Is Credit card a Death card.

Easy access to credit through credit cards has increased indebt ness among people in society and led to number of evils, including high rate of suicide.

The statement argues that the use of credit card has allowed people to easy access to money. Further it says some people who are unable to pay the money back commits suicide. I believe that high credit balance cant, in most cases, push a person that far where he/she decide to commit suicide. Therefore i disagree with argument completely.

People commit suicide when they end up in a situation which they are unable to face. One of the main reasons is that when people take money as debt and are unable to pay it back. Ten or twenty years back, taking debt was a not consider a good habit in many parts of the world. This was because people used to take debts when they are in financial trouble. Also the process of taking money on loan was cumbersome. But a lot of things have changed because of Credit Cards. Today credit card is considered as a symbol of status. It is very easy to take money on credit with the use of credit cards. People don’t have to go to bank or any financial institution in order to take credit. They don’t have to tell anyone how they are going to use money.

The Credit limit of cards is usually 2-3 times more than the monthly salary of person using it. This increased limit gives them a false impression of their spending ability. Under this false impression they tend to spend money on impulsive buying. With the use of internet and mobile they can buy or book reservation online from anywhere. People thus spend much more than they would have done without credit cards. The interest rates charged on money used through credit cards is around 30-40 % per annum compared to 10-20% on normal loan. Most of credit card users have more than one card. So they can actually spend up to 6-10 time there monthly income. So people spending money mindlessly can end up having a debt equivalent there annual salary. A user might lose his card and the thief might use all the available balance in the card. But a credit equivalent to annual salary can be easily paid in due course of time. People commit suicide due to very huge loan amounts. A credit equivalent to one year salary can not force a person to commit suicide in most of the cases. The credit sum might look impossible to pay in case job loss or theft. A person might commit suicide because his/her payment on a porn site or some anti social website is traceable by the use of credit card. But this is a rare possibility and many other things are responsible for any such events. So worng use of credit card can make the life of the user tough but in absence of any other unfourtunate event it cant make life that worse that a person decides to suicide.