In recent years, the majority of youth borrows money from banks. One of the effects of this is that; nowadays, adults get credit card easily compared to the previous years. In this situation, there are a few demerits; however, there are also several merits that cannot be neglected. This essay will discuss both these merits and demrits and I think the disadvantages of this trend outweigh the advantages.
To embark with, discussing the negative points, one foremost is that credit card creates a debt on a person. Whenever youngsters get their first credit card, they do not know about the rules of credit card. They might spend high money and create a debt on themselves; due to, credit cards provide unlimited cash. Furthermore, people have to pay high interest compare to other card. For example, in India, the mojority of youth have a credit card and they suffer from a high debt.
Moreover, it also affects their credit score. In case a person borrows some money from bank and he may not pay the interest rate and emi to the banks, so that bank can decrese his personal credit score; as a result, he can never take a loan from bank due to low credit score. Apart from that, youngster can never understand the value of money because they get this card with an extremely easy step.
Admitedly, there are a few merits that cannot be ignored; one major advantage is that people have access to get unlimited money. Another advantage is that they can discount on many electronic appliances.
To conclude, although youngster get credit card very easily, but they never aware about the consequences, such as it affects their health and credit score. No doubt, people get many advantages but it is not worth taking for them.