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7 Reasons to cancel credit cards

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By: anonymous
on 26th Feb,2014

Recently, it was noted that US Treasury is printing fewer dollars. However, there are various reasons to cancel and get rid of the credit cards.
7 Reasons to cancel credit cards


Recently, it was noted that US Treasury is printing fewer dollars. This actually means that we are moving towards an all-plastic economy. However, there are various reasons to cancel and get rid of the credit cards. Here are few of them listed for you:

1. Get rid of debt:  A lot of people use credit cards to borrow money and pay off other debts. This turns out to be a financial disaster later on. The high interest charged on credit cards make it difficult for the borrowers to pay off the debts.  If you don't have a credit card, you won't be incurring this unnecessary debt. Thus, you'll be able to avoid a financial disaster.

2. Spending less: In a recent study, it has been found that people normally tend to spend more when they use credit cards.  If you carry cash with you and forget the plastic altogether, you'll find that you are spending less and thus, you'll hardly incur any debt.

3. Budgeting is easy with cash: Last year, when I visited a financial planner, she encouraged me to use cash. When I followed her advice, I found that cash was actually making the budgeting automatic! Also, I was actually able to stick to my budget!  So, make sure to use cash while you go out for shopping or plan to stick to a budget.

4. Shop online:  You can still shop online though you start using cash. You can buy a prepaid card and charge it up with cash. While you use a prepaid card, you'll have to pay for it in advance with cash. Moreover, it will have a limit. Thus, it will help you curb the urge of shopping more.

5. Maintain privacy: Credit cards will help others in tracking you. Using cash will help you in maintaining your anonymity. Thus, if you love your privacy, go for cash instead of your credit cards!

6. Avoid identity theft: All of us worry about identity theft while handing out our credit card details in order to make a purchase. Though the banks try to maintain security, yet  identity theft is a common thing is today's world. However, if you use cash, it will help you in avoiding the identity theft.

7. Bonuses aren't everything: Quite a number of people use credit cards in order to get the benefit of frequent flyer miles or other bonuses. However, in the recent times, it has been found that airlines are cutting back on such flyer programs. So, it's better to not get tempted by such offers and go for more such credit cards.

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