Credit+in+America

=Credit in America...A Tragedy of Great Interest=

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Credit today is a way of life. Merchants encourage consumers to use credit to buy all kinds of goods and services. Banks and stores offer credit in the form of cards, loans, lines of credit, and all manner of short-term and long-term financing. Some transactions are difficult to make without a credit card, such as reserving a hotel room or making an online purchase. It's no longer enough to ask "How can I get credit?" but "How can I WISELY MANAGE credit?" Unfortunately, credit trouble has infected and inflicted much pain into the lives of so many young Americans. Let's take a look at the good, the bad, and the ugly of Credit in America.

Advantages of Credit
Used correctly, credit can greatly expand your purchasing potential and raise your standard of living. For example, credit allows you to purchase expensive items now that you do not currently have enough cash to buy, and then pay for them over time. As a result, you can enjoy items like furniture and a car earlier in your life than you otherwise could. Making payments on these loans helps establish a [|good credit record] that will help with obtaining loans in the future.

Credit can also provide emergency funds. A sudden need for cash can be solved through the establishment of a Line of Credit, a pre-established amount that can be borrowed on demand with a loan process. With a line of credit, money is always available to you for lifes "ups and downs" such as temporary loss of employment or sudden illness.

Credit is convenient...Credit is easy....Credit is dangerous....

"Compound interest is the most Powerful Force in the Universe" _Albert Einstein

media type="youtube" key="avDG25nTc3k" width="425" height="350" Credit purchases increase the price of the item because of what's referred to as "finance charges." The most common of these charges are wrapped up in "Interest Charges" or the amount the company will charge you over time for purchasing, or using your credit. The amount of interest increases over time, thus increasing the cost of the original item bought....simply put, the longer you take to pay for the item, the more expensive it ends up being. The convenience of paying over time can be financially devastating...witness below...an all too common family!

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