No Having A Card Does Not Mean You Have Money

No Having A Card Does Not Mean You Have Money



No Having a​ Card Does Not Mean You Have Money
Most people advocate the​ case of​ credit cards,​ quoting the​ benefits and convenience that arises from them .​
However,​ there is​ another group/line-of-thought that strongly opposes credit cards .​
The reason being ‘Excessive Credit Card Debt’,​ which is​ one of​ the​ most serious problems faced by the​ credit card holders and credit card industry .​
However,​ you can’t pull the​ shutters on​ the​ credit card industry just because of​ a​ few irresponsible people (or even if​ it’s more than few) .​
That is​ not a​ solution for beating excessive credit card debt .​
Moreover,​ you can’t overlook the​ benefits associated with the​ credit cards .​
The issue of​ excessive credit card debt can be looked at​ from 2 angles .​
First is​ addressing of​ the​ excessive credit card debt problem at​ the​ industry level and second is​ the​ addressing of​ the​ excessive credit card debt problem at​ the​ individual’s level i.e .​
at​ the​ credit card holder level .​
The first method involves increasing awareness of​ the​ excessive credit card debt problem to​ the​ masses .​
This is​ more or​ less being done currently too .​
However,​ there should also be an​ effort to​ tackle this problem of​ excessive credit card debt at​ an​ even deeper level .​
This means trying to​ devise a​ mechanism to​ nip the​ problem (of excessive credit card debt) in​ the​ bud .​
This mechanism should actually be a​ part of​ the​ overall system .​
a​ lot of​ thought needs to​ go into devising such a​ mechanism .​
Case studies should be taken up,​ statistics gathered and a​ proper forum formed (with representatives from the​ credit card holders and from the​ credit card suppliers) .​
As of​ now,​ the​ credit card suppliers just seem to​ be engaged in​ coming out with new products and getting customers enrolled to​ those products .​
There is​ little attention paid towards addressing the​ problem of​ excessive credit card debt in​ the​ real sense .​
Something like attending mandatory seminars on​ the​ root causes of​ excessive credit card debt could be made part of​ the​ credit card application process .​
Another way of​ dealing with the​ problem of​ excessive credit card debt could be: developing a​ system for calculation of​ applicable credit card limit at​ the​ individual level i.e .​
no standard/product-based credit limits.
Then there could be mechanisms for proactively warning the​ users about excessive credit card debt (based on​ their credit card usage) or​ even imposition of​ early restrictions on​ noticing the​ first signs that lead to​ excessive credit card debt at​ the​ individual’s level,​ the​ treatment of​ the​ problem of​ excessive credit card debt would include following of​ best practices (on credit card usage and avoidance of​ excessive credit card debt) by the​ individuals themselves .​
a​ checklist or​ a​ set of​ questions could be provided to​ individuals for recognising the​ first signs of​ excessive credit card debt .​
So,​ the​ problem of​ excessive credit card debt can surely be dealt with by putting together some serious thinking at​ a​ broader level together with discipline at​ the​ individual’s level.




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