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No cash but need to purchase something? Have a credit card with you? Cashless purchases are becoming rampant nowadays. The purchasing power of many people is now also dependent to that small card being swiped in the teller’s machine. After swiping, as long as the credit limit is not yet exceeded, a successful transaction has just happened. People become dependent on using credit cards. In fairness to these credit card companies, they have helped us in times of emergencies, when we are in deemed need of financial assistance.

Credit cards also make purchasing easier to others. Imagine purchasing products online by simply keying in the credit card number! But we should bear in mind that in spite of the many advantages we could get from using credit cards, there are also always disadvantages. For a fact, credit cards can be dangerous. For one, credit cards do not help us budget our finances. Without proper management, use of credit cards might lead us to huge bills that we might not be able to pay. In such a condition, our financial suffers from paying our credit card bills.

Another thing, using credit cards online might bring risks to our account by possible intrusion of online credit card hackers. It’s not possible that hackers might have accessed to our transactions, see our account number and worst, use this account number to purchase items for themselves. And the poor credit card holder might be shocked upon seeing other transactions in her bill. The hackers might also use the credit card account number to access the information about the card holder.

Also, when credit cards are stolen, and when the card holder was not able to report it immediately, the thief might be able to transact using the stolen card. Credit cards have advantages. But we should always remember that there are disadvantages, too. Use credit cards seldom, if possible, do not use them at all. Spend money wisely. Manage finances properly. Budgeting is the best option than relying to credit cards. Reference “Advantages and Disadvantages of Credit. ” Mountain State Centers for Independent Living. Retrieved March 07, 2009, from http://www. mtstcil. org/skills/budget-12. html