Why Is Having a Credit Card Such a Bad Idea?

Q: Why is having a credit card such a bad idea?

Rachel’s Answer:

Nothing good comes from credit cards. You spend money you don’t have with ridiculous interest rates, and if you breathe the wrong way, the credit card companies will nail you with all kinds of penalties and fees. It happens all the time.

Debit cards are always a better idea because they are connected to your bank account—which means you’re using actual money, not a promise to pay later. That should make you feel the “pain” of spending a little more, but it’s still not as instant as using cash.

Using cash instead of plastic will make you spend less. It hurts more when you hand over cash instead of just swiping a card. Credit companies spend millions and millions of dollars on marketing to make you think living in debt is just a part of life.

But don’t buy it. When it comes to debt, you want to be weird. You don’t want to be normal. Everyone else is trying to keep up with the Joneses, but the Joneses are buried in car loans and huge mortgages and credit card debt. That’s no way to live

When it came to credit cards, my dad always told me, “If you play with snakes, you’ll get bitten.” That’s great advice. The best way to avoid financial drama is to stay away from credit cards.