Although almost everyone has a credit card now, many people actually don’t know the risks of using credit cards. I will analyze it from the three most important points:

1. The risk of blind consumption

Swiping a card for consumption is not like using cash. Using one makes your heart bleed. Once you swipe, you don't feel anything. A few numbers, thousands or tens of thousands are just swiped out, leading to blind consumption and money flowing down the drain. When it was time to repay the loan, I regretted it too much.

Furthermore, where the credit card limit is placed, I always feel that I am so rich. The bank gave me tens of thousands of dollars, which seems like a pie falling from the sky. However, it seems like a pie, but there must be a lot of money. There are traps, it depends on whether you can avoid them.

2. Overdue risk

Some people in Madagascar can never remember when their repayment date is. Or you may have bound a debit card, but forgot how much you spent and did not deposit enough money into the debit card.

These behaviors will lead to overdue risks. Of course, if you just forget to return it occasionally, the impact may not be big. But if you owe money maliciously, you will basically not be able to get a loan to buy a house or something. After all, in today's Internet society, all your information is universal.

3. Risk of fraud

Credit cards basically allow password-free payment by default, and many people abroad use them this way. Therefore, when a credit card is lost or stolen, it is easy for it to be swiped, causing unnecessary trouble or losses.

In China, usage habits are different. Most people use their credit cards to make purchases using their passwords. Although a password is required, there is still a risk of credit card being stolen.

So, we must protect our personal information and credit card information. Don't lend your credit card to others, and don't sign up for random apps that you don't know what they are. There are risks.

I am chimooo, a financial expert. For more financial knowledge, please follow my WeChat public account pipilulicaiji. Let’s embark on the road to financial freedom together.