Credit Card Essay

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Do you really need a credit card?
There are many people who will claim that everyone needs a credit card, you just need to learn to use it responsibly. They will say there are many good reasons to have a credit card. They are safer than cash, or you need to have at least one for a financial emergency. You also need them to help build your credit rating, and some will tell you that a credit card is mandatory for certain purchases. There are even those who will tell you that credit cards, when used properly, are financially profitable. Let’s look at each one of these reasons for needing a credit card.

They are safer than carrying cash and offer protection from theft
No kidding. But the truth is a debit card is just as safe. If your debit card …show more content…

One is renting cars; the other is hotel rooms. In both situations, the business does not know what your final bill will be, and they also need to protect themselves from damages. With a credit card, they will first block off a certain amount of money, and then when the final bill is known, they will charge this amount to your credit card. This is usually a lower amount than the initial amount they reserved on your card. But a company can do the same thing with a debit card. You only need to make sure you have enough on your debit card to set aside temporarily until the final bill. The bottom line is that you can use a debit card with certain rental agencies and hotels. You need to call ahead to find out who will take a debit card, and if so, how much they will reserve on your card. You will run into a few companies that won 't take a debit card, but this is a small price to pay for financial freedom.

Credit cards are financially profitable
There are many people who like the idea of cash back when using a credit card, but this usually doesn 't financial sense unless you have a card with no annual fee, and you never carry a balance. Only people of large financial means fall into this category, and having a credit line is too much temptation for most people. Besides, there are debit cards that offer cash back on signature purchases. In other words, when a debit card is used like a credit card, you can earn cash back.

My final thought on

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