People today increasingly use credit cards to make monthly purchases. Do the advantages of this outweigh the disadvantages?
Credit
cards are considered as plastic money to replace the original cash in some critical situations. In this
modernised world, predominantly their usage
has been increasing drastically by society for paying their monthly expenses because of its merits. This
essay would discuss the outweighed advantages over disadvantages with relevant examples.
The effective usage
of credit
card
brings in a certain kind of discipline to the individual. A little more in detail, credit
card
payment gives an additional benefit of using the amount from the bank without interest for a maximum of 50 days. Consequently
, to utilise this
benefit, people adopt to proper time
management by paying their bills on time
. For instance
, the credit
score of citizens is increasing in the recent past years by 17% as per the RBI statistics because of timely payments. In addition
, this
avoids hard cash usage
, consequently
, drives the nation towards the digitalization. To be more precise, every transaction done by the credit
card
becomes a taxable amount and counted as a white transaction. For instance
, the governments are pushing the citizens towards the digitalization by decreasing the interest rates of banks.
On the other hand
, untimely payments make an individual fall under defaulters by the banks. There is a certain time
period provided by the bank for each individual based on their transaction dates. People have to abide by that and payback to the banks on time
. For example
, there are 13% of the overall credit
cardholders are blacklisted as defaulters by the banks in the last
year. In addition
, over usage
of money beyond their limits is another criteria, pushing the individuals to avoid the payback to banks. To be more precise, people are losing their financial strength and overspending beyond their capabilities. For example
, 8% of the credit
card
holders are declared as bankruptcy every year against this
reason.
To conclude, the majority of the people across the world are using credit
cards for their monthly expenses. While there are ignorable disadvantages of credit
cards, the advantages outweigh the disadvantages if every individual is committed and accountable while using the credit
cards.Submitted by eshwar10882 on
Unauthorized use and/or duplication of this material without express and written permission from this site’s author and/or owner is strictly prohibited. Excerpts and links may be used, provided that full and clear credit is given to Writing9 with appropriate and specific direction to the original content.
Your opinion
Don’t put your opinion unless you are asked to give it.
If the question asks what you think, you MUST give your opinion to get a good score.
Don’t leave your opinion until the conclusion.
Here are examples of instructions that require you to give your opinion:
...do you agree or disagree?...do you think...?...your opinion...?