Do I Need a Credit Card?
Though credit cards are unquestionably convenient, they also open the door to overspending, which could explain why the typical American household carries roughly $16,000 in debt. If you're not keen on paying interest, and don't want the stress that comes with making monthly payments on time, you may be wondering whether it's worthwhile to get a credit card in the first place. After all, if you pay all of your bills from your checking or savings account, what's the sense in opening the door to temptation?
But while it's true that many working adults establish good credit and manage their finances just fine without a credit card, there are also different benefits to having at least one, such as cash-back rewards and purchase protection. And in some cases, you actually need a credit card to do things like reserve a car rental or hotel room. That's why it pays to get a credit card, even if you're planning to use it sparingly.
IMAGE SOURCE: GETTY IMAGES.
Source: Fool.com
