Credit cards have the following 9 advantages and 4 disadvantages:

The advantages are:

1. Owe less favors

Encounter No need to borrow money from friends and family when you need cash urgently to meet your immediate needs.

2. Relatively safe

Use a credit card to spend, so you can carry less cash with you - even if it is stolen or lost, the loss can be reduced.

3. Clean and hygienic

With large cash flow, you can easily imagine the bacteria on coins, but credit card consumption is clean and hygienic.

4. Save money

Many banks’ credit cards have cooperation or promotions with merchants, and you can get discounts if you use credit.

5. Convenience

There is no need to elaborate on the convenience of swiping a credit card.

6. Relieve economic pressure

If you have a certain amount of financial pressure to pay a relatively large amount at one time, you can use a credit card to pay in installments, enjoy your favorite items in advance, and pay back the money. Reduce stress.

7. Accumulate personal credit history

Using more credit cards and repaying them on time and in full can improve your credit limit and credit rating.

8. Convenient financial management

After the credit card statement date, we will receive a detailed consumption statement in the form of paper or email. From the statement, we can clearly understand our own expenses in the previous month. consumption and expenditure.

9. Additional benefits

Some credit cards also provide free accident insurance, medical insurance, towing and car washing, enjoy the services of banks or airport VIP lounges, and can also redeem points for flights and exchanges. Gas and other benefits.

The disadvantages are:

1. Blind consumption. Spending with a credit card does not seem to be your own money, and blind consumption is easy to occur.

2. Excessive consumption, using credit cards, buying good things whenever you see them, and easily exceeding the budget.

3. The interest rate is high. Once consumption cannot be repaid in time, the interest rate is very high, which is not cost-effective and affects personal credit.

4. Fraudulent use. Once the card is lost, you don’t know it. It is easy for others to use it fraudulently, and you have to bear the loss yourself.