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Are You In Love With Your Credit Card
By Steve Carter
Have you looked at your credit card lately? Can you remember what it looks like? Is it pretty?
Several credit card suppliers will now allow you to design your own credit card.
We are only talking about the appearance of the card here. Unfortunately they still won't allow you to design your own credit card that pays you to be in debt.
So why are they doing this? Well, it isn't about making you smile, though they might give that impression. It's all about money. Your money. It's your money and they want it.
The credit card providers want you to feel a close relationship with your card. They want you to Love your card. The way it looks and the way it matches you and the lifestyle you imagine you would enjoy. They want you to feel special, stylish and privileged every time you use your credit card.
So why would they care? Well, if they can make you feel special and happy each time you produce your card then you will use it more often and convince yourself that life is good, just so long as you keep shopping. You will use it to go shopping just to cheer yourself up. They don't much care about the longer term effects on your life.
Just so long as you can keep up the repayments for now they are happy.
So, what are we to learn from this? Well, if we turn the idea on it's head then we can learn a couple of important lessons here.
1)Don't fall in love with your credit card.
2)Don't have a card you like the look of so much that you want to "show it off".
3)Don't design a card to suit your dreams. Just have a very plain and simple, even boring, one.
Your credit card is there to serve a purpose. It's a financial tool and used sensibly can be just what you need when you have a temporary financial breakdown. Nobody chooses a tool because it looks pretty. They choose it because it will do the job required of it. You must treat creditcards just the same.
They serve an important function in the modern world. We all use them but do not use your credit card as therapy. Believe me, if you do then you will feel a lot worse when the bill arrives.
Your relationship with your credit card should NOT be one that suits the credit card supplier but one that suits you.
Keep control of your spending and keep control of your debts. Always remember that the credit card companies are not your friends. They are only interested in you because you will make them a lot of money.
Just think, for a moment, about interest rates. If you get around 5% currently for an investment then you will be fairly happy with that. Meanwhile most creditcards are charging around 15% or more. If we count store-cards in this, they can charge up to 30%. That is SIX times what you can get. Wouldn't you like to be a credit card supplier?
So think carefully before you use your card. Consider whether your purchase is actually necessary and if you decide it is, use real money for it. Your being in debt won't make you happy but the credit card company will be delighted.
About the Author
Steve Carter writes about personal finance. Visit http://www.moneywell.co.uk and find out how to reduce your debts
Article Source: http://www.simplysearch4it.com/article/27562.html
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