“When you use cash instead of plastic, you spend twelve to eighteen percent less because spending cash hurts” (“Dangers of Debt”). The issue of cash versus credit has become a big issue in society today. One may see benefits in using cash, while another may see benefits in using credit. However, the statistics are in favor of using cash, not credit. Using cash is a better decision than using credit, because cash is harder to let go of than credit, credit makes one go into more debt, and credit has risks and fees.
“56% of teens agree that it is easier to buy things with a credit card than cash” (“Dangers of Debt”). A piece of plastic does not mean to anyone. It is a lot easier to let go of money when it is in the form of a card that you swipe, than if it is in the form of paper money that one actually has to let go of. “Researchers studying the neurological impact of big purchases hooked up an MRI to participants and watched their brainwave activity. They found that when people spend cash it neurologically registers as pain” (“Dangers of Debt”). One can actually feel and see the cash when they spend it; that is something that one will not see or feel with a credit card.
“Americans owe $850.9 billion in credit card debt per household in 2013” (). Debt is among one of the most prominent reasons that using cash is wiser than using credit. Many people will spend money on their credit cards thinking that they will pay it off at the end of the month, but, in reality, that rarely happens. The credit card companies trick their customers into believing they will get rewards, but the interest that has to be paid on credit spending completely overruns the rewards that are promised. “The average family owes $8,000 dollars in ...
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...itionally, another advantage of credit is the rewards that some credit card companies offer. Most major companies offer cash back, frequent flier miles, and other rewards programs. Those rewards are something that one will not find in using cash. However, cash has more advantages than credit does, so it is the better option.
Credit may have some advantages over cash, but cash has more advantages. Credit has fees, debt, and no emotions to go along with it. One is more emotionally attached to cash. The debt one can go into using credit is unreal. The way that credit card companies make their money is with the unnecessary fees they tack onto using credit. One should think twice before getting drawn in by the hounding credit card companies; they are not a multibillion dollar industry for no reason. “When you pay with cash you “feel” the money leaving you” ().
At the end of the day, credit shows true financial independence and having excellent credit can get you what you want and save you a lot of money in the long run with the possibly of lower interest rates. Credit is a universal number that landlords, lenders, finance company and even an employer look at to determine your
Since time is money, time wasted is money lost. Keeping the penny around has seen noticeable degradation in the economy by slowing down transactional efficiency. The NACS (National Association of Convenient Stores) analyzed how the penny affects convenient
One of these advances is credit cards, which are now used instead cash and pennies. Rick Kahn, writer for Globe, perfectly demonstrates how the penny has been subsided by stating that the penny has been “shoved out of the economic picture by charge cards.” While credit cards have taken dominance over cash all together, when cash is used, bills are more common than pennies. Even more so, one can’t buy really anything with the penny anymore, making it even more useless. Also, bills are much easier to grab for than digging for pennies. As a result of this, pennies disappear because they are literally more trouble than they are worth (Safire). Pennies have become impractical. The use of this extremely low denomination coin is more so a burden than anything else, and are no longer needed in the money system. Because of new technologies, pennies have been rendered useless, are no longer necessary for buying products, and should be
Credit card debt is one of this nation’s leading internal problems. When credit was first introduced, and up until around the late 1970’s, the standards for getting a credit card were very high. The bar got lowered and lowered to where, eventually, an 18 year-old college student with almost no income and nothing to base a credit score on previously could obtain a credit card (much like myself). The national credit card debt for families residing in the United States alone is in the trillions (Maxed Out). The average American family has around $9,000 in debt, and pays around $1,3000 a year on interest payments (Maxed Out). Many people have the concern today that these interest rates and fees are skyrocketing; and many do not understand why. Most of these people have to try to avoid harassing collecting agents from different agencies, which takes an emotional and psychological toll on them. While a lot of the newly recognized “risky” people (those with a doubted ability to make sufficient payments) are actually older people who have been customers of certain companies for decades, the credit card companies are actually consciously targeting a different, much more vulnerable group of people: college students. James Scurlock produced a documentary called Maxed Out on this growing problem, in which Senator Jack Reed of (Democrat) of Rhode Island emphasizes the targeting of college students in the Consumer Credit Hearings of 2005
Credit cards are something that are almost needed in everyday life now, as most dont have the money available to purchase a car or house and so need credit, thus needing credit cards to help build that credit. Those cards are hard to handle, and receiving applications in the mail daily, and commercials appearing on television don’t seem to make the struggle of staying away any easier. This starts to spark an interest. So people begin to think, "I think I 'm responsible enough to get a credit card, I 'll only use it for emergencies." Then the application process begins and it may take a couple times to finally be approved for one. This only makes it worse, of course, because realizing how long a credit card wasn’t applicable to life, but now
D. Thesis and Preview: It is important to know how to use credit cards to your
What really makes credit cards attractive is that they are not hard to acquire. The two main things that credit card companies look at when issuing credit is personal credit score and established credit of the business owner or owners (Wade, 2006).
