Report Advises How Not To Use Your Credit Card

Home/ADVICE/Personal Finance/Report Advises How Not To Use Your Credit Card

By Casey B. Miller | May 20, 2011 | Updated: Aug 24, 2019

Table of Contents

A recent report aired on a Fox affiliate channel covered a list of the six purchases that are very unwise to charge to your credit card.

Though intended mainly for entertainment, the report offered some very sound financial advice.

The top six, unwise credit card charges were listed as:

  • Gambling
  • College Tuition
  • A Lavish Wedding
  • Plastic Surgery
  • Tax Bills
  • Luxury Vacations

Some of the expenses listed are probably fairly expected. For example, gambling. It is considered to be fairly common sense that if you intend to embark on a gambling spree, you should set yourself a limit, take only that amount of cash with you and leave all of your credit cards at home.

It has also been fairly well publicized that it is not a good idea to pay tax bills on a credit card as they often incur additional charges on top of the interest charged by the card issuer. A much more sensible idea is to agree to a payment plan with the IRS to settle a large tax bill.

However, for some of the other items on the list, not so long ago nobody would have thought twice about charging them to a credit card. However, more recent advice suggests that it is best to save up for that dream wedding and not begin married life in unmanageable debt, and that unless you can afford to pay off the debt quickly, it is not a great idea to charge college tuition fees to your credit card. A luxury family vacation may create some wonderful memories, but managing the repayments on your credit card can leave lasting financial worries.

Recent changes mean that credit card rates tend to be higher than they were a few years ago when using a credit card for such large items was the norm. Large amounts of credit card debt now have a much greater potential to quickly cripple your personal finances. Secondly, as explained by credit counselor Ruth Mata,

No job is secure right now… Do you have enough money in a savings so that if you lost your job you could take care of the important things like your house, your living expenses, and make that payment?

American consumers have been recognizing these issues over recent years and have begun to adjust credit card use accordingly. All three major credit bureaus have recently reported continued improvements in consumer debt as we learn to use our credit cards much more responsibly.

0 Reviews

Write a Review

2019-08-24T06:50:16+00:00

Card of the Year

The Card of the Year 2019

ABOC Platinum Rewards Credit Card

News Cardholder Offer:

$150 Statement Credit

Card Most Attractive Features:

Bonus points , Intro rates , Late Payment Will Not Raise Your APR , No annual fee

at Other Issuers secure site

ABOC Platinum Rewards Credit Card

Things to Know About this Credit Card

  • 0% Intro APR on Purchases and Balance Transfers for 12 months; after that, the variable APR will be 14.40% to 24.40%, based on your creditworthiness
  • Earn $150 Statement Credit after you spend $1,200 on purchases within the first 90 days from account opening
  • Earn 5x rewards on up to $1,500 in combined purchases each quarter in popular categories such as dining, groceries, travel, and automotive
  • No upper limit on the points you can accumulate, and since points never expire, you can save up for a big award!
  • Earn Points on Every Purchase! It's simple: $1 = 1 Point
  • No Annual Fee or Foreign Transaction Fee
  • Select Your Rewards Your Way
  • No Foreign Transaction Fee

Intro APR

0%*

Intro APR Period

12 months*

Regular APR

14.40% -24.40% (Variable)*

Grace Period

25 days*

Annual Fee

$0*

Credit Needed

Good*

at Other Issuers secure site



Card Offers to Consider

2019-08-24T06:50:16+00:00
Newsletter

Stay up to date with our latest news and products.

Advertiser Disclosure

Market Pro Secure® is an independent payment card comparison service supported by advertisers, a complete list of which can be seen in our Editorial Guidelines. Even though some of these advertisers are financial product providers and credit card issuers, our paid partnerships don't affect card ratings or the Best Card Picks on our website. We don't post any content that is provided or commissioned by any of our partners. However, our paid partnerships may affect how and where products appear on our site, including the order in which they are presented within listing categories. This order may also be affected by our website rules, as well as the likelihood of the applicant’s credit approval. We can't offer any warranty for the accuracy of the credit card information we share on our website, even though we do our best to keep the Terms and Conditions, rates, and other credit card details up-to-date. For more accurate information, click "APPLY NOW" to get transferred to the credit card issuer's official website. Market Pro Secure® doesn't include all available payment cards in the marketplace.

ADVERTISER DISCLOSURE. Market Pro Secure® is an independent payment card comparison service supported by advertisers, a complete list of which can be seen in our Editorial Guidelines. Even though some of these advertisers are financial product providers and credit card issuers, our paid partnerships don’t affect card ratings or the Best Card Picks on our website. We don't post any content that is provided or commissioned by any of our partners. However, our paid partnerships may affect how and where products appear on our site, including the order in which they are presented within listing categories. This order may also be affected by our website rules, as well as the likelihood of the applicant’s credit approval. We can't offer any warranty for the accuracy of the credit card information we share on our website, even though we do our best to keep the Terms and Conditions, rates, and other credit card details up-to-date. For more accurate information, click "APPLY NOW" to get transferred to the credit card issuer's official website. Market Pro Secure® doesn't include all available payment cards in the marketplace.

EDITORIAL DISCLOSURE. Market Pro Secure® doesn't post any content that is provided or commissioned by our advertisers, the majority of which are financial product providers and credit card issuers whose offers we feature on our website. The entirety of our editorial content – including any opinions, analyses, reviews, and evaluations – belongs to the author alone, and has not been reviewed, approved, or otherwise endorsed by our advertisers.