would get it is for buying stuff online and emergences then yes but other then that no and it really is hard just having it around for emergences because ur going to be tempted to use it everyday u go to stores

Answer 9

pros-u dnt have 2 cary mony with u al around..& its safe..

cons-u will certainly have 2 pay da intrst & u wl nt hv a control on spending..

jst think about it nd do wts da best.. Good luck!!