When shopping for your daily expenses such as food or shopping for yourself for a night out, no matter what the occasion is you always have the options on how you would like to pay with cash or credit. Everyone has their own opinion on whether they prefer cash or credit. I believe there are many pros and cons to each one but I prefer to use credit in many ways. There are many differences and similarities when it comes to convenience, safety, and expense for cash and credit. Which one is worth to use more?
Over the last ten years people in the United State and around the world have heavily relied more on their debit or credit cards to process transactions of their purchases. In the old days it used to be when you would get your paycheck on Friday and rush to the bank during your break or lunch in order to cash withdraw your funds or deposit them into your account. It used to be where you carry cash to buy groceries, pay bills, and go shopping. Now some people don’t even set foot inside their bank branch because they are paid using direct deposit or the funds are loaded into a debit card provided by their employer. Many employers from around the globe don’t even issue paper check anymore. Bills are often times paid online, babysitters are accepting electronic payment such as PayPal and even food trucks now take electronic payments. According to a Washington Post column by Michelle Singletary society and businesses embrace using cashless ways to pay for things than the old time traditional “cold hard cash”. In my opinion there should still be cash circulating out in the world. My first ...
I started to save my money by considering my credit card use. Before considering my credit card use, I am going to tell the reason why should I save my money. Using the money I earned, I could buy some nonessential grocery items like games, equipments for the favor and so on in Japan. I am used to that living, sometimes I need to be patient to buy some stuffs in America. In America, I have a lot of situation to use the credit card. The good point of credit card is that I can pay money easily and safety. The reason why I need to save my money is that I totally rely on the money my parents pay for me.
By offering consumers both a means to pay for goods and services and a source of credit to finance such purchases, credit cards have become the most widely used credit instrument in the United States. As a payment device, credit cards are a ready substitute for checks, cash, and debit cards for most types of purchases (Federal Reserve, 2013).
Credit cards are helpful to have on you when you make large purchases and when you do not want to carry large amounts of money around. On the other hand, cash can be easy to use when making small payments on the spot. Credit cards can be safer because people can let the bank handle their money and if something goes wrong it is the fault of the banks to get your money make or reimburse any money that was lost or stolen. You may see people of the older generation use more cash transaction because they can handle their own money but in today’s advancing society more people are changing to credit cards and online
If we don 't have credit cards, we can’t build our credit history. If we don 't have a credit history, we aren 't allowed to buy cars or houses with low monthly payments. Having credit cards is a cycle in life because without one thing, we can 't have the other. When people have credit cards they have to use them. It doesn 't help that banks offer many credit cards to people, ending in high debt. Banks also encourage low monthly payments. If people pay low monthly payments, they will never end up paying their credit card debt off. They will probably end up paying for the objects they bought, two or three times. People aren 't forced to pay high monthly payments in order for it to take longer to pay the card off. If it takes longer for a person to pay a credit card debt, the credit card companies will be making a lot of money. I can definitely say I have experienced this because I am always offered to get a credit card. There are many stores that carry their own credit cards, and offer them for their customers. Offers are tempting and they can add to a future of credit card debt.
To some, this prospect may seem daunting. However, given the major advantages of electronic money over outmoded paper counterpart, society as a whole should embrace the upcoming era of digital money. Digital money is undeniably convenient; anyone who has used a credit or debit card understands this. However, the era of digital money is only beginning; rapid technological advances will continue to make paper money a remnant of the past. Several innovations are already lessening the burden in your wallet.
In conclusion a cashless society seems positive and quite close that we actually think, but the main issues of these opportunities will solely depend on whether the benefits would outweigh the disadvantages. We can already see that many people agree with the government on the cashless economy but on the other hand other people such as Christians will not probably accept this as a norm. It is vital to understand if society moves to a cash free economy, the benefits must distinctively overshadow in the end. It appears that much has been done in terms of the awareness of a cashless society as technology advances in progression with the use of electronic devices and system without the exchange of anything tangible. However