There are many reasons why people rely on debit cards and they are, for the most part, understandable. After all, if you want to be able to make payments without having to carry too much cash around, a debit card will be able to make matters less cumbersome for you. With that said, are there reasons why it's important to minimize the amount of debit card usage over the course of time? There may even be those who will do away with debit in general but there are certain points that Bobby Jain can bring to your attention.
It's hard for me to say that debit should done away with, especially when so many individuals make use of it. To simply change a financial method without easing into another can be a problem, to put it simply. I would argue, though, that there are reasons to keep debit usage to a minimum and I am sure that Bob Jain, along with other financial authorities would be able to agree. Here are just a few reasons why debit should be kept to a minimum, according to names like Jain.
According to a report shown on USA Today, debit should be cut down on because of how it can potentially increase credit scores. Keep in mind that one of the reasons why said credit scores should be built is because of the idea that they can allow loans to be attained easier. One of the biggest points that lenders look out for is your propensity to make payments. As a result, in order to keep your score at a high level, you should take it upon yourself to utilize debit to a lesser extent.
If you want to be able to keep a budget, it is important to focus more on credit and less on debit. One of the reasons for this is because you will be able to take a good look at your credit statement and ensure that you understand where your money is going to go in the long term. With this in mind, you should be able to put together a better budget for yourself. If you were to utilize debit options, though, it's not likely that you will maintain records nearly as well.
If you are someone who is attracted to potential rewards, you may not want to use your debit card. Instances like cash back will not be nearly as prevalent with debit options as they are with credit, so going with the latter may benefit you. Whenever you spend a certain amount of money at any given location - gas stations and restaurants being a couple of examples - you are able to make a certain percentage back on your card. Surprisingly, credit is, ultimately, a more cost-effective choice.
It's hard for me to say that debit should done away with, especially when so many individuals make use of it. To simply change a financial method without easing into another can be a problem, to put it simply. I would argue, though, that there are reasons to keep debit usage to a minimum and I am sure that Bob Jain, along with other financial authorities would be able to agree. Here are just a few reasons why debit should be kept to a minimum, according to names like Jain.
According to a report shown on USA Today, debit should be cut down on because of how it can potentially increase credit scores. Keep in mind that one of the reasons why said credit scores should be built is because of the idea that they can allow loans to be attained easier. One of the biggest points that lenders look out for is your propensity to make payments. As a result, in order to keep your score at a high level, you should take it upon yourself to utilize debit to a lesser extent.
If you want to be able to keep a budget, it is important to focus more on credit and less on debit. One of the reasons for this is because you will be able to take a good look at your credit statement and ensure that you understand where your money is going to go in the long term. With this in mind, you should be able to put together a better budget for yourself. If you were to utilize debit options, though, it's not likely that you will maintain records nearly as well.
If you are someone who is attracted to potential rewards, you may not want to use your debit card. Instances like cash back will not be nearly as prevalent with debit options as they are with credit, so going with the latter may benefit you. Whenever you spend a certain amount of money at any given location - gas stations and restaurants being a couple of examples - you are able to make a certain percentage back on your card. Surprisingly, credit is, ultimately, a more cost-effective choice.
About the Author:
Seeking some additional details regarding Bobby Jain? Simply call Bob Jain Credit Suisse today!
No comments:
Post a Comment