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Credit Cards

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Credit cards are an inevitable factor in growing up. Once you turn eighteen it all starts. You receive applications in the mail daily and commercials appear on television as well. This starts to spark an interest. So you say to yourself, "I think I'm responsible enough to get a credit card, I'll only use it for emergencies." Then you apply and it may take a couple times to finally be approved for one. This only makes it worse, of course, because you realize how long you have waited and now you get to buy anything you want, after all you don't have to pay it off for a month. The year is 2001, more and more teen's own credit cards and are already establishing their credit history. This essay will prove the truth about credit cards and what it's like to be in debt. It will also show the easy ways in which commercials and credit card companies can lure you into debt. 


Credit cards seem to be the easy way to purchase things. If you want a pair of pants but don't have the cash, you can just charge it. In reality, credit cards are not that easy. Once you are approved for a card the company gives you a credit limit, which is proportional to your income. On the average, an eighteen year old would have about a $250 limit. Which is good because it means teenagers cannot charge past the maximum amount of money. When a credit card is maxed out it means that you have hit the highest amount of money you can spend and it won't let you spend anymore. A month later when you receive your bill, the full amount will be shown and the minimum amount owed. The minimum amount is a feature on a credit card that allows the buyer to pay only a certain small sum of the money. For example the bill is $222 and the minimum amount you can pay is $15-$25. If you choose to pay the minimum, the interest value comes in. Each time you don't pay in full, interest rates are charged onto the original bill. This is how people with credit cards run into debt. People just pay the minimum each month, but also keep charging until it's maxed out. This can have serious effects on your credit history as well. "Your credit history is very important, as it stays with you wherever you go. Your credit history lists the credit cards, how much you owe, and how timely your payments were"(Visa Student p 1). 


The main reasons that young adults get into debt are because of their consuming passions. Teens want everything, the right clothes and the right shoes, but usually they have no money to buy it with. This is where credit cards come into play. Many individuals see credit cards as free money. They assume that they can buy it now, and of course, pay it later assuring themselves and their family that they will have the money. This comes down to responsibility; can teens handle budgeting their money? Some can and some can't, it all depends on what your priorities are. If buying a Prada backpack for $100 is most important, than you better find a way to pay that off in a month. Credit cards are just another factor in growing up. It's learning what boundaries you have and what responsibilities are important. 


The steps of getting out of debt are few and simple. One is to stop spending money you don't have or limit the usage of your credit card. The debt will never get cleared up if charges keep appearing on the bill. Another way is to limit the



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