by Kirsten Hines

Created on: October 05, 2010

Credit cards are a luxury. Unfortunately there are people that abuse credit cards for many things such as every day purchases: groceries, gas or lunch. Or they may purchase items that they just cannot afford: furniture, clothing or a vacation. In order to have a credit card you need to be able to manage your money.

Poor money manager

Someone who does not know how to manage his or her money should not have a credit card. If one is not meticulous at watching how much money he or she is spending each month on a credit card, it can cause serious problem. Having a credit card can be extremely tempting to purchase something you cannot afford. These purchases slowly add up. Soon a person who is not good at managing money may find a turn to a downward spiral into debt.

Reckless with money

If a person is someone who is impetuous when shopping it can cause serious problems. Going to the mall with a credit card can be difficult for someone who cannot control how he or she shops. If the person is reckless with money and purchases everything they see because they have a credit card they will put themselves into serious money problems.

No steady income

A person who is not working a steady job should not be using a credit card. While it may be tempting to use the credit card for purchasing items, it is important to live within one’s means. If someone is working temporary jobs or is working a job that does not have fixed pay, using a credit card can be dangerous.  Credit cards require minimum payments each month. If the income is not coming in a steadily, one may not be able to make payments.

Students

Credit card companies target college students with the lure of money. While having a credit card for an emergency can be important, a college student should not have a credit card for every day spending. It is important for a college student to learn to live on cash. Using a credit card to shop can put the student’s credit into dodgy territory.  A student may not have the income to cover the minimum payments causing their credit score to lower.

Credit cards should be used by people who are responsible with their money. If you are a person that is an impulsive shopper and doesn’t have a steady income it is probably best for you to not have a credit card. Wait until you have learned to manage money before you go off and start recklessly spending.

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