Cutting your cards
Continuing last article on managing your emotion to be free financially, this time we’ll discuss about credit cards and its effect on your financial life’s. These days almost every grown up people on this world having cards, either its an credit cards or debit cards. Those two has its own function and benefit, but having both of it are good as long as you could use it wisely.
Some people more like using debit card rather than credit cards, its simple, they just don’t want to be trapped on lots of debts. For some credit cards are think to be temporary savers, they use it to get instant cash immediately. Both of them are good, but its better to know their functions first. A debit cards are withdraw directly from your account, while credit cards are withdraw in the next month.
Now that you know its function, its start to cut your cards, its not necessary having lots of cards, ideally you have one credit cards and one debit cards. Use credit cards only when its urgent, while debit’s are use on daily basis. The purpose is you’ll now your cash flow, when you know you only have little money on your account, you will try to adapt your life style so that its enough till the end of the month.
What was the urgent stuff, and why we’re using credit cards instead of debit cards? Urgent stuff are some unpredictable things such as an accident, or suddenly your car were crash, or your children / parents need money for their medical. For you who have sufficient funds in your savings, you could withdraw it immediately, but for some, its time to consider using credit cards. Play wise on your cards and use it only when you need it the most.
The less your needs, the less you’ll spend. Cut your cards, use it wisely, finally you’ll be financially free.
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