About Credit Cards, Debit Cards

If you are thinking of getting your first credit card, be sure you know the difference between a debit card and a credit card. A debit card is nothing more than plastic checks. It serves little purpose other than eliminating the need to carry larger amounts of cash around. It does not help your credit rating.

Therefore, a credit card is better than debit card.

Remember these fundamental philosophies:

• Credit can be a best friend or a worst enemy;
• Credit cards are not for incurring or accumulating debt: They are for emergencies, convenience and record keeping only;
• You should use your credit cards to pay for the things you already buy anyway, like gasoline, insurance, and groceries;
• Do not charge things unless you can pay your statement “On Time and In Full” when the bill comes due;
• I suggest you get an account with no annual fee, even if the interest rate is higher.
• The interest rate is not overly relevant if you pay the card in-full every month and thereby avoid paying any interest
• If you are thinking about getting a new credit card, I suggest you check out www.creditcards.com

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