Many people are using credit cards or loans to run up huge personal debts that they may be unable to repay. It should therefore be made more difficult for the individuals to borrow large amounts of money. What are your opinions on this?

The following essay will go into detail about: the risks, rewards,

benefits

and my own personal opinion on taking loans and

credit

cards and will be answering the question about the difficulty in taking a loan. Taking a loan has many

benefits

but today we will talk about very few, including being able to pay a large amount of money upfront in case you need it

for example

, paying a hospital bill, buying a house. Or even smaller things like fixing the refrigerator and not being able to pay at the moment,

that is

a moment in which a

credit

card

would be the most useful in the sense that you can pay an expensive service that can cost up to 10,000 dollars, in smaller payments for a few months. Another benefit of a

credit

card

is the fact that it allows you to stay at a hotel and leave insurance in the way of your

card

. Another benefit are rewards and

benefits

that having a

credit

card

allows you to have

for example

: cash back in certain restaurants, discounts when staying at select hotels,

as well as

being able to maintain a good

credit

score that offers many

benefits

. There are

also

down sides to

credit

cards and loans

for example

, thinking you are able to pay for what you bought but not being able to actually afford it, dragging you into a long cycle of debt in which you fail to pay future

credit

card

bills because of your already existing ones. In conclusion, owning a

credit

card

and taking loans do have more

benefits

than not having them. Which is why I believe that the difficulty in being approved for a loan or owning a

credit

card

should not be increased because many people do depend on

this

system of debts in order to live.