A Debit Card Is A Smart Card

by : Rachel Yoshida

So many people of our generation have allowed themselves to become slaves to the credit card. It is very hard for some people to function without them. If you are one of the lucky ones who might still have a few credit cards that have not yet been maxed out yet, then it probably will not be long until they are.

No one can deny that when you purchase things with your credit card that there is a powerful heady feeling that you can get just from going ahead and buying something immediately that your budget really can not afford There is also nothing that can make you lose that heady powerful feeling as fast as when your credit card statement comes in and you realize exactly how much whatever purchase you made is really going to cost you by the time you get it paid off.

If you actually have credit card debt that you can manage, then you are a rare breed. Although it is entirely possible to use credit cards responsibly, and many people do, there are those of us who are much better off to only use the money we have available to us. This is where a debit card from your bank can be very useful to have.

Since the way of the world these days is to pay for everything using a credit card, it can make purchasing things over the internet or when you are out of town difficult. A debit card is used almost exactly the same way and accepted the same places as credit cards, but you do have to have money in your account to pay for the purchases that you make at the moment you use the debit card.

The attractiveness of a debit card might not be obvious at first, but the first time you use it to pay for gas or anything else and you realize that the purchase is not going to come due with interest at the end of the month, then you will discover a new feeling of power, the power of becoming debt free. It is entirely possible to retrain and wean yourself from using that interest accumulating plastic card and become more comfortable knowing that you are living within the limits that your budget allows.

Once you discover that is better to pay as you go, then you may find that it is easier to actually save some of that money that you have been throwing away on credit card interest. Any financial advisor will tell you that if there is any interest going anywhere, it should be interest you are getting from your money saved and not interest you pay out because of money you have already spent.