The Advantages and Disadvantages of Having a Credit Card

- by Erin Redfern
A Guide to Credit Cards in the UK – Chapter 5

Should I get a credit card? In this article, Cashfloat explores many of the advantages of having a credit card, as well as many of the disadvantages. Discover new things to ponder!

Chapter 5, The advantages and disadvantages of having a credit card- Cashfloat Chapter 5, The advantages and disadvantages of having a credit card- Cashfloat

There are conflicting opinions about credit cards. Some people point out the benefits they provide in convenience and buying power, while others insist that they should never have been created because of the debts they cause. In truth, whether taking out a credit card is a good idea or not depends on you. Are you the type of person to recklessly spend, without thinking about how you’ll pay for what you’ve bought? Or do you stick carefully to your budget, choosing to use a credit card only when you know you can afford to do so?

Deciding whether or not to get a credit card is a serious question that requires plenty of thought. In this article, Cashfloat, a responsible UK payday lender, presents several advantages to having a credit card and explains some of the disadvantages and pitfalls as well. What do the experts say?

consider the pros and cons before taking out a credit card- Cashfloat consider the pros and cons before taking out a credit card- Cashfloat

Opinions about credit cards are as mixed amongst cardholders as they are amongst experts and there is no doubt that, when used incorrectly, a credit card can cause serious financial damage.

However, it is important to understand that a credit card is merely a financial tool. It is how it gets used that will determine whether or not it is dangerous. Look at the advantages and disadvantages listed below to get a clearer idea of whether a credit card is a good idea for you or not.

The Advantages of Having a Credit Card

Below is a list of the main advantages that credit cards provide:

Credit cards can be considered a safety net, but it is also important to remember that, just as with short term loans, any money borrowed will have to be paid back.

So, there you have the main advantages to having a credit card. Using a credit card will allow you to use someone else’s money to conveniently cover your expenses. However, it will only be free if you pay the balance off before interest is applied. If you know yourself and you probably won’t be able to afford the bill then it may be better to steer clear of credit cards. However, if you are a responsible borrower, they can be very useful.

The Disadvantages of Having a Credit Card

These are some of the disadvantages of having a credit card that you may want to consider before opening an account:


In this chapter, we looked at many of the advantages of having a credit card, as well as some of the disadvantages. In the next article, we will explain how credit card contracts work. That is, what it means financially, to have a credit card. We will also look at some of the things that you should take into account before you decide whether or not to go for a credit card and how you can get one.

Credit cards are a useful financial tool when used correctly, but if a credit card is not right for you in your current situation, it could make everything far worse.

Cashfloat - advantages of credit cards
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About The Author
Erin Redfern
Erin, a native Londoner, combines her love for the city with her passion for writing. With a first-class degree in Mathematics, Elizabeth chose to pursue a career aligned with her real passion—writing.
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