so you're at the checkout counter and
you're wondering should I pay for this
with credit or should I just pull out
some cash well they're definite to using
a credit card you can earn perks you can
earn rewards you can earn miles you can
earn cash back problem with that is that
some people have trouble keeping a lid
on when they use plastic there's been a
lot of research that shows we spend more
with credit than we do with debit we
spend more with debit than we do with
cash and that's because using a credit
card feels like it's not real money
because it's not because you're
borrowing somebody else's money and that
can cost you a lot in interest if you
don't pay it back right away
if you find that you're susceptible to
spending too much money because you're
putting it on your credit card then you
want to use those credit cards only for
larger purchases that you know that
you'll be paying off over time keep in
mind you want to build a strong credit
record it affects the amount that you
pay on interest when you borrow money to
buy a house or borrow money to buy a car
it affects how much you pay for
homeowners and auto insurance whether
you can rent an apartment some employers
even check credit history these days and
so it's worth your time to make sure
that you're maintaining a good credit
history and a good credit score bottom
line a credit card is an important
financial tool to have in your arsenal
but like all tools you want to use it
wisely and if you can't use it wisely
you want to find something else
[Music]
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