20100123 Credit Cards (2)

Credit Cards

Conversation B

Dave: Just keep in mind that it's easy to spend more than you can really afford with a credit card. I really feel I need to caution you about overspending. I started using one my freshman year.

Sean: For what?

Dave: Mostly for living expenses.

Sean: I heard credit cards can help you keep track of stuff like that. You see everything on your bill.

Dave: That may be so, but things got out of control really quickly.

Sean: What do you mean?


Dave: I spent too much and couldn't make even the minimum payments. So I got another credit card to pay the bill on the first one, and then another one after that.　Before I knew it, I was in major credit card debt.

Sean: So what happened?

Dave: Well, I had to get a part-time job to pay off that debt.
Not only that, but now my credit is ruined.

Sean: That’s terrible. But if I pay the full balance every month, I will avoid all those problems, right?

Dave: Right, but that takes a lot of discipline. I suggest you get a student loan for tuition and save money for what you plan to spend in Hawaii.


Sean: Sounds like credit cards aren’t as magical as I thought!