Credit Cards Mathematics & Economics Essay Research (Essay Sample)

“Who is Better Off: A Person using Credit Cards or a Person Refraining from Any Loans?”
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“Who is Better Off: A Person using Credit Cards or a Person Refraining from Any Loans?”
Whether one chooses to own and use credit cards or desist from any loans is a controversial personal choice. Various countries have democratized credit cards, which means that citizens from such nations are free to own them. Even though financial organisations support the impression of using credit cards, many individuals argue that they are the reason for increased household debts. Additionally, Bhattacharya and Londhe (2014) hold that credit cards have amplified materialism and decreased personal savings. Notably, people who shun from loans have a chance to save more for retirement, have more financial options, and enjoy reduced living cost compared to credit card owners.
Foremost, individuals who refrain from loans have an opportunity to save more for retirement compared to credit card users. According to Bhattacharya and Londhe (2014), approximately a third of the senior Americans acquire non-mortgage financial obligations at their retirement, a debit that is considerably caused by credit cards. Therefore, the high debt with reduced savings implies that many people face precarious financial problems as they head into retirement. Moreover, retirees without enough savings may not be well of to maintain their wealth. As a result, such folks find it difficult to cope up with medical expenses, which are obvious at retirement compared to their counterparts who desist from any form of loans.