Credit Cards – Good, Bad or Neutral?


If you can control it – GOOD!  If it controls you – BAD!  NEUTRAL?  Hardly ever!

Let’s get one thing understood! Credit Cards have been invented by banks to make THEM money – that is the only reason they exist. 

The only way you can use them and not be in debt forever to the issuing bank is to pay the monthly charges off each month and prior to the due date.  Now, this may sound easy, but you are dealing with banks and they can make this difficult to do. 

How?  Well, once you have their card,  they can change the terms and conditions of the card you have without your ability to effectively protest.  Such a change is to “adjust” when they charge you interest.  To get around not getting interest from you when you pay off your balance each month is to start charging you interest for your purchase from the time you make the purchase up to the monthly due date.

If you carry an unpaid balance on your card from month to month, then it is not good – it is BAD!

For example, if you have arrived at the credit card debt point where you are paying the minimum monthly amounts on the card, guess what, you are in the control of the issuing bank.  This is a BAD thing!  You will be subject to late charges, over the limit charges and big jumps in your interest rate.  The bank now has you in their debt for your lifetime.

Here are two examples:


  1. You have a $5,000 credit card balance.
  2. Your budget can afford $130 per month.
  3. You have missed the due date at least one time and they raised your interest rate from 12.99% to 29.99%.
  4. You have decided to not charge anything on this card due to the high interest rate.  You want to pay it off and cut it up.  How long will it take to pay it off?

ANSWER:  128 months 0r almost 11 years!


  1. You have credit card that you use regularly.
  2. You have a credit limit of $6,000.
  3. You currently have a $3,000 balance and you try to keep it there.
  4. You have monthly purchases on the card but you can make high enough payments to keep the balance at $3,000.
  5. You feel that you are in control of your credit card.  However, you are not in control, the bank issuing the card is in control of you.  Why?

With that credit card philosophy, you are playing into the hands of the bank that issued the credit card.   You will ALWAYS be in debt to them and paying them interest. You will never be out of debt.

Well – it is difficult to live without credit cards.

But Be Aware that Credit Cards are for the Benefit of the BANKS.


About Gary

I am retired, but not tired. I still want to be valuable to others. I know that others are valuable to me. After looking back on six decades, I have asked myself this question: “What do I believe?” My mind filled up. My heart started beating faster. My spirit soared. I post blogs to share what my mind is working on, what my heart believes would help others and, what my spirit is communicating to me. What do I believe, you ask? Decisions dictate your path In love, not hate In tolerance, not prejudice In health, not sickness In wealth, not poverty In kindness, rudeness In happiness, not sadness In encouragement, not discouragement In faith, not doubt In courage, not fear I have been and will be challenged in each one of these beliefs, but the biggest belief is to stay positive and not turn negative. This belief helps me maintain all of the others.

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