Reasons to Live Without Credit Cards

Reasons to Live Without Credit Cards

  1. It was going to cost over $200 per annum since his home loan was repaid. No longer having a bank’s wealth package meant the whopping fee was no longer waived. You see when you get a home loan with major banks they often throw in the free credit card. When you repay the loan the credit account may automatically revert to a full fee basis.
  2. The higher cost credit accounts normally add a reward or award program. This works by your accumulating points on a per dollar spent basis and once you have enough points you can redeem on a variety of goods. Having rewards and awards benefit is just another thing on the list to do in a busy life, so get rid of your points and buying things you don’t really need.
  3. Simplify your life and have less bookkeeping and account paying to do.The less accounts you have the less you need to look after, particularly if you are a busy business person.
  4. To make payments easier just have a debit card attached to your relevant bank account which allows the card to be used as a credit account anyway. This way you can avoid any extra fees. Just be sure to have some money in your account.
  5. By having these cards, you may at some stage miss a payment or overdraw your limit and be stung with fees or the big interest charges they have. Not having one avoids these fees.
  6. For some it is just a recipe for disaster to have a credit card, each requires discipline and control. If this is not you or for younger people try cutting them up. It can be an expensive lesson to spend and spend with ease only to have year of repayment pain ahead of you.
  7. Security risks are getting higher. Commonly unauthorised transactions occur recently in investigations and explanations, phone calls to phone centres yuck. Swipe coping and paywave security are not overly trustable. So beware your credit card security too.
  8. Try transferring your card to a low interest period card transfer. Then once repaid; you can get rid of it.
  9. Making the mistake of not repaying a credit account can end up as bad credit history for you. This will mean you may not get loans in the future.
  10. Make sure the card account is closed. Check you get a financial statement to say so. Otherwise it may be still open and further charges may continue like direct debits.
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