Technology has been evolving rapidly and has been touching every aspect in every industry. One particular industry that is being affected with the advancement is the financial industry. More and more online stores accept payments and almost everything that you can purchase from the internet is paid by a credit card.
The credit card is a very reliable means of transacting with merchants in physical stores and online. They work well for paying goods and services being purchased without the need of carrying a large amount of cash in your bag or wallet. But the real question is when would be the right time to get a credit card especially if I just got in on my first job.
Here are a few tips you can look into when you feel like it’s time to get yourself a credit card.
- Having Your Own Source of Income
Credit card companies send out the so called “Pre-approved” credit cards to a prospective holder regardless of their status. And all they need to do is call and provide their personal information to activate the card.
It is never wise to get a credit card unless you already have a source of income. Credit cards have been known to encourage an individual to spend beyond their means because of the credit limit that has been granted to the holder. Remember, you are using someone else’s money when you use a credit card and that it will need to be paid at a future date. Without income, it will be a struggle to pay off your debt.
- You Are Disciplined with Expenses
You have to check how your spending habits go. Do you spend on small things which often times are not something you need? Knowing how your spending habits are will help you determine if you are disciplined enough to control yourself from buying stuff you don’t really need. If this is a concern, it is most likely that you will use your card for items you don’t really need and accumulate a large amount of debt.
- You Prioritize Convenience
It is important that the way you see a credit card is for convenience purposes. Most people view a credit card as a means to buy things which they cannot afford. This should not be the case. It is important to know that having a credit card is to help you with ease of transacting with merchants.